Liquid Assets IIIA： Dongjiang Overloaded - 2011 Dongjiang Expedition Report

21... 10 – 4 11 2011

Liu Su Yang Yong Lu Hongyi Deng Tiancheng Immanuel

About Civic Exchange

Civic Exchange is a Hong Kong-based non-profit public policy think tank that was established in October 2000. It is an independent organisation that has access to policy-makers, officials, businesses, media and NGOs – reaching across sectors and borders. Civic Exchange has solid research experience in areas such as air quality, energy, urban planning, climate change, conservation, water, governance, political development, equal opportunities, poverty and gender. For more information about Civic Exchange, visit http://www.civic-exchange.org.

About the Authors

Liu Su is the Greater China Manager and Policy Researcher of Civic-Exchange, a Hong Kong based independent and non-profit public policy think tank. Her work at Civic Exchange covers mainly water-related policy research and China-related project coordination. Liu was a former public opinion researcher (Deputy Managing Director of the Gallup Organization Hong Kong), and a communication strategist (Deputy Managing Director of Wirthlin Worldwide Asia).

Graduated from the China University of Mining and Technology’s Department of Geology, Yang Yong is a senior engineer of environmental geology. He is also an independent geologist, a well-known professional explorer, the Founder and Chief Scientist of Hengduan Mountain Research Association, and the Deputy Director of China Foundation for Desertification Control. Yang has 25 years of expedition experience on the Qinghai-Tibet Plateau, Hengduan Mountains, as well as river protection.

Graduated from Harvard University, Lu Hongyi was a practising lawyer in the United States, and now a volunteer working in China to protect the environment.

Deng Tiancheng graduated from the Hong Kong Chinese University, works with Yang as a volunteer.

Immanuel is a China-based environmental protection volunteer.

Preface and Acknowledgements

The Pearl River Basin is nothing less than Hong Kong’s lifeblood. The river system gives us the water we need for our daily lives, to enable us to grow food and drive our industries. Indeed, the Pearl River system is the backbone for a large part of South China, but the people of this region too often forget rivers need our care, so that they can continue to perform a vital function.

In particular, the Dongjiang supplies water to the eastern part of the Pearl River Delta, which includes a cluster of important cities that are intimately connected to Hong Kong in terms of geography, hydrology and industry. Civic Exchange’s work since 2008 has been to understand the complexity of those relationships so as to be able to recommend a path for better water management for the region as a whole. We accept that we have a responsibility to do more from Hong Kong because we have benefited so much from the Dongjiang and the rest of the Pearl River Basin.

This report results from an expedition a Civic Exchange team took in late 2011 along the Dongjiang, and follows on from the earlier report on industrial relocation in Guangdong and its impact on the Dongjiang. We believe our work related to the Dongjiang is important because it provides new information and perspectives on our water source. We hope the work is of sufficient depth for scholars, experts and officials, and yet is also accessible to other stakeholders and the general public.

We must thank our colleague Su Liu for her research work and for travelling along the Dongjiang with her team to gather the sort of information that is only visible by being present at critical points. Her team consisted of Mr. Yang Yong, the Founder and Chief Scientist of Hengduan Mountain Research Association, Mr. Adrian Lu, Mr. Deng Tiancheng, and Ms. Immanuel. The collective skills of the team made this trip fruitful.

We must also thank Paule Herodote for editing, Yan-yan Yip for shepherding this project along its various stages, Michelle Wong for layout and design of the report and Adrian Lu for translating the report into English.

Our water work would not have been possible without the financial support from the Noble Group, Chong Ren Foundation, and Mr. Paul Lee. We look forward to our continuing collaboration with our funders in water research, as well as water experts on the mainland and in Hong Kong, both in and outside government.

Christine Loh Chief Executive Officer

May 2012

Table of Contents

1. Background ...... 1 1.1 Expedition goals 1.2 The objects of investigation and the expedition route 1.3 Investigative methods 2. A Profile of the Dongjiang ...... 4 2.1 Basic description of the Dongjiang Basin system 2.2 Dongjiang Basin's waterworks 2.3 Water resource allocation in the Dongjiang Basin 3. Dongjiang Basin Water Supply and Use ...... 9 3.1 Water supply trends in Guangdong Province and Dongjiang Basin 3.2 Guangdong Province and Dongjiang Basin water use trends 3.3 Dongjiang five cities' water use forecast 4. Wastewater Discharge ...... 17 4.1 Guangdong Province data 4.2 Dongjiang five cities' wastewater discharge in recent years 5. Major Observations from the Expedition ...... 20 5.1 Urbanization and water stress 5.2 Industrialization and the water crisis 5.3 The effects of hydropower stations on river ecology 5.4 Development of mining operations damage water sequestration zones 5.5 Lacking basic sanitation services in rural villages 5.6 The neglected Dongjiang source region 6. Policy Recommendations ...... 31 6.1 For the HKSAR Government 6.2 For the Guangdong Provincial Government 6.3 Cooperate with Hong Kong and Jiangxi

Appendix 1. Fieldtrip photos ...... 33 Endnotes ...... 38

1 Background

1.1 Expedition goals

Dongjian's water has The Dongjiang directly supplies the industrial, domestic, and ecological become the "water of water used by the nearly 40 million people living in Heyuan, Huizhou, politics, life and Dongguan, Guangzhou, Shenzhen and Hong Kong. The five cities of economy" for the Guangdong Province situated in the Dongjiang River Basin (Dongjiang region Basin) are home to about 50% of the population of Guangdong Province and generates about 70% of Guangdong’s total GDP. To Hong Kong and the Dongjiang Basin, Dongjiang’s water has already become “water of politics”, “water of life”, and “water of the economy”;1 its importance to the economy and livelihoods of Hong Kong cannot be overstated.

