At the 2007 Forum on China Energy Sustainable Development in
Beijing last weekend, an official from the State Environmental
Protection Administration (SEPA) disclosed that it was quite likely
car owners in China would be taxed for their car emissions in the
future.
According to Yang Chaofei, Director of the SEPA Policy
Department, authorities inside the Ministry of Finance, the State
Administration of Taxation and SEPA are now conducting research on
taxation for pollution and other emissions.
Yang explained that drivers would be taxed for the pollutants
emitting from their cars, for example, carbon monoxide and sulfur
dioxide. They might have to pay the tax when purchasing petrol. A
separate pollution tax would target enterprises; companies would
pay for producing products that discharge high levels of
pollution.
According to Yang, the policies are now in the research stage
and are expected to go into effect during the 2006-2010 period. The
Ministry of Finance and the State Administration of Taxation are
both responsible for policy design and enforcement. The State
Environmental Protection Administration will provide technological
support, such as setting up pollution and emission standards,
emission inspection stations, etc.
Many experts have advocated implementing an environmental tax.
In June the State Council published a comprehensive work plan that
advocates saving energy and diminishing pollution and states that
China is also considering implementing an environmental tax.
(China.org.cn by Li Xiaohua, November 20, 2007)
