1. Many countries are struggling with environmental problems similar to China's, but the sheer size of China &emdash; its geography and people &emdash; gives this country a special position. The reconciliation of rapid development with environmental protection faces the particular problem of pollution.
In dealing with pollution, prevention is always better than cure.
We need an integrated approach in which the lessons of pilot projects can be generally learned.
Regarding water, the situation is deteriorating and its alleviation ought to be a high priority. At a time of climate changes, China is vulnerable to drought and flood. A major water crisis can be disastrous, with the possibility of pollution not only of rivers but of aquifers.
Regarding air, there is serious pollution of China's 600 larger cities where live a population of several hundred million.
We propose that China set targets for cleaning up. It ought to install a better system of indicators and monitoring. Information is vital to making correct decisions on policy: only then can science and technology be correctly applied. A nationwide system with common standards is essential.
2. Associated with pollution issues, is proper management of the environment through tough legislation (the United Kingdom has learned lessons from its experience with its new Environment Agency). NEPA must be given sufficient power to be able to enforce its legislation, and of course it must have corresponding resources. This is all the more important if China is to observe its obligations under international treaties such as the Convention on Climate Change.
3. Regarding environmental economics, no policy makes sense or can be justified except within a sound theoretical framework, and the Council has begun exploring how to carry out this process.
The phrase "socialism with Chinese characteristics" (or the "socialist market economy") is a useful one, since the operations of the "free market" are not enough to achieve our ends. A mix of approaches is essential.
The Chinese Government must make difficult choices: how much to regulate? whether to use incentives or disincentives? what fiscal means to employ?
We ought to punish through taxation that which is bad (such as pollution) and reward that which is good (such as wealth accumulation).
4. Energy is at the heart of the matter. Its correct costing is vital. "Environmental costing" can help correct imbalances over time. In China's case, it should:
1) Reduce dependence on coal.
2) Develop alternative energy sources, such as renewables of all kinds, fuel cells, biogas, thermal gas, and nuclear energy.
3) Concentrate on energy efficiency, particularly in distribution systems.
4) Develop an integrated resources plan, including coal gasification and demonstration projects.
China must leapfrog over the mistakes made elsewhere in the world.
5. The Council has also focused on other areas:
1) Sustainable agriculture will lessen dependence on fertilizers and pesticides in their present form and thus help get the system back into balance. It will also correct problems of pollution and soil erosion.
2) China needs an integrated transportation system, giving public transport a more honoured place and exploring new technologies for cars. It is paradoxical that China is increasing its dependence on the internal combustion engine while the rest of the world is moving in the opposite direction.
3) China should promote clean technologies throughout the economy, from heavy industry to cars to agriculture.
4) In the meantime, we are seeing the continuing destruction of an essential component of China's resources: China's biodiversity is still deteriorating. The immediate direct effect of this trend is the impoverishment of the country's biodiversity, but there are even more important indirect effects such as erosion and degradation of watersheds. The cost of this damage is huge, and in this area the Council has up to 50 recommendations to offer.
6. No real change is possible without a rise in public awareness of these issues.
Needed are both a "top down" approach by the central government, and a "bottom up" approach with the initiative coming from local communities.
Environmental considerations need to be built into the educational system at all levels. Sometimes it is necessary not only to teach the children, but also to teach the teachers.
7. A particular concern of the Council is international cooperation. China's "weight" in the world is vital in upholding international instruments, such as the Climate Change and Biodiversity conventions. China, in common with all governments that signed the Rio Declaration, ought to bring the environment into the centre of official decision-making at all levels.