Recent challenges are In recent years, Guangdong Province has promoted policies for industrial industrial relocation relocation. These policies, currently being implemented, aim to disperse and rapid urbanization the concentration of factories in the Pearl River Delta to other regions of the province including the western and eastern “wings” and the northern mountainous region.2 These regions, besides being target areas for industrial relocation, are also undergoing a process of rapid urbanization.3

In order to gain a deeper understanding of the effects of industrialization and urbanization on the Dongjiang Basin, Civic Exchange organized an on-the-ground expedition to investigate water resources, utilization and conservation measures in the Dongjiang Basin. The Dongjiang expedition team,4 composed of relevant experts in the field, embarked on a 15-day investigative trip from 21 October 2011 to 4 November 2011.

1.2 The objects of investigation and the expedition route

1.2.1 Objects of investigation

To investigate the The purpose of this expedition was to investigate the water resources, water resources, aquatic environment, and industrial development in the Dongjiang Basin, aquatic environment, Hong Kong’s primary source of water. The expedition’s activities included and industrial the observation and recording of the hydrology, geology and ecological development environment of the Dongjiang and its main tributaries, and to study the river basin’s urban-rural construction, industrial relocation, mining activity and agricultural development, as well as the Dongguan-Shenzhen Waterworks Project.

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1.2.2 Expedition route

The expedition The expedition embarked from the Shenzhen Reservoir and continued traveled over 3,000km upstream through the cities of Shenzhen, Dongguan, Huizhou and Heyuan through 5 cities, 16 in Guangdong Province and the city of Ganzhou in Jiangxi, a total of 5 cities counties and 2 and 16 counties in 2 provinces, before arriving at the eastern and western provinces in 15 days sources of the Dongjiang. The route then returned through Heyuan, to Dongguan and ended at Humen, where the Dongjiang runs into the Pearl River mouth and then joins the ocean. In 15 days, the expedition traveled over 3,000km (Figure 1).

Figure 1: Dongjiang Expedition Route Map5

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The expedition route traversed the following regions:

Guangdong Province: Shenzhen City: Luohu District, Longgang District and Baoan District.

Dongguan City: A total of 10 administrative municipalities, including Fenggang Town, Qiaotou Town, Zhangmutou Town, Tangxia Town, Chang’an Town, and Mayong Town.

Huizhou City: Huiyang District, Huicheng District, Huidong County and Boluo County.

Heyuan City: Yuancheng District, Zijin County, Dongyuan County, Longchuan County and Heping County.

Guangzhou City: Luogang District.

Jiangxi Province: Ganzhou City: Xunwu County, Longnan County, Anyuan County and Dingnan County.

1.3 Investigative methods

The primary method of the investigation was to drive along the side of the river as much as possible in a four-wheel drive vehicle, with occasional travel by foot in areas impassable by automobile. The expedition covered the three major reservoirs in the Dongjiang Basin, as well as the Dongjiang main course itself and its main tributaries. Investigation and observation included photography, videography, interviews, written journals and daily discussions and summaries.

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2 A Profile of the Dongjiang

2.1 Basic description of the Dongjiang Basin System

The Donjiang - which The Dongjiang is one of the three major river systems comprising the Pearl originates at Jiangxi, River Basin. Its source is located in the Yajibo Mountains of Xuanwu running County, Jiangxi Province. Within the source zone comprising the three predominately counties of Xunwu, Anyuan and Dingnan, Dongjiang is known as through Guangdong, Xunwushui (Water of Xunwu), and after it joins the Anyuanshui (Water of and pipped to HK - represents the Anyuan) in Heheba, Longchuan County, Guangdong Province, the complexity of combined rivers are called Dongjiang. Dongjiang flows from the northeast watershed toward the southwest into Guangdong Province through the management cities/counties of Longchuan, Heyuan, Zijin, Huiyang, Boluo, Dongguan and others before entering the ocean at Humen.

Of its total 562km, 127km of Dongjiang’s main course flows through Jiangxi Province and the remaining 435km flow through Guangdong Province. Its average gradient is 0.35‰. The portion of the Dongjiang above Shilong Town where the river runs into the sea is 520km long, with 393km within Guangdong Province. The river basin’s total area is 35,340 km2, with 31,840 km2 within Guangdong Province, representing 90% of the total basin area. Upstream of Shilong, the basin area is 27,024 km2, with 23,540km2 in Guangdong. Dongjiang's numerous tributaries form a complex river system (Figure 2).

According to the Guangdong authority, the Dongjiang Basin refers to the entire land area within Guangdong Province whose precipitation run-off flows into the Dongjiang River, starting from Heheba, Longchuan County, Heyuan City and ending where Dongjiang enters the ocean, including the Dongjiang’s main course and all of its tributaries. Main political jurisdictions include:6

 The entire area of Guangzhou’s Zengcheng City and Guangzhou’s Jiulong Town in Luogang District;  All of Shenzhen City;  The southeastern portion of Xinfeng County, Shaoguan City (Meikeng Town, Fengchengjieban, Huangqi Town, Matou Town);  All of Heyuan City except for the eastern portion of Longchuan County (Huilong Town, Tianxin Town, Tiechang Town, Longmu Town, Dengyun Town, Tongqu Town, Zishi Town, Huangbu Town), the eastern portion of Zijin County (Zhongba County, Jingzi Town, Shuidun Town, Nanling Town, Suqu Town, Longwo Town) and Pitou Town in Lianping County;  All of Huizhou City except for the Daya Bay Economic and Technology Development Zone; and  All of Dongguan City.

