On the 17th, Xinhua News Agency, authorized by the Central Committee of the Communist Party of China and the General Office of the State Council, released the "Reform Plan for the System of Compensation for Environmental Damage." The plan proposes that, starting January 1, 2018, a pilot program for the system of compensation for environmental damage will be implemented nationwide.

　　The introduction of this plan marks the transition of the reform of the ecological and environmental damage compensation system from pilot programs to a nationwide trial phase. Through this nationwide trial, we will continuously enhance the efficiency of ecological and environmental damage compensation and restoration, effectively breaking the deadlock of “enterprises pollute, residents suffer, and the government foots the bill.” This initiative will also actively promote the development of related industries such as ecological and environmental damage identification and assessment, as well as ecological restoration, thereby providing strong protection for both the ecological environment and the environmental rights and interests of the people.

　　The proposal suggests that, by piloting an ecological and environmental damage compensation system nationwide, we can further clarify the scope of ecological and environmental damage compensation, the responsible parties, the claimants, and the mechanisms for resolving damage claims. This will help establish a corresponding system for identification, assessment, management, and technology, as well as funding guarantees and operational mechanisms. Gradually, we can build a system for the restoration and compensation of ecological and environmental damages, thereby accelerating the advancement of ecological civilization.

　　The plan requires that by 2020, we strive to preliminarily establish, nationwide, an ecological and environmental damage compensation system characterized by clearly defined responsibilities, smooth channels, standardized technologies, robust safeguards, adequate compensation, and effective restoration.

　　It is understood that in 2015, the General Office of the CPC Central Committee and the General Office of the State Council issued the "Pilot Program for Reform of the System of Compensation for Environmental Damage." Pilot work on the reform of the system of compensation for environmental damage was carried out in seven provinces and municipalities: Jilin, Shandong, Jiangsu, Hunan, Chongqing, Guizhou, and Yunnan.

　　Building on the basic framework of the pilot program, the newly issued plan has supplemented and refined certain aspects: First, the scope of claimants has been expanded from provincial-level governments to city- and prefecture-level governments, thereby enhancing the efficiency of compensation efforts. Second, local authorities are required to specify in greater detail the particular circumstances under which compensation for ecological and environmental damage should be initiated, clearly defining the criteria for triggering such compensation procedures. Third, the consultation mechanism has been improved, with a “prior consultation” procedure now mandated. Furthermore, it is clarified that compensation agreements reached through consultation may, in accordance with the Civil Procedure Law, be submitted to the People’s Courts for judicial confirmation, thereby granting these agreements enforceable legal effect.