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Elizabeth C. Economy, Council on Foreign Relations
The Truth About the Three Gorges Dam
›May 26, 2011 // By Wilson Center StaffThe original version of this article, by Elizabeth C. Economy, appeared on the Council on Foreign Relations’ Asia Unbound blog.
It has only taken 90 years, but China’s leaders have finally admitted that the Three Gorges Dam is a disaster. With Wen Jiabao at the helm, the State Council noted last week that there were “urgent problems” concerning the relocation effort, the environment and disaster prevention that would now require an infusion of US$23 billion on top of the $45 billion spent already.
Despite high-level support for the project since Sun Yat-sen first proposed it in 1919, the dam has had serious critics within China all along. One of China’s earliest and most renowned environmental activists, Dai Qing, published the book Yangtze! Yangtze! in 1989, which explored the engineering and social costs of the proposed dam. The book was a hit among Tiananmen Square protestors, and Dai spent a year in prison for her truth-telling. In 1992, when the dam came up for a vote in the National People’s Congress, an unprecedented one-third of the delegates voted against the plan.
Once the construction began in 1994, the problems mounted. The forced relocation of 1.4 million Chinese was plagued with corruption; former Premier Zhu Rongji accused the construction companies of shoddy engineering, and little of the pollution control measures that were planned were actually taken. Water pollution skyrocketed in the reservoir. As Chinese officials acknowledged a few years back, “The Three Gorges Dam project has caused an array of ecological ills, including more frequent landslides and pollution, and if preventive measures are not taken, there could be an environmental catastrophe.”
It would be easy to argue that the State Council’s admission was too little too late. However, the new transparency matters for at least two reasons. First, it plays into the hands of environmentalists who have been arguing against Beijing’s aggressive plans for additional large-scale hydropower plants. Premier Wen, who has tried to slow the approval process for dams over the past several years, now has a bit more ammunition. Second, any acknowledgement by the Party that mistakes have been made is an important step toward the public’s right to question future policies. Let’s hope that more such transparency is on the way.
Elizabeth C. Economy is the C.V. Starr Senior Fellow and director for Asia Studies at the Council on Foreign Relations.
Photo Credit: Adapted from “Construction of the Three Gorges Dam,” courtesy of flickr user Harald Groven. -
Meeting Half the World’s Fuel Demands Without Affecting Farmland Joan Melcher, ChinaDialogue
Biofuels: The Grassroots Solution
›May 24, 2011 // By Wilson Center StaffThe original version of this article, by Joan Melcher, appeared on ChinaDialogue.
The cultivation of biofuels – fuels derived from animal or plant matter – on marginal lands could meet up to half of the world’s current fuel consumption needs without affecting food crops or pastureland, environmental engineering researchers from America’s University of Illinois have concluded following a three-year study. The findings, according to lead author Ximing Cai, have significant implications not only for the production of biofuels but also the environmental quality of degraded lands.The study, the final report of which was published in the Journal of Environmental Science and Technology late last year, comes at a time of increasing global interest in biomass. The International Energy Agency predicts that biomass energy’s share of global energy supply will treble by 2050, to 30 percent. In March, the UK-based International Institute for Environment and Development called on national governments to take a “more sophisticated” approach to the energy source, putting it at the heart of energy strategies and ramping up investment in new technologies and research programs.
The University of Illinois project used cutting-edge land-use data collection methods to try to determine the potential for second-generation biofuels and perennial grasses, which do not compete with food crops and can be grown with less fertilizer and pesticide than conventional biofuels. They are considered to be an alternative to corn ethanol – a “first generation” biofuel – which has been criticized for the high amount of energy required to grow and harvest it, its intensive irrigation needs and the fact that corn used for biofuel now accounts for about 40 percent of the United States entire corn crop.
A critical concept of the study was that it only considered marginal land, defined as abandoned or degraded or of low quality for agricultural uses, Cai, who is civil and environmental engineering professor at the University of Illinois in the mid-western United States, told ChinaDialogue.