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Figure 2: Dongjiang Basin System Map7

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2.2 Dongjiang Basin's Waterworks

2.2.1 Dongjiang Tributaries

The cities - Huizhou According to the “Dongjiang Basin Basic Conditions Summary Chart”8 and Heyuan - are the published by the Dongjiang Basin Management Bureau (DRBMB) in late most important 2007, there were 26 class-1 tributaries in the Dongjiang Basin, of which 24 jurisdictions in the were located within the cities of Heyuan and Huizhou. See Appendix 1 for Dongjiang Basin further information on Dongjiang's important tributaries.

2.2.2 Reservoirs and Hydropower Stations

The Dongjiang Basin contains 50 medium and large hydropower stations, of which 31 are situated in the cities of Heyuan and Huizhou. Of the 14 hydropower plants arranged in stairstep formation along Dongjiang's main course, 13 are in Heyuan and Huizhou, and 10 of these are completed and operating.9

2.2.3 Water Supply and Wastewater Discharge Facilities

There are 1,257 water extraction points in the Dongjiang Basin, concentrated in Heyuan and Huizhou (totalling 857 in these two cities); discharge outlets, distributed mostly in Dongghuan and Huizhou, number 42, according to the best available public information disclosed in 2009 (see Table 1)10.

Table 1: Discharge Outlets in Dongjiang's primary water source areas City Quantity Location Wastewater Type Discharge Method Heyuan 5 Dongjiang Domestic Direct 12 are located on Industrial, Dongjiang, 1 each on domestic, Huizhou 14 Direct tributaries Xizhijiang and medical, treated Shahe domestic 6 on Dongjiang, 10 on the Industrial, Dongguan* 16 Direct Eastern Canal domestic Shiyan Reservoir, Tiegang Shenzhen 7 Domestic Direct Reservoir

* In March 2008, DRBMB permitted the Dongguan Jiulong Paper Company to place a wastewater discharge outlet in the Dongjiang Delta near the river mouth. Note: Updated information about discharge outlets along Dongjiang's main course and its tributaries is difficult to find from publicly available information platforms.

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2.2.4 Summary Description of the Dongjiang Basin

Table 2 contains a summary of Dongjiang Basin's basic information.11 Clearly, Heyuan and Huizhou are the most important jurisdictions in the Dongjiang Basin in terms of water supply and other waterworks.

Table 2: Summary description of Dongjiang Basin (2008)

Guangzhou Dongguan Shenzhen Huizhou Heyuan Shaoguan Total

Class 1 tributaries 1.0 1.0 10.0 14.0 26.0

Large reservoirs 3.0 2.0 1.0 5.0

Medium 6.0 8.0 4.0 19.0 12.0 49.0 reservoirs

Small reservoirs 4.0 1.0 5.0

Dykes protecting over 10,000 mu 4.0 2.0 17.0 23.0 (1mu = 0.0667 hectares) Water extraction 11.0 369.0 20.0 235.0 622.0 1,257.0 points Wastewater 6.0 13.0 19.0 discharge outlets Stairstep hydropower 1.0 2.0 11.0 14.0 plants Extractable river 230.7 230.7 sand (10,000 m3)

2.3 Water Resource Allocation in the Dongjiang Basin

Hong Kong is allotted In August 2008, the Guangdong Province People's Government published a 1.1 billion m3/year, Dongjiang Basin Water Resources Allocation Plan12 which set the regardless of drought maximum usable water resource limit at 10.664 billion m3, based on or normal conditions Dongjiang's estimated total water resource of 32.66 billion m3. This target is also called the “red line” for development use of Dongjiang's water resources because it is an absolute total quantity that must not be surpassed.13

According to this plan, the Dongjiang water resources distribution area within Guangdong Province includes the jurisdictions of Guangzhou City (Zengcheng, a satellite city in eastern Guangzhou), Shenzhen City, Shaoguan City (Xinfeng County), Meizhou City (Xingning City), Heyuan City, Huizhou City and Dongguan City. The amount of water allocated to Hong Kong is 1.1 billion m3/year as agreed in the Guangdong - Hongkong Water Supply Agreement.

Additionally, the use of reservoir water is prioritized for flood control, water supply, and power generation, in that order, with the background requirement that comprehensive measures are implemented to conserve water and utilize unconventional sources of water. Stated priorities are to ensure the amount promised to Hong Kong and provide a minimum

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ecological flow. Limits to each jurisdiction's water extraction have also been set to ensure a 90% guarantee of supply in years of normal supply and a 95% guarantee of supply in drought years, to ensure water security.14 so that to enhance water supply security. According to these principles, the limit in drought years is 10.183 billion m3 (Tables 3 and 4)15.

