strategy

Introducing pollution-based tax system

Synonyms:
Applying pollution taxes
Reducing delay in introduction of tax on pollution
Taxing pollution
Increasing pollution taxes
Imposing pollution taxes
Implementation:
Sustainable economic policies include the establishment of a pollution-based tax system based on the "polluter pays principle" and its variant, the "user pays principle". Both principles imply the removal of subsidies and other economic distortions that encourage unsustainable activities. Charges, resource taxes, tradable permits, subsidies and performance bonds can be incentives to industry to meet environmental standards in the most cost-effective way.

China's pollution levy is one of the few economic instruments with a long, documented history of application in a developing country. Article 18 of China's Environmental Protection Law specifies that "in cases where the discharge of pollutants exceeds the limit set by the state, a compensation fee shall be charged according to the quantities and concentration of the pollutants released". At present, approximately 300,000 factories are monitored and potentially subject to levy collections by national, provincial and local regulators.

Subjects:
Action Application
Commerce Taxation
Societal Problems Delay
Societal Problems Pollution
Systems
Type Classification:
D: Detailed strategies
Related UN Sustainable Development Goals:
GOAL 7: Affordable and Clean EnergyGOAL 12: Responsible Consumption and Production