Designing Of Sea Water Emission Rights Trading System And Research Of Implementation For Bohai Sea

With the Bohai Sea region's rapid economic development, more and more pollutants have discharged into the Bohai Sea, it has become China's most polluted sea. Marine experts have warned that if we do not take decisive measures to curb pollution,the Bohai Sea will become a "Dead Sea" within ten years. The existing administrative environmental management policy have not achieved the desired treatment effect during years of practice, as a result, finding effective pollution control means to control the Bohai Sea pollution is essential. Emissions trading, an economic means has been practiced at home and abroad to control air and river pollution recent years, it has been proved that emissions trading can not only effectively control the environmental pollution problems but also to achieve social welfare optimum level. This article attempts to emission trading ideas into the Bohai Sea pollution control.This paper firstly explored the economic basis of emissions trading by external nature, "Public Tragedy," "scarce resource theory" and property rights theory. Basing on the existing emissions trading successful practice both at home and abroad as well as the Bohai-specific cross-regional characteristics, this paper designed the overall framework of Bohai sea water emissions trading system, then gave detailed description of the five major areas:total control of sea water sewage, the initial allocation of emission rights, the establishment of emissions trading markets, emissions trading for the examination and supervision and the establishment of data information systems. Sewage right initial distribution, the author proposed allocaing intial emission rights for free when the trading scheme just implemented, in detail, allocate a particular pollutant's emission rights freely to four provinces (municipalities) which set along Bohai sea. The author tried to use some indicators to reflects the Bohai Sea region provinces'(municipalities) economic, social, environment and technology management development, then established the index evaluation system for the initial allocation of the Bohai sea water sewage right, used factor analysis-AHP method to obtain the proportion of initial free emission rights for the four provinces seting along Bohai Sea. The conclusion is:Shandong province:Liaoning province:Tianjin municipality:Hebei province=0.387:0.273:0.197:0.143. To build the emissions trading market, the paper first gave a detailed description from four areas: the water emissions trading market participants, trading pollutants, trading principles and trading methods, and then using the model of first-order several rounds of sealed-bid auction within budget constraints, to obtain the auction process of sea water emissions trading market,the conclusion is that it is not necessarily linked between funds which sewage enterprises can be used to purchase emission rights and their winning potential, but there is some link between funds and bid after the proceed. Finally, this paper analyzed the running of sea water Emissions trading system. First, the establishment of emissions rights market trading competition, trading and cost accounting, the establishment of emissions trading incentives and effective mechanism are problems that the emissions trading market need to focus on, secondly, building emissions trading intermediary institution is essential; third, put vision of securities in sea water emissions trading.The main achievements of this paper are:First, allocate a particular pollutant's emission rights freely to four provinces (municipalities) which set along Bohai sea. The author tried to use some indicators to reflects the Bohai Sea region provinces'(municipalities) economic, social, environment and technology management development, then established the index evaluation system for the initial allocation of the Bohai sea water sewage right, used factor analysis-AHP method to obtain the proportion of initial free emission rights for the four provinces setting along Bohai Sea;second, used the model of first-order several rounds of sealed-bid auction within budget constraints, to obtain the auction process of sea water emissions trading market, given the relationship between number of buyer, budget and capital,so the auction result is more intuitive.