Water Rights Trading In China Legal System

The growing natural transformation of human capabilities conflicts the economic development and ecological issues. Normal operation of ecosystem must be affected by the activities of people's activities in natural resource development and utilization. Accompanied the problem of international water shortage and ecosystem issue water right trading and Eco-compensation were born.The southwest area in China has encountered the extraordinary drought in history since July, 2009. Drought stricken area have extremely shortage in domestic and industrial water supply, and profession water conflict is seriously. This drought was not only intensified the water resources crisis, but also presented the stern challenge to the pattern of water resources management and using in our country.The promulgation implementation of Observations of Ministry of Water Resources on Water Right Transfer in January, 2005 symbolizes our country starts the construction of water rights trading market. The implementation of Real Right Law of the People s Republic of China in March, 2007 takes the water rights to the use right of water, so water right is authorized to civil subject. Although Chinese law system has not define water right clearly, no regulations about water right trading yet. But the regulation of taking water right in Real Right Law provides an opportunity for water right trading system. We must realize that the growing of water right trading is a gradual process, and we have no way only to build formal water market step by step. But the experienced international water right trading provides a good reference for China water market establishment. In the legal system of water right trading, we could allocate water resource in water market. Water resource can be transferred from low production to high production, which could improve the use of limited water resource. The Eco-compensation in the legal system of water right trading could release the conflicts between economic development and ecosystem, and take good advantages of the sustainable development of human and nature.