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Updated: Aug 5, 2025

Watershed Planning within a Quantitative Scenario Analysis Framework
Published on: July 24, 2016
Improving the effectiveness of watershed environmental management-dynamic coordination through government pollution
Changgao Cheng1,2, Zhou Fang3, Qin Zhou3
1Business School, Hohai University, Nanjing, 211100, China. 1548350004@qq.com.
Abstract:
To improve the effectiveness of envir onmental management of watersheds and improve the environmental management mechanism of cross-administrative watersheds, we develop a neoliberal framework for action using incentives, examine the cooperative strategies of local governments in watershed treatment and people-oriented environmental protection under central government subsidies, and analyze the cost effectiveness of multiple strategies in a dynamic perspective, and we have the following important findings: (1) Compared to vertical ecological compensation, the introduction of horizontal cost-sharing contracts is more effective in enhancing inter-local cooperative environmental governance. (2) When the marginal benefit of the downstream local government is greater than half of the upstream marginal benefit, the upstream local government's pollution control investment and the effect of pollution control are improved, and the Pareto improvement of the environmental governance benefit of the watershed is realized, i.e., the cost-sharing contract driven by the downstream can achieve a win-win situation for both environmental and government governance benefits. (3) When the marginal benefit of downstream environmental advocacy is between 0.5 and 1.5 times the marginal benefit of upstream government, the cost-sharing contract is more effective in improving downstream benefits. Conversely, when the marginal benefit of downstream is greater than 1.5 times, the marginal benefit of upstream, the more effective the cost-sharing contract is in improving the marginal benefit of downstream. The results of the study provide useful insights for the government to develop reasonable pollution management cooperation mechanisms to improve environmental management performance and thus enhance the sustainable development of the watershed.
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