China continues to make efforts to go green by introducing new policies that encourage energy conservation. The recently announced policies will offer financial support in hopes of boosting technological innovation and developing a recycling economy. The plan calls for nearly 9 billion RMB to be invested into conservation sectors. This financial support comes after a 4 trillion RMB stimulus package during the height of the global financial crisis that included 48 billion RMB for environmentally friendly projects. Additionally, preliminary plans have been announced to reform the resource tax and increase efforts to implement effective policies for green credits, green trade, green securities, green tax and punishment for environmental infringements.
“These new policies show a strong commitment by the Chinese government to make efforts to reduce harm to the environment,” said Edward Lehman, Managing Director of Lehman, Lee & Xu. “However, it is unlikely that these efforts alone will outpace what the country consumed or lost during the growth of its economy,” Lehman added.