Discussion Paper on China’s Carbon Tax

Abstract

High levels of industrial activity resulting in greenhouse gas emissions are causing climate change. These changes are likely to result in severe environmental consequences including rising sea levels, and ecological changes. There have been suggestions that China¡¯s ¡®carbon-based growth model¡¯ will be
detrimental to its future development and transition into a civilised ecological
environment. As a result carbon taxes are being introduced around the world,
and one such tax is currently under consideration in China. Carbon tax policy
and collection methods generally as well as China¡¯s specific example are
examined and conclusions are drawn regarding temporal considerations for
policy implementation in China.