China's Ecological Protection Compensation Mechanisms

China has made significant strides in protecting its natural resources through ecological protection compensation mechanisms. As of November 2024, nearly half of the country's forests and grasslands are covered by these mechanisms.

The government has established 28 basin-wide compensation mechanisms across 24 provinces, municipalities, and autonomous regions. These mechanisms provide financial support to local communities for their efforts in ecological conservation.

One-third of China's counties receive transfer payments for national key ecological function areas. This ensures that these areas, which play a vital role in maintaining the country's ecological balance, receive the necessary resources for their protection.

Over 200 million farmers and herders have benefited from these compensation policies. This demonstrates the government's commitment to supporting those who play a crucial role in protecting the environment.

China's central ecological compensation funds have grown significantly, from an annual average of several billion yuan to nearly 200 billion yuan ($27.6 billion). Local compensation funds have also reached nearly 100 billion yuan. This increased funding reflects the government's growing commitment to ecological protection.

New regulations governing ecological protection compensation took effect on June 1, 2024. This is China's first administrative regulation on ecological protection compensation and the world's first legislation of its kind. These regulations provide a strong legal framework for the implementation and enforcement of these mechanisms.

China's ecological protection compensation mechanisms are a significant step towards ensuring the long-term sustainability of the country's natural resources. These mechanisms provide financial incentives for local communities to engage in ecological conservation, while also ensuring that those who play a crucial role in protecting the environment are adequately supported.