Coordinated Development of CDM Hydropower and Regional Economy in Yunnan Province

Clean Development Mechanism is one of the three flexible implementation mechanisms put forward in Kyoto Protocol, which has made rapid progress in China in recent years. The status quo of CDM hydropower development is introduced, in which Yunnan Province, with the most programs registered, is selected to do comprehensive analysis. The problem within the developing process is studied. Meanwhile, models which define coordinated degree and relative development degree are also constructed. Data on CDM programs and regional economy are arranged and regional coordinated development degree is also calculated, which illustrates the impacts of CDM programs on regional economic growth. The conclusion that CDM hydropower programs in Yunnan Province grow harmoniously with regional economy and could even promote economic growth is finally drawn. Some advice is also provided to promote CDM program development in the future. Advices on how to promote CDM programs development to a stable and healthy growth is offered for the government, college and project owners.