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1-1A ENACTMENT AND AMENDMENT OF LAWS FOR SUSTAINABLE DEVELOPMENT IN CHINA

1-1A


Project Scope and Relationship to China's Agenda 21

This project seeks to formulate legislation supporting sustainable development; to incorporate sustainability principles into laws and regulations related to environmental and natural resource protection; and to develop legislation to fulfill China's international obligations in terms of environmental treaties and conventions. This project is based on China's Agenda 21 programme area 3A and is also related to areas 2A and 3B.

1. Background

Legislation concerning sustainable development is a fundamental part of the process of making policies and measures on sustainability into practical actions. The Chinese Government attaches importance to the legal requirements for sustainable development. In the past, four environmental laws, eight natural resource protection laws, more than 20 administrative decrees for pollution prevention, and 312 environmental standards have been promulgated.

However, many gaps remain in the current legal system, especially with respect to sustainable development. For example, in the field of environment and resources, there is no appropriate legislation on solid wastes pollution prevention, management of hazardous wastes and toxic chemicals, radioactive pollution prevention, and sustainable management of natural resources. Chinese legislation also faces the problem of coordination and consistency with international treaties and conventions. Although China has signed more than 20 international treaties on environment and resources, the domestic legislation to implement these treaties has not yet been enacted. As China is also striving for membership of GATT, it is important that any new legislation is consistent with GATT requirements.

Most of the Chinese laws relevant to sustainable development were promulgated in the 1980s on the basis of a planned economic system. Now that China is moving towards a market-based economy, legislation needs to be adjusted and amended so as to adapt to the changing circumstances while meeting sustainable development requirements.

2. Objectives

3. Activities

4. Financial Requirements

5. Benefits

The implementation of the project will help provide the legislative framework for a comprehensive system of laws for sustainable development that are based on the principles of the market economy. The project will also help build capacity by providing training for professional in the fields of law, economics, management and relevant technical disciplines.

Once the draft laws are enacted and implemented, it is estimated that about ten billion yuan will be invested for environmental protection while losses due to environmental pollution will be decreased by thirty billion yuan per year. This will be achieved mainly through the use of market based approaches such as environmental taxes, tradeable permits, levies on pollution discharge ("polluter pays principle"), and economic incentives.

The greatest benefit of the project will be the indirect social benefit resulting from the establishment of a legal system based on sustainable development principles.


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