Policy Trends and Drivers of Low-Carbon Development in China’s Industrial Zones

The document examines the drivers and implementation of low-carbon policies in China, noting a transition from national targets to local design across provinces and industrial zones. While this approach allows for local adaptation and policy learning, it has created a complex, overlapping regulatory environment that causes industry uncertainty, risks high compliance costs, and may lead to capital lock-in of high-emitting technologies. The text also references a separate IISD study on the fiscal risks facing BRIICS nations, including China, due to the global transition away from fossil fuels.

• China's drive toward decarbonization and energy efficiency is motivated by the 2009 Copenhagen Accord commitment to reduce greenhouse gas intensity by 40–45 per cent by 2020, systemic poor air quality in large cities, and energy security concerns both internationally and interprovincially.
• The policy framework operates through a hybrid model where the national government sets overarching performance targets that cascade down to provinces and municipalities, while local regulatory authorities design the specific policies to achieve those targets based on local circumstances.
• The lack of detailed central guidance on implementation has resulted in an overlapping and complex set of policies, leading to industry uncertainty, potential regulatory inefficiencies, and the risk of 'capital lock-in' where current technology choices commit industry to high-emitting processes that are costly to transition later.
• A separate IISD study indicates that six emerging economies, including China, face a potential $278 billion revenue gap by 2030 if they do not adjust fiscal policies to account for the global transition away from fossil fuels.

APA

Thieriot,, D. S. (2015). Policy Trends and Drivers of Low-Carbon Development in China’s Industrial Zones. International Institute for Sustainable Development. https://www.iisd.org/publications/report/policy-trends-and-drivers-low-carbon-development-chinas-industrial-zones

Chicago

Thieriot,, David Sawyer,Hubert. Policy Trends and Drivers of Low-Carbon Development in China’s Industrial Zones. International Institute for Sustainable Development, 2015. https://www.iisd.org/publications/report/policy-trends-and-drivers-low-carbon-development-chinas-industrial-zones.

Wikipedia

{{cite report |last1=Thieriot, |first1=David Sawyer,Hubert |title=Policy Trends and Drivers of Low-Carbon Development in China’s Industrial Zones |publisher=International Institute for Sustainable Development |date=7 March 2015 |url=https://www.iisd.org/publications/report/policy-trends-and-drivers-low-carbon-development-chinas-industrial-zones |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{thieriot2015policy, author = {Thieriot,, David Sawyer,Hubert}, title = {{Policy Trends and Drivers of Low-Carbon Development in China’s Industrial Zones}}, institution = {International Institute for Sustainable Development}, year = {2015}, month = mar, url = {https://www.iisd.org/publications/report/policy-trends-and-drivers-low-carbon-development-chinas-industrial-zones}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }