Study On Carbon Dioxide Emission Reduction Quota Allocation Of Chinese Provinces-based On Combination Of Equity And Efficient Principles

In 2009,Chinese central government made a commitment to achieve a 40-45%reduction in carbon emissions per unit of gross domestic product（GDP）by 2020compared with 2005.Based on each Chinese provinces’fulfillment of CO₂ reduction during the”12th Five-Year Plan”,the Chinese State Council divided 31 provinces into five layers and set differential“13th Five-Year”CO₂ reduction goal for each layer in2016.However,each Chinese province has different CO₂ marginal abatement cost（MAC）because of its different industrial structure and energy consumption.So it is not an equity and efficient plan to set CO₂ emission goal only based on each province’s fulfillment of CO₂ reduction.Previous studies have four characteristics:Firstly,previous studies of CO₂ quota allocation’s equity principle haven’t reached a consensus yet.And previous studies one-sided take carbon intensity as the efficient principle’s index.Secondly,the previous CO₂ quota allocation studies seldom considered the the difficulty of CO₂ reduction for each province and the marginal abatement cost was rarely selected as the carbon dioxide emission reduction index.Thirdly,subjective model and objective model were build separately and the factor’s significance and policy maker’s preference were not considered comprehensively.Finally,the MAC calculation ignore the random error.To solve these problems,this paper built a two-stage information entropy model based on equity and efficient principles to allocate CO₂ emission reduction quota.Besides,policies are made based on results.The innovation points of this study are follows:（1）This paper defines the equity principle based on“human equality”and“corrective justice”concepts and expand the efficient principle after review previous literature.（2）MAC which shows the difficulty of CO₂ reduction was chosen as the decision-making factors for CO₂ quota allocation based on combination of equity and efficient principles.It is an improvement of selection of carbon dioxide emission reduction index.Besides,Two-stage information entropy model was build based on setting factors’weight and decision maker’s preference.It is an optimize of weight calculation method of carbon dioxide emission reduction index in previous studies.（3）Stochastic frontier analysis-distance directional function model was built to calculate CO₂ MAC for 30 Chinese provinces.Compared with previous studies,stochastic frontier analysis can take random error into consideration.The calculation result shows that the random error contains 87%of total error.So random error is a non-negligible factor in calculation of MAC.The stochastic frontier analysis can calculate MAC more accurately.