China's first legislation aimed at guarding the resources of a river basin, the Yangtze river protection law, went into effect on 1 March, but it is unclear if it will have as much impact on emissions reduction as hoped.
The law is seen as another step towards China's goal of peaking carbon emissions before 2030 and meeting its commitments under the Paris climate accord of limiting global warming to well below 2°C, preferably 1.5°C, compared with pre-industrial levels.
The landmark Yangtze river protection law covers nine chapters and 96 provisions. New chemical projects will not be allowed to be built within 1km of the shoreline of the river and its tributaries. Greater risk assessment will be placed on petrochemical, textile and other hazardous projects.
The Yangtze river economic region covers Shanghai, Jiangsu, Zhejiang, Anhui, Jiangxi, Hubei, Hunan, Chongqing, Sichuan, Yunnan and Guizhou and accounts for almost 50pc of the country's gross domestic product (GDP). But urbanisation of these areas has increased pollution-control challenges.
There are several petrochemical and pharmaceutical companies located within 1km of the Yangtze shoreline, mainly in Shanghai, Jiangsu, Zhejiang, Anhui and Jiangxi. But these have shrunk in huge numbers over the last few years, making more large-scale consolidation unlikely, a Chinese oil firm official said.
The law is also expected to affect shipments of chemical products from certain ports to neighbouring countries like Taiwan and India, but it is unclear how this will be enforced.
Under the law, the government also plans to strengthen the management of hydropower projects and resources in the region.
China is set to launch carbon emissions trading nationwide by June. It was the only major economy to record growth in CO2 emissions in 2020, IEA data show, as industrial activity picked up strongly following Covid-19 lockdowns early in the year.
