On development of tradable permits in the power industry

Though the idea of tradable permit system has been put into practice for many years in China, the development is rather slow. The success in achieving SO2 emission reduction target in the power industry during the 11th five year plan period was due to the strict enforcement of the total emission control method, not the application of tradable permit system. In this article, based on the evidence from the pilot projects, the author analyzed the reasons for the slowness in the development of tradable permit system and drawn to the conclusion that tradable permit system would not replace the command and control instrument in the near future. (C) 2011 Published by Elsevier Ltd. Selection and peer-review under responsibility of RUIDS