Initial Allocation Of Emission Permits In River Basins

China has made much headway in its economic development and has been facing serious water pollution problems.At present, serious water pollution, deterioration of water environment and other environmental problems have hindered the sustainable development of China’s economy.How to coordinate and solve the contradiction between economic development and water pollution has become one of the hot research topics.Through practice and research on the governance of water pollution, domestic and foreign experts concluded that the emission trading is a good method to solve the problem of water pollution.In this paper, taking the Huaihe River Basin in Jiangsu Province as an example,calculate the total allocation of emission rights and explore the principles and methods of initial allocation.First of all, this paper expounds the related theory of emission trading.Then, three kinds of methods which are the government regulation, pollution charge and emission trading were compared to solve the problem of water pollution.Secondly, taking the Huaihe River Basin in Jiangsu Province as an example, using the grey model method to predict the total allocation of permits in 2015,figure out the chemical oxygen demand and total ammonia nitrogen in the initial allocation.Finally, calculate the unit pollutant output function and the proportion of equity index by using the MATLAB and AHP.Then,considering the economic optimality and fairness, obtained the initial allocation of value.The main conclusions of this paper are the following three points:First of all, this paper takes the pollutant emissions in 2007-2012 years as the basis, uses the grey model to forecast in 2015 the total discharge of Huaihe River Basin in Jiangsu Province and calculates the total initial allocation of the river basin of chemical oxygen demand and ammonia nitrogen which are:487800 tons and 63800 tons.The total emission data provides the basis for initial allocation.Secondly, the feasibility of the allocation model in Huaihe River is shown based on the study of both economic optimality and fairness of allocation.Compared with the previous model, this model not only makes up for the shortcomings, but also has the characteristics of comprehensive.It is a reasonable model.Finally, based on the total amount allocation,This paper obtained distribution of different allocation preference of COD and NH3N value.This distribution methods not only can guarantee the economic growth but also can improve the quality of the environment.I hope this article’s analysis methods and suggestions can contribute to our country’s control of water pollution.