Table 3: Dongjiang Water Supply Allocation for Normal Water Supply Years (90% guarantee) (100 million m3) Agriculture Industry & Domestic City/District Total allotment Use Use Meizhou 0.20 0.06 0.26 Heyuan 12.20 5.43 17.63 Shaoguan 0.98 0.24 1.22 Dongjiang Basin 13.79 8.89 22.68 Daya Bay, Renping Huizhou 0.00 2.65 2.65 Peninsula Sub-total 13.79 11.54 25.33 Dongguan 1.92 19.03 20.95 Zencheng City 4.20 3.89 8.09 Eastern Guangzhou Guangzhou 0.00 5.53 5.53 extraction Sub-total 4.20 9.42 13.62 Shenzhen 0.27 16.36 16.63 Hong Kong (via Dong-Shen Water 0.00 11.00 11.00 Works Project) Total: 33.56 73.08 106.64

Table 4: Dongjiang Water Supply Allocation for Drought Years (95% guarantee) ( 100 million m3) Agriculture Industry & Domestic City/District Total allotment Use Use Meizhou 0.17 0.05 0.22 Heyuan 11.72 5.34 17.06 Shaoguan 0.89 0.24 1.13 Dongjiang Basin 12.89 8.66 21.55 Daya Bay, Renping Huizhou 0.00 2.50 2.50 Peninsula Sub-total 12.89 11.16 24.05 Dongguan 0.71 18.73 19.44 Zencheng City 3.91 3.54 7.45 Eastern Guangzhou Guangzhou 0.00 5.4 0 5.40 extraction Sub-total 3.91 8.94 12.85 Shenzhen 0.17 15.91 16.08 Hong Kong (via Dong-Shen Water 0.00 11.00 11.00 Works Project) Total: 30.46 71.37 101.83

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3 Dongjiang Basin Water Supply and Use

3.1 Water supply trends in Guangdong Province and Dongjiang Basin

16 3.1.1 Total water resource quantity

The total water In the last ten years, Guangdong Province’s total water quantity17 has quantity decreased experienced years of surplus and years of drought. 2002-2004 were three 26% at the provincial drought years in a row. The average annual water resources quantity over level and 30% in the last 10 years for Guangdong Province was 182.1 billion m3, which is Dongjiang Basin in 26% lower than the annual water resources quantity from 1956 to 2005, recent years compared 3 18 to historical average which was 218.3 billion m .

The total water resources quantity for the Dongjiang Basin has experienced a similar decline. The quantity of average annual water resources over the last ten years was 23.1 billion m3, 30% less than the historical average19 of 33.1 billion m3 (Figure 320 and Table 521).

Table 5: A comparison of average annual total water resource quantity Guangdong Province Dongjiang Basin

(100 million m3) (100 million m3) Historical average 2,183 331 (1956-2005) 10-year average 1,812 231 (2001-2010) Difference between 10-year average and -26% -30% historical average

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3.1.2 Water quantity supplied to the five cities of the Dongjiang Basin

Guangzhou (mainly Zengcheng City and Jiulong Town in Luogang District), Shenzhen, Dongguan, Huizhou and Heyuan are the primary users of Dongjiang water.

Water supplies to the In 2008, before the water allocation agreement was signed, the amount of five cities increased water supplied to Shenzhen, Dongguan, and Heyuan had been increasing rapidly before the for several years in a row. From 2001 to 2004, the amount supplied to water allocation Guangzhou increased significantly, but the trend reversed in 2005 and the agreement and amount supplied in 2010 had returned to 2001 levels due to water stabilized afterwards. However, Shenzhen extraction from Beijiang (the north tributary) in 2005 and Xijiang (the west and Heyuan still show tributary) in 2010 of the Pearl River. The amount supplied to Huizhou had an upward trend not changed significantly in the previous ten years.

After the Dongjiang water allocation agreement was signed in 2008, the amount of water supplied to the five cities has remained stable excluding Shenzhen and Heyuan where there were obvious increases. As for Shenzhen and Heyuan, the amount supplied to them has exceeded their allotments under the agreement each year. In 2010, Shenzhen had exceeded by 234 million m3 and Heyuan had exceeded by 105 million m3, figures reflective of the problems in allocation and supply (Figures 4a and 4b)22.

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3.2 Guangdong Province and Dongjiang Basin water use trends

3.2.1 Guangdong Province

The total water According to the 1997-2010 Comprehensive Analysis of the Guangdong quantity used has Province Water Resources Report, there was an upward trend in increased steadily province-wide water use since 1997. While agricultural use has decreased by 9.8%, industrial use has increased 12.3% and domestic use (including household use, city and township public use, and ecological/environmental use) has increased dramatically, reaching 66.3% of total use (Figure 5)23.

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Water usage is Historically, agricultural use has dominated water usage in the province. dominated by the Although the total amount of water used for agriculture has decreased in agricultural sector recent years, in 2010, agricultural use still accounted for almost one-half of province-wide water usage (Figure 6)24. In 1997, the ratio was 58.3% for agriculture.

Primary water usage Looking at changes in water usage, excluding water used for irrigation, the indicators show that average water use per person and the water used per 10,000 RMB of GDP water use efficiency shows a decreasing trend in Guangdong Province. Using the value of the has improved RMB in the year 2000 as a standard, the amount of water used per 10,000 significantly 3 3 RMB of GDP has decreased from 547 m in 1997 to 156 m in 2008, a decrease of 71.5%. Water use efficiency has significantly increased (Figure 7)25.

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3.2.2 Current water usage in the Dongjiang Five Cities

The cities of Huizhou, Dongguan, Heyuan, Shenzhen and Guangzhou are the primary users in the Dongjiang Water Allocation Plan.

Overall, total city As stated earlier, in recent years, Guangzhou's total water usage has water usage is gradually decreased, and Dongguan's has also decreased slightly. The increasing remaining three cities have increased their water usage by different degrees. Between 2006 and 2010, Shenzhen's and Heyuan's water use increased by 9.5% and 8.5%, respectively (Figure 8a & 8b)26.

