esi boots tincom off the team - thankfully!, page-42

good things carbon tax will be spent on...

global emission reductions.

last 3 paragraphs highlights importance of coldry technology and affordable energy security.

Powering Over 80% of China
China?s exceedingly high energy demand has pushed the demand for relatively cheap coal-fired power. Each week, another 2GW of coal-fired power is put online. While there are other sources of power generation available, China?s ready access to domestic coal reserves means it is significantly cheaper to extract and transport than other fuel. Thus, over 80% of China?s electricity comes from coal. Without filters and other clean-coal technologies, power generation through coal has significant environmental costs. In China?s battle between rapid economic development and profitability versus environmental quality, it is obvious that short-term economic growth and profitability reign. Accordingly, less than 15% of China?s coal plants have desulphurization systems. To install these systems in all coal plants would hike average electricity prices by an estimated 15%. The impact of such filtration systems would be dramatic, however. Some desulphurization systems would help convert sulphur dioxide into gypsum. It should be noted that the Chinese government has subjected heavy coal-burning industries to a sulphur tax, the tax rates are so low that they do not incentivize commercial change.

A Heavy Polluter
The impact from these coal plants worsens air quality, and creates acid rain which then hurts soil quality and food safety. Carbon dioxide emissions from power generation is highest with coal at 900 g/Kwh, gas at 400 g/Kwh, and nuclear at 4 g/Kwh. In 2005, over 25 million tons of sulphur dioxide were emitted from these coal-fired power and coking plants. Soot emissions were over 11.8 million tons and industrial powder emissions were over 9.1 million tons. It is estimated that over 90% of China's electricity sector emissions comes from coal-fired power plants. In North America, coal accounts for 68% of fossil fuel generated electricity but effects 86% of sulphur dioxide and 90% of nitrogen oxide emissions.

The Cost of the Particulate CloudThere is a range of estimates as to the true economic cost of pollution in China. A World Bank study estimates that China loses about $170 billion per annum due to reduced productivity and healthcare costs, while China's State Environmental Protection Administration issued a report estimating it at $64 billion in 2004. Then, in 2006, the deputy chief of SEPA said that the pollution cost $200 billion per annum also emphasizing the need for environmental protection work on water pollution control and drinking water as well as urban protection. China's 11th Five Year Plan calls for a 4% reduction per annum in energy required per unit of GDP.