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to local governments will be the key to ensuring the low carbon
transformation of local governments in China. The following two
sections will focus on the analysis of fiscal and financial instruments
that can bring extra financing sources for local governments to develop
low carbon economy.

Table 2.4  Expenditure Structure of the Central and Local Governments for Low Carbon
Development (2011)

Sector/ Area Central Government Local Governments
(in 100 million Yuan) (in 100 million Yuan)

Urban and rural community affairs 11.62 7,608.93

Energy conservation and environmental protection 74.19 2,566.79

Transportation 331.11 7,166.69

Agriculture, forestry, and water affairs 416.56 9,520.99

Land and meteorological services 231.61 1,289.74

Note  Since for construction expenditure, the data in the China Statistical Yearbook 2012 corresponds
to the housing security expenditure, we cannot separate the construction input (urban planning) and
social security input. So, we will not include construction expenditure in the low carbon expenditure
in this chapter.
Source  Based on the China Statistical Yearbook 2012

Figure 2.5 Comparison of Per Capita GDP and Per Capita Low Carbon Expenditure in China in 2011
Source: Based on the China Statistical Yearbook 2012
Notes: (1) The population refers to the year-end population. (2) Low carbon expenditure includes: energy
conservation and environmental protection, agriculture, forestry and water affairs, transportation, land
resources and meteorological services, and urban and rural community affairs. Since for construction
expenditure, the statistical scope in the China Statistical Yearbook 2012 is the housing security
expenditure, we cannot separate the construction input (urban planning) and social security input. So we
will not include construction expenditure in the low carbon expenditure in this chapter. (3) Low carbon
expenditure of major cities below the provincial level is excluded in this analysis due to data inadequacy.

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