Agricultural use is In the Dongjiang Five Cities, agricultural water use has gradually decreased. gradually decreasing The cities with the greatest five-year decreases are Guangzhou and Huizhou - 26.6% and 10.1%, respectively (Figure 9)27.

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Industrial use is Industrial water use in Guangzhou and Dongguan has decreased, while in increasing fast in Huizhou and Heyuan it has increased significantly. From 2006-2010, upper stream cities Huizhou's industrial use increased 41.4% from 408 million m3 to 577 million m3, and Heyuan's industrial water use increased 29.8% from 383 million m3 to 497 million m3 (Figure 10a & 10b)28.

Domestic use is Domestic water use has increased in the Dongjiang Five Cities, especially in increasing rapidly in all the PRD Three Cities. For example, domestic use in Guangzhou increased cities from 1.502 billion m3 in 2006 to 1.702 billion m3 in 2010, an increase of 12.8%. The increase has been especially rapid in the last two years (Figure 11)29.

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3.3 Dongjiang Five Cities' water use forecast

By 2020, Shenzhen, The actual water use in 2010 for the four cities that depend primarily on Huizhou and Dongjiang (Shenzhen, Dongguan, Heyuan and Huizhou) has exceeded or Dongguan will face nearly exceeded the allowed allocations. Water usage forecasts for 2020 serious water show that Shenzhen, Huizhou and Dongguan will face serious water shortages 30 shortages (Table 6) .

Although there is no clear indication on Heyuan's future water demand in 2020, its current usage already exceeds its allotment. If the water usage trend over the last five years in Heyuan continues, the gap between supply and demand is likely to become even greater. As for Guangzhou, though its dependence on Dongjiang is relatively low, its eastern portion, including Zengcheng which has a population of 4 million people , is undergoing rapid development, and its demand for water is certain to increase.

Table 6: Dongjiang Five Cities' Forecasted Water Usage (100 million m3) Dongjiang Water 2010 Actual Water 2020 Forecast Water City Allocation Usage Demand (Set in 2008) Guangzhou (Zengcheng City & 13.62 74.35 (no information) Luogang District) Shenzhen 16.63 18.97 26.2031 Dongguan 20.95 21.08 29.4532 Huizhou 22.68* 21.79 30.0033 Heyuan 17.63 18.68 (no information)

*Excluding the allotments from Daya Bay and Renping Peninsula, which total 265 million m3.

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4 Wastewater discharge 4.1 Guangdong Province data

4.1.1 Total discharge quantities

Total wastewater According to the Guangdong Province Environmental Protection Bureau's discharge increased (“GDEPB”) Environmental Statistics Report, province-wide wastewater significantly, but data discharge increased significantly between 2001 and 2010, with a discrepancy exists particularly high increase in domestic wastewater discharge. Total wastewater discharge increased 41% between 2001 and 2010, from 5.11 billion tons to 7.23 billion tons. In terms of percentage increase, industrial wastewater discharge grew the most, by 65%. Province-wide, the greatest contribution comes from domestic wastewater, which accounts for 60-80% (Figure 12)34.

The Water Resources However, these data are quite different from those reported by the Water Bureau’s data are Resources Department of Guangdong Province (“GDWRD”). The total much higher than that amount of wastewater discharged as reported by the Water Resources of the Environmental Department is much higher than the GDEPB's data, and it also shows that Protection Bureau industrial wastewater comprises the greatest portion of total wastewater (Figure 13)35. However, the two sets of data both indicate that there is an upward trend in domestic wastewater discharge.

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4.1.2 Ratio of wastewater discharged into rivers

According to data from the WRD, over 75% of wastewater has entered rivers in recent years (Figure 14).36

4.2 Dongjiang Five Cities' wastewater discharge in recent years

4.2.1 Wastewater discharged into rivers

According to data released by the GDWRD, the Dongjiang Five Cities' wastewater discharge into rivers has varied in the last 3 years as follows:

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Guangzhou's quantity has decreased significantly, Shenzhen's has increased significantly, Heyuan's and Dongguan's have decreased slightly, and Huizhou's has increased slightly (Figure 15)37.

4.2.2 Meeting water quality standards in River Basin Water Function Zones

Data from 2008-2010 shows that water quality in the Dongjiang Basin has decreased. In 2006, the percentage of the river course where water quality met or exceeded standards was above the provincial average; by 2010, Dongjiang's water quality lagged behind the provincial average, with only one-half of sampling locations along the river length having water quality that met or exceeded standards (Figure 16)38.

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Major observations from the 5 expedition

5.1 Urbanization and water stress

5.1.1 A widening gap between supply and demand

Urbanisation and By year-end 2011, mainland China's urban population had reached 51.27% limits to water supply of total population. It was the first time in history that China's urban impedes sustainable population surpassed its rural population. For the last 30 years, China has development of cities been one of the most rapidly urbanizing countries in the world.39 in the Pearl River Guangdong's rapid economic growth has been accompanied by accelerated Delta urbanization. In 2009, the province-wide urbanization rate was 63.4%, and urbanization rates in the Pearl River Delta region, the west, the east, and the north were 80.2%, 39.6%, 57.6% and 43.3%, respectively. 40

Out of the Dongjiang Five Cities, the PRD Three Cities (Guangzhou, Shenzhen and Dongguan) completed their urbanization process early. Their heavy reliance on water resources and availability constraints are becoming more apparent each day. The limited supply of water has already become a bottleneck for the sustainable development of these three cities. As a result, the provincial government has tried to increase supply by promoting conservation, bringing water from other regions and decrease demand by raising water prices.

