China Exploring Its Own Cap And Trade Program

A common slap against any U.S. cap and trade or carbon tax proposal is that it doesn’t matter because China, the world’s biggest (and growing) CO2 emitter, doesn’t plan on slowing its pollution plans.

This is a problem because 1. It means there’s lots of pollution flying into the air, regardless of our actions and 2. It puts us at a competitive disadvantage with the red state.

Well, it looks like that argument is getting weakened, as “Chinese state thinktank researchers will soon issue preliminary proposals for a carbon tax that may one day become part of the government’s efforts to tame growing greenhouse gas emissions, experts told local media,” Reuters reports.

Su Ming, deputy director of an institute under China’s Ministry of Finance, said the research on a carbon tax had been requested by that ministry and the Ministry of Environmental Protection and the proposal may be published “within a month,” the National Business Daily reported on Thursday.

Su told the paper the proposal was part of a package of possible taxes on environmental damage under study. The others are taxes on sulphur dioxide and ammonia pollutants, as well as on waste water.

“At a time when calls for the globe to control emissions of carbon dioxide are growing louder…promotion of environmental taxes is much needed,” Su said, according to the paper.

The carbon tax proposal, however, appears a long way from the prospect of implementation.

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