Identifier
Created
Classification
Origin
06GUANGZHOU32430
2006-12-19 07:33:00
UNCLASSIFIED
Consulate Guangzhou
Cable title:  

South China Environmental Brief

Tags:  SENV SOCI PGOV CH 
pdf how-to read a cable
VZCZCXRO8440
RR RUEHCN RUEHGH RUEHVC
DE RUEHGZ #2430/01 3530733
ZNR UUUUU ZZH
R 190733Z DEC 06
FM AMCONSUL GUANGZHOU
TO RUEHC/SECSTATE WASHDC 5600
INFO RUEHOO/CHINA POSTS COLLECTIVE
RUCPDOC/USDOC WASHDC
RUEAUSA/DEPT OF HHS WASHDC
RUEAEPA/HQ EPA WASHDC
RUEKJCS/DIA WASHDC
RUEAIIA/CIA WASHDC
RHHMUNA/HQ USPACOM HONOLULU HI
UNCLAS SECTION 01 OF 02 GUANGZHOU 032430 

SIPDIS

SIPDIS

STATE FOR OES/OGC, OES/ENV AND OES/PCI/STEWART
USDOC FOR 4420/ITA/MAC/MCQUEEN, DAS LEVINE
USPACOM FOR FPA
EPA FOR OFFICE OF WATER
HHS FOR OGHA

E.O. 12958: N/A
TAGS: SENV SOCI PGOV CH
SUBJECT: South China Environmental Brief

UNCLAS SECTION 01 OF 02 GUANGZHOU 032430

SIPDIS

SIPDIS

STATE FOR OES/OGC, OES/ENV AND OES/PCI/STEWART
USDOC FOR 4420/ITA/MAC/MCQUEEN, DAS LEVINE
USPACOM FOR FPA
EPA FOR OFFICE OF WATER
HHS FOR OGHA

E.O. 12958: N/A
TAGS: SENV SOCI PGOV CH
SUBJECT: South China Environmental Brief


1. (U) This cable summarizes the following recent
environmental events in South China:

-- U.S. venture capital interested in China's environmental
sector.
-- Raising water prices to pay for treatment plants.
-- Euro III vehicle emission standards for Guangdong.
-- Pollution from mining industry in Guangxi.
-- Guangxi environmental protesters on trial.

U.S. VENTURE CAPITAL SEES OPPORTUNITY
IN CHINA'S ENVIRONMENTAL SECTOR
--------------


2. (U) Reuters reported that U.S. venture capital companies
are increasingly interested in China's environmental
sector. Venture capital executives said China's plans to
reduce pollution and improve energy efficiency in it's 11th
Five-year Plan pave the way for the creation of clean
energy and other environmental start-ups. Opportunities
exist for investment in the alternative energy, waste-water
treatment, air pollution control, and recycling industries.
U.S. investment would be particularly welcome in southern
China water treatment plants, desulfurization equipment,
air pollution computer modeling, and soil pollution cleanup
technologies.

RAISING WATER PRICES TO PAY FOR TREATMENT PLANTS
-------------- ---


3. (U) The Chinese government will raise water prices
nationwide to promote conservation and efficiency in a
reform of the country's water pricing scheme, according to
the Ministry of Water Resources website. Domestic water
prices would be tiered with higher fees for heavy
consumers. Li Yunsheng, from the Chinese Academy for
Environmental Planning, said inadequate supply, under-
priced water, and a lack of conservation awareness were
major problems. Li said waste-water treatment fees were
expected to rise to RMB 0.8 (USD 0.1) per ton, compared to
the current RMB 0.1 per ton. Guangdong plans to build 164
water treatment plants over the next five years.

EURO III VEHICLE EMISSION STANDARDS FOR GUANGDONG
-------------- --------------


4. (U) The State Council has approved Guangdong's request
to apply Euro III standards for vehicle emissions in Pearl
River Delta (PRD) cities. While the standards would only
apply to newly registered vehicles, it is a step in the
right direction towards reducing vehicular pollution, a
significant contributor to PRD smog. The standards could
be enforced as early as January 2007.

POLLUTION FROM MINING INDUSTRY
IN GUANGXI ZHUANG AUTONOMOUS REGION
--------------


5. (U) According to a Radio Free Asia report, residents of
Guangxi's Guo'an village near Dali township are
experiencing health problems from waste discharged by lead
and zinc mines. Aside from the pollution in the river
itself, local doctors say the pollution has reached the
groundwater, and local officials have closed one well in
Guo'an. One villager claims that there is no longer any
vegetation growing upstream where the mines have their
outlet, the fish have died, and farmers are having trouble
growing any crops. In 2004, one of the mines agreed to
compensate the villagers for the pollution, but the
pollution has worsened since then. Villagers have demanded
a revised compensation deal and even staged a sit-in at one
of the mines in August. Residents claim that 30% of
villagers have had kidney stones. One 17-year old resident
died of "kidney poisoning," according to doctors in
Nanning.

GUANGXI ENVIRONMENTAL PROTESTERS ON TRIAL
--------------


6. (U) Five environmental activists who were arrested for

GUANGZHOU 00032430 002 OF 002


protesting the construction of a manganese electrolyte
plant in Guangxi went on trial in early December, according
to court official quoted in an Associated Press report.
The five were arrested after leading a sit-in of 1,000
villagers who were upset that the plant was being built
close to their homes. The area is already the site of
several plants which villagers say have caused widespread
environmental damage.

GOLDBERG