Guangzhou enjoys As Guangdong's provincial capital, Guangzhou has enjoyed favorable favourable policies; policies that prioritize its water supply and bringing in water from other other cities water regions.41 Dongguan and Shenzhen, both of which depend heavily on the demand will add stress Dongjiang for water, also hope to benefit from the redistribution of water to the region to Guangzhou.42

At the same time, Huizhou and Heyuan, cities that rely heavily on allocations of Dongjiang water, have already approached or surpassed their allocations as of 2010. Both of these cities are targets for industrial relocation and will experience rapid industrialization and urbanization in the upcoming years, inevitably resulting in an increased demand for water and adding more stress to the region.

Populations are due to Taking Huizhou as an example, the Huizhou City Comprehensive Urban Plan dramatically increase (2006-2020), approved by the State Council in January 2012, predicts that the total population of Huizhou will reach 6.5 million by 2020, an increase of 1.9 million above the 2010 population of 4.6 million. The projected 2020 urban population will be 5.53 million, almost double the 2010 urban population of 2.85 million.43 With this kind of growth, it is clear that Huizhou's demand for water will dramatically increase.

However, water As discussed in Chapter 3 of this report, Dongjiang's water availability in resources are on a recent years has been lower than historical averages, at the same time downward trend water demand by each of the Dongjiang Five Cities has already approached or exceeded allocated amounts, creating a situation in which supply lags

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demand. In Shenzhen and Heyuan, for example, 2010 water usage greatly exceeded allocated amounts, with Shenzhen exceeding by 234 million m3 and Heyuan exceeding by 105 million m3.

One way of bridging the supply-demand gap is to use water surpluses of Dongjiang cities that have not used up their allocation. For example, in 2010, Hong Kong used only 717 million m3 of Dongjiang water,44 383 million m3 less than its 1.1 billion m3 allotment under the Guangdong - Hong Kong Water Provision Agreement. This kind of surplus can be used to compensate for the shortages of Shenzhen and Heyuan. However such options will become more limited in the future.

The flexibility of Hong Although Hong Kong currently has a surplus in its Dongjiang water Kong's water allocation, its fate to continue to enjoy sufficient clean water supply is tied allocations will shrink to those of the other cities supplied by the Dongjiang – their demand is in the future likely to increase, which may lead to greater competition for water in the future. This could result to a change in the allocation pattern and also in price.

5.1.2 Escalating hydrology degradation

The trap of a All of the Dongjiang Five Cities have focused its economic planning on “waterside economy” rivers and other bodies of water to develop “waterside economies”. The aim is to exploit waterside resources by developing real estate, tourism, restaurants, retail and other economic activities along scenic riverbanks and lakeshores.45

The core of a waterside economy is the construction of waterside real estate and scenery facilities. The shores of rivers, ponds and reservoirs are often hardened with concrete or otherwise altered to support waterside buildings and paved roads and walkways. The results will dramatically alter the very characteristics that made the waterside attractive in the first place. In the end, much of the intrinsic value of these waterside areas will be compromised by the development that was intended to exploit that value.

Hardening river Researchers from Beijing Normal University's Land Surface Processes and channels and shores Resource Ecology Key National Laboratory, including Xiong Xing, Jiang Yuan harm the health of and others, reported their findings on Dongguan in 2010: nearby water bodies “In the process of the city's development, the ratio of hardened river channels in Dongguan has increased.River channels are continuously dredged and channels are straightened to allow for easier shipping, and natural vegetation has been replaced with man-made facilities. These changes have resulted in a continuous decrease in the diversity of waterside environments … The high interconnectedness of the river network in the past has been altered, reducing the exchange of water among different bodies of water, weakening the natural regulation ability of the river network, and simultaneously reducing the ability of rivers to absorb pollution and decreasing the water system's environmental capacity.”

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“Forest coverage near rivers, lakes and reservoirs, which serves the crucial purposes of sequestering runoff and purifying it before it enters bodies of water, has decreased significantly. Forests have been replaced by potential sources of pollution such as urban scenery, agricultural fields and orchards. The disappearance of forests from reservoir shores has resulted in serious erosion ... The direct discharge of soil and nutrients into rivers and other bodies of water give rise to chaos in the aquatic ecology and the problem of eutrophication.”

“53.62% of Dongguan's surface area is used for construction. The rapid increase in land area used for construction has created a significant rise in the ratio of land surface that is impervious to water. This has in turn increased the amount of direct surface runoff containing heavy metals and organic pollutants flowing into bodies of water and threatening them with serious pollution.”

The water dilemma currently faced by Dongguan supports the findings in the above-described report. With the severe changes in Dongguan's land use, decreased waterside vegetation has weakened nature's ability to protect aquatic ecosystems, pollutants of all kinds have gradually worsened water quality, and water use efficiency has been seriously affected. As a result, these water-related problems have severely constrained Dongguan's future economic development.

5.1.3 Water shortage exacerbated by worsening water quality

An explosion in Chapter 4 of this report points out that domestic wastewater discharge in domestic wastewater Guangdong Province has increased for several years in a row. At year-end discharge 2010, although 73% of domestic wastewater was treated, province-wide,46 over 75% of total wastewater (including treated and non-treated) are still discharged into Guangdong's rivers, and the total volume is likely to continue increasing.

