Jaume Freire-González and Mun S. Ho. 2018. “Environmental fiscal reform and the double dividend: evidence from a dynamic general equilibrium model.” Sustainability, 10, 2. Publisher's VersionAbstract
An environmental fiscal reform (EFR) represents a transition of a taxation system toward one based in environmental taxation, rather than on taxation of capital, labor, or consumption. It differs from an environmental tax reform (ETR) in that an EFR also includes a reform of subsidies which counteract environmental policy. This research details different ways in which an EFR is not only possible but also a good option that provides economic and environmental benefits. We have developed a detailed dynamic CGE model examining 101 industries and commodities in Spain, with an energy and an environmental extension comprising 31 pollutant emissions, in order to simulate the economic and environmental effects of an EFR. The reform focuses on 39 industries related to the energy, water, transport and waste sectors. We simulate an increase in taxes and a reduction on subsidies for these industries and at the same time we use new revenues to reduce labor, capital and consumption taxes. All revenue recycling options provide both economic and environmental benefits, suggesting that the “double dividend” hypothesis can be achieved. After three to four years after implementing an EFR, GDP is higher than the base case, hydrocarbons consumption declines and all analyzed pollutants show a reduction.
Changyi Liu, Yang Wang, and Rong Zhu. 2017. “Assessment of the economic potential of China's onshore wind electricity.” Resources, Conservation and Recycling, 121, Pp. 33-39. Publisher's VersionAbstract

The assessment of the economic potential of wind electricity is of critical importance for wind power development in China. Based on the wind resource data between 1995 and 2014 and geological assumptions, this paper calculates economic potential of China’s onshore wind electricity. Furthermore, it builds an econometric model to update the net-present-value model, based on a survey sample of various wind farms. Results show that the economic potential of China’s onshore wind electricity is 8.13 PWh per year with a feed-in-tariff price at 0.60 yuan (about 9.6 U.S. cents) per kilowatt-hour.

Jing Cao, Mun Sing Ho, Yating Li, Richard G. Newell, and William A. Pizer. In Press. “Chinese residential electricity consumption estimation and forecast using micro-data.” Resource and Energy Economics. Publisher's VersionAbstract
Based on econometric estimation using data from the Chinese Urban Household Survey, we develop a preferred forecast range of 85–143 percent growth in residential per capita electricity demand over 2009–2025. Our analysis suggests that per capita income growth drives a 43% increase, with the remainder due to an unexplained time trend. Roughly one-third of the income-driven demand comes from increases in the stock of specific major appliances, particularly AC units. The other two-thirds comes from non-specific sources of income-driven growth and is based on an estimated income elasticity that falls from 0.28 to 0.11 as income rises. While the stock of refrigerators is not projected to increase, we find that they contribute nearly 20 percent of household electricity demand. Alternative plausible time trend assumptions are responsible for the wide range of 85–143 percent. Meanwhile we estimate a price elasticity of demand of −0.7. These estimates point to carbon pricing and appliance efficiency policies that could substantially reduce demand.
Bo Zhang, Yaowen Zhang, Xueli Zhao, and Jing Meng. 2018. “Non-CO2 Greenhouse Gas Emissions in China 2012: Inventory and Supply Chain Analysis.” Earth's Future, 6. Publisher's VersionAbstract
Reliable inventory information is critical in informing emission mitigation efforts. Using the latest officially released emission data, which is production based, we take a consumption perspective to estimate the non-CO2 greenhouse gas (GHG) emissions for China in 2012. The non-CO2 GHG emissions, which cover CH4, N2O, HFCs, PFCs, and SF6, amounted to 2003.0 Mt. CO2-eq (including 1871.9 Mt. CO2-eq from economic activities), much larger than the total CO2 emissions in some developed countries. Urban consumption (30.1%), capital formation (28.2%), and exports (20.6%) derived approximately four fifths of the total embodied emissions in final demand. Furthermore, the results from structural path analysis help identify critical embodied emission paths and key economic sectors in supply chains for mitigating non-CO2 GHG emissions in Chinese economic systems. The top 20 paths were responsible for half of the national total embodied emissions. Several industrial sectors such as Construction, Production and Supply of Electricity and SteamManufacture of Food and Tobacco and Manufacture of Chemicalsand Chemical Products played as the important transmission channels. Examining both production- and consumption-based non-CO2 GHG emissions will enrich our understanding of the influences of industrial positions, final consumption demands, and trades on national non-CO2 GHG emissions by considering the comprehensive abatement potentials in the supply chains.
2018 Feb 12

Q&A Session: China's Environmental Challenges 2018: Summer Undergraduate Research Assistantships in China

5:00pm to 6:00pm


Pierce Hall 100F, 29 Oxford Street, Cambridge

Interested in researching in China this summer? Join Harvard-China Project staff and a participating Tsinghua University professor to learn more about our research assistantships opportunity.

The Harvard-China Project on Energy, Economy and Environment will provide generous financial support for six Harvard undergraduates to spend the summer in China conducting research on China’s energy and environmental future under the guidance of an English-speaking professor at a leading university, from June 15 to August 16, 2018....

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2017 Nov 28

Film Screening of "Plastic China" and Q&A with Director WANG Jiuliang

6:30pm to 8:45pm


CGIS South, Tsai Auditorium, 1730 Cambridge Street, Cambridge, MA

plastic china partial poster

After the screening, Director WANG Jiuliang will attend via Skype for a Q&A with the audience moderated by Professor ZHANG Ling of Boston College and the Fairbank Center for Chinese Studies. The discussion will be interpreted by Canaan Morse, a Ph.D. candidate in Chinese Literature at Harvard. ... Read more about Film Screening of "Plastic China" and Q&A with Director WANG Jiuliang

MEP meeting

High-Level Meetings with Ministers Xie and Li

August 30, 2017

On August 4, China’s lead official on climate change, Minister XIE Zhenhua, hosted a research and policy consultation with Profs. Mike McELROY, Steve WOFSY, executive director Chris NIELSEN, and Project alumni Dr. ZHANG Hongjun (Holland & Knight, LLP) and Prof. LU Xi (Tsinghua University) at his offices in Beijing. Discussion topics included the state of U.S.-China engagement on climate and the growing role of subnational governments, disparate regional capacities for carbon control within China... Read more about High-Level Meetings with Ministers Xie and Li

Nan Zhong, Jing Cao, and Yuzhu Wang. 2017. “Traffic congestion, ambient air pollution and health: Evidence from driving restrictions in Beijing.” Journal of the Association of Environmental and Resource Economists, 4, 3, Pp. 821–856. Publisher's VersionAbstract

Vehicles have recently overtaken coal to become the largest source of air pollution in urban China. Research on mobile sources of pollution has foundered due both to inaccessibility of Chinese data on health outcomes and strong identifying assumptions. To address these, we collect daily ambulance call data from the Beijing Emergency Medical Center and combine them with an idiosyncratic feature of a driving restriction policy in Beijing that references the last digit of vehicles’ license plate numbers. Because the number 4 is considered unlucky by many in China, it tends to be avoided on license plates. As a result, days on which the policy restricts license plates ending in 4 unintentionally allow more vehicles in Beijing. Leveraging this variation, we find that traffic congestion is indeed 22% higher on days banning 4 and that 24-hour average concentration of NO2 is 12% higher. Correspondingly, these short term increases in pollution increase ambulance calls by 12% and 3% for fever and heart related symptoms, while no effects are found for injuries. These findings suggest that traffic congestion has substantial health externalities in China but that they are also responsive to policy.