The EPL is the cornerstone environmental law in China, setting out requirements for business and government when conducting their activities in order to protect the environment, prevent pollution, and promote greener industry. The stated aim is to “ensure the rational use of the natural environment, the prevention and elimination of environmental pollution and damage to ecosystems, in order to create a clean and favourable living and working environment, protect the health of the people and promote economic development”.
The EPL contains wide ranging provisions designed to protect the natural environment, including:
- requirements for entities to consider and prevent pollution and damage to the environment when selecting sites for, and methods of, construction, industrial planning, and other development;
- the right of citizens to bring civil actions against other individuals or entities for breaching the EPL;
- the principle that “the polluter pays”, ie whoever created or caused pollution or damage to the environment is required to minimise and mitigate its impacts, and fund reparatory action if necessary; and
- the requirement to mitigate atmospheric pollution, including carbon emissions, in any way reasonably possible.
The provisions are general, and enforcement is generally carried out on a “common sense approach”, ie on a case by case, subjective basis.
As part of China’s drive towards a greener economy, the original law was amended and significantly strengthened, first in 2012 and then in 2014 (coming into force in 2015). The 2014 amendment introduces a number of disclosure and participation requirements for “key pollutant discharging companies”.
These are defined as enterprises and institutions that discharge significant quantities of pollutants1, including but not limited to: organic water pollutants, ammonium nitrate, phosphorus or atmospheric pollutants such as sulphur dioxide, nitrogen oxides, particulate matter and volatile organic compounds, that would have a material impact on regional or national ecological environmental quality.
Article 55 of the EPL mandates key pollutant-discharging companies must provide open disclosure of the emissions and discharge of the pollutants in question, the emission concentration(s) and total volume, whether the emissions exceed relevant limits, as well as the company's construction and operation of pollution prevention and control facilities. Relevant companies are also required to accept “social supervision”, which comprises criticism, complaint and comment by the media, and other non-state actors2 with regard to the above.
Key provisions include the imposition of non-capped daily penalties on entities infringing the Law, coupled with financial and other incentives for entities complying with or exceeding the targets set out under the EPL.
The level and extent of enforcement of and compliance with the EPL is relatively unclear, but studies such as this have measured a marked drop in the concentrations of key pollutants addressed under the Law.
1 See Article 3 of Key Emissions and Environmental Risk Control Unit List Management Regulations (Draft for Comment) issued by Ministry of Ecology and Environment.
2 Social supervision refers to the supervision of the legality of various legal activities by social organizations (e.g. the media) and citizens other than state organs, which does not have direct legal effect. Forms of social supervision mainly include criticism, suggestion, prosecution, denunciation, complaint, accusation, etc..