A Research On The Issue Of New Energy Subsidies Under The Framework Of WTO Rules

With the environmental awareness increased all over the world, the new energy industry which is a kind of green environmental protection industry has been strongly encouraged and developed.The international energy agency(IEA) of the 2010 world energy outlook, points out that with the rising price of fossil fuels and renewable energy technologies mature, new energy is expected to be more competitive, and with the growth of its contribution to the global energy structure, the government’s support will certainly increase. With the support of national government,New energy had continuous developed. But new energy industry needs high technology and a lot of capital investment, the government had actively taken a variety of measures to encourage the development new energy, such as government subsidies, industrial subsidies and so on. These measures of new energy subsidies promote the development of new energy industry, but on the other hand the subsidies increase the possibility of economic and trade disputes at the same time. How to avoid disputes under the WTO framework, and support the development of new energy industry is very important to us. However, once the subsidies go beyond the legal frame and turn into a disguise of trade restriction, it is necessary to regulate them.This paper researched new energy subsidies legal issues under the WTO framework. Chapter I introduce the subsidy policies around the world. Chapter II analyze the relationship between WTO rules on subsidies.Chapter III demonstrates the legitimacy of new energy subsidies from the aspects of necessity and rationality.Chapter IV discusses the harmonization between new energy subsides and WTO rules. This paper explored the way to regulate the new energy subsidies and improved the feasible suggestions for it. New energy subsidies arise due to environmental protection and trade competition, it should be encouraged and be reasonable regulate, so as to promote the coordinated development of environmental protection and trade.