The capacity of water Guangzhou provides an example of the problem. Its enormous water use systems to absorb and results in a prodigious amount of wastewater discharge, which in turn process pollution has results in large quantities of water pollution, which in turn exceed the been exceeded capability of the river to absorb the pollution. If Guangzhou continues its current water use practices, by 2020, even if 100% of wastewater is treated to the National Discharge Standard of Pollutants for Municipal Wastewater Treatment Plant (GB 18918-2002)47 before it is discharged, the amount of pollutants entering the river will still exceed its pollution absorption capacity.48

If the other cities in Guangdong do not take precautions before disaster strikes, then water shortages due to lack of clean water will become more serious province-wide.

5.1.4 Huizhou and Heyuan – the next Dongguan?

Urbanization and Located in Dongjiang's middle and upper reaches, Huizhou and Heyuan are industrialization are the rising cities of the Dongjiang Basin, where urbanization and proceeding at full industrialization are proceeding at full speed: industrial relocation parks speed in the two are springing up along the riverbanks, waterside real estate developments ecologically sensitive are appearing everywhere, as are new mining operations. Both cities' jurisdictions despite of medium to long-term plans share the same goal: to become “central cities all warning signs

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in their regions” by 2020, with diverse functions ranging from petrochemical bases, transportation hubs, logistics centers and innovative manufacturing bases, to leisure and tourism destinations and modern eco-garden cities.49 50

In recent years, water quality in important water function regions in the Dongjiang Basin has decreased, with fewer and fewer sampling points meeting The National Environmental Quality Standards for Surface Water (GB 3838-2002)51. This trend reflects the negative effects associated with increasing human activity within the river basin. The rapid urbanization and industrial development in these two cities will inevitably and greatly increase the amount of domestic and industrial wastewater discharged, creating deep and long-term effects on water quality in the Dongjiang Basin.

If Heyuan and Huizhou continue along their current development paths, then Dongguan's experience will become their future.

5.2 Industrialization and the water crisis

5.2.1 Industrial relocation and the water crisis

If industrial relocation Civic Exchange recently released a report entitled “Industrial Relocation in proceeds unheeded, Guangdong Province: Avoid Repeating Mistakes” gives a detailed analysis the PRD's water on the threats to water resources caused by Guangdong Province's current pollution problems are industrial relocation policies. likely to be repeated in upstream and more ecologically sensitive On the one hand, industrial relocation has caused industrial water use to regions grow rapidly, increasing target regions' water burden, the gap between supply and demand for both industrial and domestic water supplies, and exacerbating water shortages. On the other hand, the river basin's natural environmental capacity to absorb pollutants has been consumed by an increase in pollution discharge caused by weak regulatory enforcement, lack of supervision, lags in construction of water treatment facilities, gaps between water quality standards and environmental capacities, and the weakening of the river system's natural purifying ability caused by the construction of a series of stairstep reservoirs.

The Civic Exchange report notes that if industrial relocation proceeds without changes to placement, scope and speed, the water pollution problems faced by the Pearl River Delta region are likely to be repeated in larger upstream areas and in more ecologically sensitive regions.52

5.2.2 The “stacking effect” of industrialization and urbanization

Synchronized peaks According to the research of Professor Chen Jining, Tsinghua University and Chief Scientist of the National Water Research Project, China's population, urbanization, and industrialization will simultaneously peak around 2030. They will grow together along a similar timeline; and spatially, agricultural, urban and industrial land will also be stacked in the same area, resulting in increased environmental stress both in time and space.

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If China develops along current trends, and even if all industrial wastewater meets the National Integrated Wastewater Discharge Standard (GB 8978-1996)53 before it is discharged, and 90% of domestic wastewater is treated, then common water pollutants will still be a huge problem for China's aquatic environment.

The period from 2000 to 2030 is the crucial time for preventing an environmental disaster, and the crucial location that must be effectively controlled is the middle of the country that connects China's water source regions in the west with its water-consuming regions in the east.54

The Dongjiang Basin is With the cities in Dongjiang's middle reaches rapidly growing, and the a microcosm of the cities in the upper reaches simultaneously undergoing urbanization and stacking effect industrialization, the Dongjiang Basin is a microcosm of the stacking effect. Thus, this must become a target region to minimize stacking effect.

5.3 The effects of hydropower stations on river ecology

5.3.1 Stairstep hydropower stations segment the Dongjiang in Heyuan

Closely spaced dams As described above, fourteen stairstep formation hydropower stations are have an enormous planned along the 435km of the Dongjiang – on average, there will be a effect on the river's large dam every 31km. However, because the gradient of the riverbed is natural hydrology and uneven, dams are concentrated in steeper stretches of the river. For hydrodynamics example, near Heyuan, where the gradient is relatively steep, 11 stations will be built along 250km of the Dongjiang. Currently, 10 of these stairstep dams have already been completed. In some stretches, dams are as few as 10km apart. Such closely spaced dams have an enormous effect on the river's natural hydrology and hydrodynamics.

5.3.2 Small hydropower stations on tributaries intensify Dongjiang segmentation

Small hydro frenzy Small hydropower stations are now ubiquitous in the Dongjiang Basin.55 adds stacking effect on Available (though incomplete) statistics, show there were 802 small river segmentation hydropower stations in Heyuan by the end of 2005,56 and more than 450 in Huizhou by the end of 2010.