The team considered cultivation of three crops: switchgrass, miscanthus, and a class of perennial grasses referred to as low-impact high-diversity (LIHD).
Continue reading on ChinaDialogue.
Sources: Sources: International Energy Agency, Journal of Environmental Science and Technology, Reuters, University of Illinois.
Photo Credit: Adapted from “Biofuels,” courtesy jurvetson. -
Southern Africa, China, and “Sustainable Access”
The Mineral Security of the United States
›In a report titled “Elements of Security: Mitigating the Risks of U.S. Dependence on Critical Minerals,” author Christine Parthemore from the Center for a New American Security writes, “Growing global demand coupled with the mineral requirements necessary for both managing military supply chains and transitioning to a clean energy future will require not only clearer understanding, but also pragmatic and realistic solutions.” Minerals and rare earth elements such as lithium, gallium, and rhenium are critical elements for many defense technologies (e.g. jet engines, satellites, missiles, etc.) and alternative energy sources (batteries and wind turbines). Parthemore argues that U.S. policy should focus on preventing suppliers from exerting undue leverage (as China did in 2010), mitigating fiscal risk and cost overruns, reducing disruption vulnerability, and ensuring the United States is able to meet its growth goals in clean energy and other high-tech fields.In a report from the U.S. Air War College, author Stephen Burgess writes of the potential for conflict over competition for “strategic minerals” in five southern African states: South Africa, the Democratic Republic of the Congo, Zambia, Zimbabwe, and Namibia. The report, titled “Sustainability of Strategic Minerals in Southern Africa and Potential Conflicts and Partnerships,” states that growing industrial countries like China will compete, potentially aggressively, with the United States for sustainable access to elements such as chromium, manganese, cobalt, uranium, and platinum group metals. Burgess recommends that the United States become more engaged in southern Africa by providing development assistance to mining communities and developing strategic partnerships.
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Ten Billion: UN Updates Population Projections, Assumptions on Peak Growth Shattered
›May 12, 2011 // By Schuyler NullThe numbers are up: The latest projections from the UN Population Division estimate that world population will reach 9.3 billion by 2050 – a slight bump up from the previous estimate of 9.1 billion. The most interesting change however is that the UN has extended its projection timeline to 2100, and the picture at the end of the century is of a very different world. As opposed to previous estimates, the world’s population is not expected to stabilize in the 2050s, instead rising past 10.1 billion by the end of the century, using the UN’s medium variant model.
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Dividend or Deficit? The Economic Effects of Population Age Structure
›According to the latest projections, the global population will hit the seven billion mark later this year and perhaps nine billion by 2050. Yet, while the global population is growing, it is also aging, due to falling fertility rates and longer life expectancies. By 2050 the number of people aged 60 and over will reach two billion. At an event at the Wilson Center on April 1, Andrew Mason of the University of Hawaii at Manoa and the East-West Center and Ronald Lee of the University of California, Berkeley, discussed their research on the economic effects of an aging world with discussant Dalmer Hoskins of the Social Security Administration. [Video Below]
Changing Age Structures and Economic LifecyclesThere are three phases of age transition, Mason explained: during the first phase, high fertility rates and declining infant and child mortality rates increase the share of children in the population. In the second phase, the proportion of the working age population (those aged 15-64) increases, potentially providing a boost to production and consumption, and in the third phase, the elderly proportion increases due to lower fertility rates, decreasing production and increasing the burden on state support systems.
From 2010-2015, 85 countries are projected to witness the largest absolute increase in history of their populations aged 60 and over. This increase in elder populations is significant, Mason said, because it may mean slower economic growth.
Based on data collected through National Transfer Accounts, Mason and Lee’s economic lifecycle tracks the labor income and consumption rates of a population at a given age. In high income countries, consumption increases around the teen years as a result of investments in education, then dips slightly, and, finally, sharply rises around the age of 80 due to high health care expenditures. The consumption rate remains relatively flat in low income countries, with consumption differing the most in the older ages.
