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An analysis on the adoption of an interregional carbon emission reduction allocation approach in the context of China’s interprovincial carbon emission transfer

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Abstract

Due to interregional carbon emission (CE) transfer, the CE reduction allocation approach is crucial to the overall CE reduction effect. The prevalent allocation mode applies the production-based principle (PBP) and causes equity and efficiency losses of CE reduction. The exploration of a CE reduction policy under the consumption-based principle (CBP) is highly demanded. In this article, by studying the transfer of CEs embodied in interprovincial trade (CEs-PT) in 1997–2007 within China, we propose a CE reduction allocation approach under the CBP. We found that net CEs-PT were huge and had increased from 172.22 million tons (Mts.) to 425.94 Mts. The main transfer flow was from the resource-based provinces to the economically developed provinces, from North China to South China. Under the PBP, the transfer of CEs-PT caused serious equity and efficiency losses of CE reduction in China. Then, we propose a CE reduction allocation approach under the CBP that considers the long-term dynamic change of regional CEs. The approach can eliminate equity loss, improve CE reduction efficiency, and avoid the impact of short-term fluctuations of regional CEs. Based on this approach, we calculated China’s provincial CE reduction responsibility and found that compared with the allocation approach under the PBP, the CE reduction responsibility of most net exporters of CEs-PT decreased, while that of most net importers increased. To accomplish CE reduction efficiently and economically, we propose a CE reduction trading system. The research can provide support for CE reduction allocation policy and CE reduction trading system for China and other countries.

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Abbreviations

CE:

Carbon emission

CEs:

Carbon emissions

PBP:

Production-based principle

CBP:

Consumption-based principle

CEs-PT:

Carbon emissions embodied in interprovincial trade

CEs-RT:

Carbon emissions embodied in interregional trade

CEs-IT:

Carbon emissions embodied in international trade

Mts.:

Million tons

CEs-PBP:

Carbon emissions under the production-based principle

CEs-CBP:

Carbon emissions under the consumption-based principle

EEBT:

Emissions embodied in bilateral trade

MRIO:

Multiregional input–output

IPCC:

Intergovernmental panel on climate change

ECS:

Energy consumption by sector

PSY:

Provincial statistic yearbook

CESY:

China energy statistic yearbook

OEBS:

Overall energy balance sheet

REBS:

Regional energy balance sheet

IECS:

Industrial energy consumption by sector

IFECS:

Industrial final energy consumption by sector

ECSM:

Energy consumption by sector and major variety

MECIEDS:

Main energy consumption of industrial enterprises above designated size by sector

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Acknowledgements

The work described in this article was funded by the National Natural Science Foundation of China (Grants 41301637, 41701639), Key Programme (717300013) and Science & Technology Basic Resources Investigation Program of China (2017FY101304). Thanks very much for the editor and the reviewers’ guidance for this manuscript.

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Correspondence to Fujia Li.

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Appendix: The 28 sectors

Appendix: The 28 sectors

No.

Sector

 

Sector

S1

Agriculture

S15

Metal products

S2

Coal mining and processing

S16

Machinery and equipment

S3

Crude petroleum and natural gas products

S17

Transport equipment

S4

Metal ore mining

S18

Electric equipment and machinery

S5

Non-ferrous mineral mining

S19

Electronic and telecommunication equipment

S6

Manufacture of food products and tobacco processing

S20

Instruments, meters cultural and office machinery

S7

Textile goods

S21

Other manufacturing products

S8

Wearing apparel, leather, furs, down and related products

S22

Electricity steam and hot water production and supply

S9

Sawmills and furniture

S23

Gas production and supply

S10

Paper and products, printing and record medium reproduction

S24

Water production and supply

S11

Petroleum processing and coking

S25

Construction

S12

Chemicals

S26

Transport, storage and post

S13

Nonmetal mineral products

S27

Wholesale, retail trade and hotel, restaurants

S14

Metals smelting and pressing

S28

Others

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Yang, Y., Dong, S., Li, F. et al. An analysis on the adoption of an interregional carbon emission reduction allocation approach in the context of China’s interprovincial carbon emission transfer. Environ Dev Sustain 23, 4385–4411 (2021). https://doi.org/10.1007/s10668-020-00779-x

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