Economic Analysis Of Clean Development Mechanism In China On The Background Of Economic Gobalization

Clean Development Mechanism(CDM) is one of three agility mechanisms based on Kyoto Protocol,which is mainly used in the carbon exchange between developed countries and developing countries.It has two goals.The first is to help the developed countries to fulfill the commitment on Green House Gas emission reduction,the second is to help the developing countries to expand their abilities on Sustainable Development.Taking CDM is a trading mechanism into account,the article analyzes the application of CDM in China from an economic point of view.Chapterâ… introduces the research background of the article,mainly the origin of CDM,the content,the significance,as well as the status of CDM in the world.The report that the United Nations Environment Program released on December 11 2008 shows in 2008,more than 4200 CDM projects are being implemented or are in the preparatory process in the world.China,India,Brazil,Mexico four countries occupy a very high proportion,and their total number is 3218.China has 1557,India has 1135. The regions and countries once are at the margin of CDM are now beginning to benefit from this mechanism,including environmental,economic and developmental benefit.Chapterâ…¡is the analysis of operating principle of CDM.Mainly the introduction of the participants,the baseline determination,project development process,financing channels and the risks of CDM and control methods.The article not only gives an account of the former baseline determination method,but also shows the current more progressive method.In this paper,The use of icons more clearly describes the relationship between participants and project development procedures;It divides the financing channels into six kinds,respectively,are forward transactions,CERs purchase agreement,futures,CDM funds,leveraged leasing and direct investment; Finally,the paper divides the risks into three types:the risk of the project preparation phase,the risk after the project put into construction and operation,the commercial risk of bilateral CDM project contract,and attempts to put forward the control methods.Chapterâ…¢is the economic analysis of CDM,from the perspective of international economics and environmental economics.CDM can be understood as such a cross-border trade - investment mechanism:the cost of reducing greenhouse gas emissions in a country is high,in order to cut costs,this country find another lower-cost country to invest to reduce the amount needed.In the article;marginal emission reduction cost curve of CDM projects gives a good explanation of the principles of Economics of CDM.For the CDM's international economic cooperation, this article analyzes the problems should be noted in the cooperation,and boldly predicted CDM prospects for cooperation.Chapterâ…£Mainly discusses the status quo of Chinese CDM projects and its SWOT analysis,one of the major innovations of this article.SWOT analysis is an approach that can more objectively and be able to accurately analyze and study the reality.It can identify and analyze the external environment and opportunities,at the same time,assess the organization's weaknesses and strengths,formulate an effective strategic plan.In this article,the SWOT analysis of CDM in China includes the comparative advantages and disadvantages of China's participation in CDM,as well as the opportunities and challenges that China is facing.Chapterâ…¤analyzes CDM's development direction in the future,and makes a number of recommendations for China's further participation in international cooperation in CDM,mainly on national policy level and on the management institutional level.On national policy level,including changes in economic growth, going a new road to industrialization;focusing on dealing with climate change scientific research;actively participating in climate and international cooperation in disaster prevention and reduction;Strengthening the publicity of improving the climate,setting up a good green image.On the management institutional level,the main construction is to strengthen the existing Chinese CDM management institutions; further define the "management approach" in respect of transfer of technology,at the same time,give preferential treatment to the CDM project that can be able to really achieve the transfer of technology;clear the quality of the project participants to ensure the domestic owners' interests and the successful operation of the domestic market;set up CDM projects' fair trade early warning mechanism,organize investigation of projects damage;establish domestic norms of CDM market;further scientific charging standards;give encouragement and support to domestic institutions and individual experts to develop the CDM Study Ways.