The support ratio measures the number of workers relative to the number of consumers, while taking into account age-specific variances in number of hours worked and level of consumption. Mason explained that China, after four decades of rapid growth, has reached the peak of its support ratio, with many workers relative to the number of consumers. However, China is rapidly aging, like much of Northeast Asia, and also because of its one-child policy. The resulting decline in its support ratio will likely limit its economic growth; however, Mason cautioned that it would be “rash” to say that its growth will bottom out completely.
The United States has an age structure that is “quite a bit more favorable” than other industrial countries, Mason said. Higher fertility, lower life expectancy, and a higher rate of immigration mean that aging is coming more slowly to the United States than other developed countries.
The Second Demographic Dividend: An Investment Opportunity
During the first demographic dividend, the labor force grows more rapidly than the dependent population, thus allowing more resources to be spent on economic growth. But what happens after that? As populations age, there is a “semi-automatic” increase in investment in human, physical, or financial capital, Lee explained; for example, as fertility falls, the amount invested per child increases. This second demographic dividend, said Lee, can help somewhat offset the decline in support ratio that comes in the third phase of the age transition – aging.
One response to the increased costs of an aging population, said Lee, is to reduce consumption in proportion to the decline in the support ratio. Another option would be adding more hours to the work day or pushing the retirement age back. In the United States, Lee said that to offset the declining support ratio entirely by postponing retirement would require postponement by eight years up to 2050, and 10 years by 2085.
Brazil, Lee said, is the “world champion” of pension generosity, where pensions make up 12 percent of the GDP. The United States, by contrast, relies on asset income from physical or financial investments for about two-thirds of its retirement income. Brazil’s challenge, when it begins to feel the effects of aging (it is still relatively young), will therefore be much greater than in the United States.
A “New Lens” on Aging
Aging, Hoskins said, is not the “catastrophe” that it has been portrayed to be in the media. Supporting an aging population is “something we can plan for and handle,” he said. It is possible “to do the right thing to make sure citizens have a decent life.” The problems come when a country waits too long or does not plan at all, such as in Nigeria and the Philippines where, Hoskins said, they have very underdeveloped social protection systems and the elderly have little to no income. Mason and Lee’s analysis of the work/consumption ratio, said Hoskins, offers a “new lens” into how the world will deal with aging.
Sources: Los Angeles Times, National Transfer Accounts, UNFPA, World Bank.
Image Credits: “Elderly couple – Meiji-jingu,” courtesy of flickr user Tom Spender. Chart courtesy of Ronald Lee and Andrew Mason, National Transfer Accounts. -
John Warburton, China Environment Series
UK Helping to Relieve Climate-Related Stress on China’s Agriculture
›The UK and China have been working together since 2001 to better understand how China is going to be impacted by climate change, particularly in the agriculture sector. But understanding must also lead to action, with adaptation needing to be integrated into the development process at both national and local levels. This work, which is ongoing, will increasingly provide a model for how to approach adaptation in other countries.
In my opinion, this work has also contributed to the realization among top-level Chinese officials that it is important to take global action on climate change as part of the international negotiation process; until very recently, most of the international engagement with China has focused on mitigation, with the result that the very real and urgent challenges that China faces in regards to its own adaptation needs have been sidelined.
Another Stressor for Chinese Agriculture
China’s Polices and Actions for Addressing Climate Change, issued in October 2008, state:The impacts of future climate change on agriculture and livestock industry will be mainly adverse. It is likely there will be a drop in the yield of three major crops — wheat, rice and corn; …enlarged scope of crop diseases and insect outbreaks; [and] increased desertification.
Even though assessing the likely impacts of climate change on crop yields is a complicated process, with some evidence showing that in some areas crops may benefit if agricultural technology can keep pace, the overall picture is grim for China.
