The China Utility-Based Energy Efficiency Finance Program (CHUEE) is established to provide market-based solutions that will promote novel and sustainable financing model to promote energy efficiency in the private sector. In March 2008, participating banks in the CHUEE program approved 70 energy efficiency loans, with a loan portfolio of US$ 243 million. Interestingly, projects financed by the loans contribute to a net annual reduction of greenhouse gases of 4.3 million tons.
Various programs that aim to minimize air and noise pollution from the transport sector are being implemented. These programs are usually conducted in areas with large and dense population or areas where flow of traffic and people are heavy. The aim is to improve air quality via the application of command and control schemes or market based instruments in the transport sector. Interventions could also involve introduction of alternative technologies (e.g. electric buses) or arrangements (e.g. limitation on number of vehicles via coding schemes).
Technologies that promote pollution control and prevention, recycling, and energy efficiency have already been developed by many industries and companies. These technologies and practices were products of the research and development efforts by industries. There are benefits to be derived from sharing of these technologies. However, some of these technologies are considered to contribute to the competitive advantage of companies.
Industrial growth is the primary driver for the rapid development of China. However, the growth experienced in the industrial sector was accompanied by heavy consumption of resources, resulting to generation of pollution. Interestingly, large firms were not solely responsible for the generated pollution in the country. Small and medium-scale enterprises (SMEs) located in villages and towns also contributed to the pollution problem. The pace of development and the growth of the industries put pressure in China’s resource use. Air pollution also is a threat due to coal combustion.