Responding to citizens' growing concerns about air quality, the MOENV adopted a dual-track air quality management system that makes use of both administrative controls and economic incentives. In July 1995, the government began the collection of Stationary Source Air Pollution Control Fees (hereinafter referred to as "Air Pollution Control Fees"). For the greatest efficiency of implementation, the collection system of the Air Pollution Control Fee has been revised accordingly to respond in a timely manner to the actual situation. Up to now, not only the control list of pollutants(Figure 1), which include sulfur oxides, nitrogen oxides, volatile organic compounds and particulate pollutants, but also the structure of the Air Pollution Control Fee has been reviewed and revised on a regular basis.

Figure 1. The types of air pollutants for imposing Air Pollution Control fees

The government has also established an incentive mechanism, providing economic incentives in the form of Air Pollution Control Fee exemptions for firms that install pollution prevention equipment and that make effective use of already-installed fixed pollution source air pollution prevention equipment(Figure 2), so as to provide ongoing incentives for firms to invest in improvements.

Figure 2. Fee exemptions for Stationary Emission Control Device Installation