Potential climate impacts are very worrying for a country which already faces so many other challenges within the agricultural sector, among them the facts that it has to feed nearly one quarter of the world’s population (1.3 billion people) with only seven percent of the world’s arable land; that it has only one-quarter of the world’s average per capita water distribution (one-tenth in large parts of northern China, which are heavily dependent upon agriculture); and that the agricultural land base is fast diminishing due to urbanization, industrialization, and the conversion of arable land to grasslands and forest.
Collaboration on Adaptation
Much of the evidence that supports the understanding of the likely adverse impacts on Chinese agriculture from climate change stems from collaborative work between the UK and China which started in 2001. A joint project, Impacts of Climate Change on Chinese Agriculture (ICCCA), has combined cutting-edge scientific research with practical development policy advice. Although national in scope, the project included pilot work to develop a stakeholder based approach to adaptation in the Ningxia region of northcentral China. ICCCA was successfully completed in December 2008. The UK-China collaboration is now continuing with a major new project which is going beyond agriculture and looking at additional socioeconomic sectors and geographic areas.
Continue reading in the China Environment Forum’s China Environment Series 11, from the Wilson Center. Other articles in the series can be found on CEF’s website.
John Warburton is a DFID senior environment adviser and is currently based in Beijing.
Photo Credit: “Field,” courtesy of flickr user totomaru. -
Book Launch: ‘The Future Faces of War: Population and National Security,’ by Jennifer Dabbs Sciubba
›“Demographic trends by themselves are neither inherently good nor bad. It’s really a state’s ability to address these issues that can determine the outcome,” said Jennifer Dabbs Sciubba, the Mellon Environmental Fellow with the Department of International Studies at Rhodes College. At a book launch event at the Wilson Center on March 14 for The Future Faces of War: Population and National Security, Sciubba, along with Deputy Under Secretary Kathleen Hicks of the Department of Defense, discussed the national security implications of demography and its important role in understanding and managing conflicts around the world. [Video Below]
Demography as an Indicator, Multiplier, and Resource
Demography can be thought of in three ways, explained Sciubba: as “an indicator of challenge and opportunity; a multiplier of conflict and progress; and a resource for power and prosperity.”
A country’s age structure can pose a challenge, said Sciubba, because countries with a large percentage of their population under the age of 30 “are about two and a half times more likely to experience civil conflict than states with more mature age structures.” Tunisia’s recent revolution, she said, could be understood as a “story about demography.”
The 26-year-old fruit vendor Mohammed Bouazizi, who set himself on fire on December 17 after being hassled by police, was part of one of the largest age cohorts in Tunisia, those aged 25-29. There are some 64 million young men across the Middle East-North Africa region between the ages of 15 and 30, according to UN estimates. “If his death was the spark” for the unrest in the region, Sciubba said, “it’s the underlying demographic trends that were the fodder.”
Yet, Sciubba sees opportunity within this challenge. Citing the work of Richard Cincotta, she said that “states have half a chance – literally 50 percent – of becoming a democracy once their proportion of youth declines to less than 40 percent.” Tunisia has the best chance in the region of becoming a free democracy based on its demography, followed by Libya, where youth aged 15-29 are 43 percent of the adult population.
At the other end of the age structure, some of the world’s most powerful countries, such as Japan, Germany, Italy, France, Russia, and China, are rapidly aging. This aging will “somewhat decrease the ability of these states to project political, economic, and military power” due to a shortage of labor and a smaller pool of funding, said Sciubba.
Countries with transitional age structures, such as India, Brazil, and South Africa, face different security challenges. With a majority of their populations between 15 and 60 years old, there are more people contributing to the economy than are taking away, which could bolster these countries economically and politically (the “demographic dividend”). Global institutions will have to reform and include these countries, she advised, “or else become irrelevant.”
But the defining trend of the 21st century, said Sciubba, is urbanization. While great sources of economic growth, cities are also quite vulnerable to natural disasters and terrorism because of their concentrations of people, wealth, infrastructure, and bureaucracy.
In looking to the future, Sciubba called for continued support for family planning initiatives. “At least 90 percent of future world population growth will take place in less developed countries,” which are least equipped to handle the demands of that growth, she said. In addition, Sciubba recommended that the United States seek out partnerships with countries that have transitional age structures, particularly India, which could be a stabilizing force in a tumultuous region. She also called on the United States to partner with states in the Western Hemisphere and remain open to migration.
Defense and Demography
“Understanding population is critical to our success in being able to prevent conflict, and also managing conflict and crises once we’re involved,” said Hicks, describing the Department of Defense’s (DOD) interest in demography. However, the DOD does not “treat demographics as destiny,” she said, but instead as “one of several key trends, the complex interplay of which may spark or exacerbate future conflicts.”
Recent world events, such as those in the Middle East and North Africa, “have demonstrated how critical our understanding of population is for security practitioners,” said Hicks. Similarly, the recent earthquake and tsunami in Japan dramatically illustrate the vulnerability of large urban areas. Echoing Sciubba’s comments on population aging, she cited “incredible divestments in defense” in Europe, which, she said, “puts us, as a key partner in NATO, at a thinking stage.”
Under Secretary of Defense for Policy Michèle Flournoy is “deeply interested” in demographic issues, said Hicks. She identified other demographic areas of great interest for her office: the youth bulge in Pakistan, urbanization in Afghanistan, the role of highly educated women in Saudi Arabia, the Chinese diaspora in the Americas, Russia’s shrinking population, and various trends in China, including aging, gender imbalance, urbanization, and migration.
Image credit: “Iraq,” courtesy of flickr user The U.S. Army.
Sources: ECSP Report 12, Financial Times, The New York Times, Population Reference Bureau, UN Population Division. -
Hu Angang and Liang Jiaochen, ChinaDialogue
China’s Green Five-Year Plan: Making “Ecological Security” a National Strategy
›March 16, 2011 // By Wilson Center StaffThe original version of this article, by Hu Angang and Liang Jiaochen, appeared on ChinaDialogue.
Five-year plans (FYPs), which set down and clarify national strategy, are one of China’s most important policy tools. Just as they have helped to drive China’s economic success over recent decades, so they will play a pivotal role in putting the country on a green development path. The 12th Five-Year Plan, now under consideration by the National People’s Congress, marks the beginning of that process in earnest (Editor’s note: Since this was originally published, the National People’s Congress voted in favor of the plan).
FYPs embody the concept of progressing by degrees, or developing step by step. This approach has been one of the driving forces behind China’s economic progress in recent decades and will now provide the platform for its green development. It is the methodology underpinning China’s socialist modernization: to reach a new step in development every five years. Unstinting efforts over a number of FYPs have driven China’s transformation.
Climate change presents a long-term and all-encompassing challenge for China. It demands a long-term development strategy and broad goals, as well as near-term action plans and concrete policies. Combining these is precisely the idea behind FYPs.
At the global climate change summit in Copenhagen in 2009, China demonstrated it has the long-term political will to respond to climate change; to work with the world to limit global temperatures to no more than two degrees Celsius above pre-industrial temperatures (the goal set out in the Copenhagen Accord). In November that year, the Chinese government formally put forward its medium-term targets on climate change: a reduction in energy intensity of 40 percent to 45 percent on 2005 levels by 2020, and generation of 15 percent of energy from non-fossil fuel sources by the same date.
Continue reading on ChinaDialogue.
Hu Angang is a professor at the Chinese Academy of Sciences and Tsinghua University and the director of the Centre for China Study. He has worked as the chief editor for China Studies Report, a circulated reference for senior officials. Liang Jiaochen is a PhD student at Tsinghua University’s School of Public Policy and Management.
Sources: Business Green, UN Framework Convention on Climate Change, World Resources Institute.
Photo Credit: Adapted from “China: CREME,” courtesy of flickr user IFC Infrastructure (Alejandro Perez/IFC).
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