Civic Exchange's 2011 Dongjiang Expedition (The Expedition team) observed that small hydropower stations are densely situated in Heyuan and Huizhou. On one tributary, 7 small hydropower stations were seen along 15km, with an average interval of 2 to 3km. Some of these hydropower stations use a water diversion pipe that removes water from the riverbed and forces it through a tube to maximize power generation at a downstream location. This generation method creates stretches of bone-dry riverbed.

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5.4 Development of mining operations damage water sequestration zones

5.4.1 The double-edged sword of abundant resources

Huizhou's mining For the most part, mining for metals in Huizhou ended in the 1990s. industry: current Currently, mining operations extract granite for construction, clay for bricks 57 status and problems and shingles, sand for construction, kaolin porcelain clay, underground hot water, mineral water, and other non-metallic materials. Each year, the area produces 5.3 million m3 of stone and 2.5 million tons of sand for construction, primarily for local consumption, with some sold to Guangzhou, Dongguan, Shenzhen and other areas.

In 2008, Huizhou concluded that there were four main problems associated with the mining and extraction industry: the common occurrence of geological problems at mining sites, delayed reforestation of abandoned mining areas, few resources dedicated to management and regulation, and unlicensed rare earth metal extraction.

Ineffective and As stated above, reforestation and restoration was one of the major inappropriate problems identified in 2008. Three years later, the Expedition team eco-restoration observed large areas of fast-growth eucalyptus planted widely in Huizhou; this is seen as a way to serve the dual purposes of reforestation and providing income. However, the harm caused by fast-growth eucalyptus outweighs the benefits when one considers its poor erosion prevention ability, its damage to biodiversity, and its negative effects on the land's water sequestration ability. The harm to Huizhou's ecology was brought to light before 2008,58 but regrettably, three years later, there have been no evident changes to the situation.

Heyuan's mining Industry: Current status and problems

Mining industry awaits The area under the jurisdiction of Heyuan City is located within China's take-off southern mountainous mineral-rich region which possesses abundant mineral resources. Heyuan produces a quarter of the world's super white quartz sand and possesses a quarter of the world's known supply. It is known as southern China's “Quartz Treasure Bounty”.

For this reason, Heyuan has decided to develop under the banner of “new materials, new energy” by transforming its resource strength into economic strength through the development of thin-film photovoltaic panel production and research, as well as a solar energy generation industry. The aim is to form a complete industrial chain that begins with sand and ends with electricity.59 As part of Heyuan's plans to make its photovoltaic industry “strong and large”, Hanergy Holding Group's Heyuan factory started production in November 2011.60

Heyuan also possesses valuable heavy rare earth metals in the form of ion-adsorption clay, an amount totaling over 20% of all rare earth metal resources in southern China. Both the government at centeral and local level and the people of Heyuan have long wanted to exploit this treasure.

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In Guangdong Province's rare earth metal development plans, Heyuan has been named as a key planning and processing area for rare earth metals. China Minmetals Corporation signed a cooperative agreement with Heyuan last year to speed up exploration and development of rare earth metal resources. In March of this year, Heyuan's government and Party leaders again visited Minmetals, urging them to accelerate the pace.61

Mining of rare earth According to Xinhua Net,62 the great majority of rare earth metal mining metals are destroying operations in China use outdated methods that cause enormous damage ecosystems, and to the environment. Main steps in traditional rare earth metal extraction leaves much more include "mountain moving" and immersion pools. This involves removing harm than good to the the vegetation and topsoil of an entire area of mountainside, and locals immersing extracted ore-containing rocks in on-site pools filled with corrosive chemicals such as oxalic acid, ammonium sulfate, ammonium bicarbonate.

These practices damage vegetation and landforms in ways that are often irreversible. In addition, the chemical immersion and sedimentation techniques produce large quantities of wastewater with high concentrations of toxic chemicals such as ammonia and heavy metals which seriously pollute drinking and irrigation water supplies and are difficult to clean up.

The government’s Because these practices are low-cost, low-tech, and use commonly strict measures have available materials and easily constructed facilities, they are widely used not been effective for illegal rare earth mining and difficult to regulate. For many years, these harmful activities have been rampant in Heyuan, and although the government has imposed strict measures to curb them, the effect of these measures has not been clear. 63

In some areas, unlawful mining started by using a liquid injection extraction process in order to escape the attention of authorities. This process involves drilling a vertical shaft from the mountaintop and filling the space with a chemical solution that dissolves rare earth metal ions from the rock. The solution eventually flows to the bottom of the mountain, through horizontal channels and ending in outlets where the rare earth metal containing liquid is collected. This process results in the death of an entire mountain's ecosystems and also creates hidden conditions for geological disasters. 64

In Longchuan County, Heyuan, the Expedition team photographed suspicious horizontal outlet holes that seemed to be used for this process (please see the sister report "The Dongjiang Expedition in Pictures" for additional details).

5.4.2 Future planning and threats

When Both Heyuan and Huizhou have included mineral extraction as a key part of resource-dependent local economic development in their medium-term development plans, industries become with the aim to make the most of their resource strengths. The important sources of development priorities follow the needs of economic development – thus, tax revenue, if nearby industries require a resource that can be provided locally then the environmental protection is forced to development of that resource shall be prioritized.

26 take the backseat In theory, the protection of environment and ecology is placed as a top priority. Both cities’ development plan specifically states that “when mining development conflicts with environmental protection, mining development must make way for environmental protection; all mining activity that causes serious harm to the environment will be resolutely shut down.”65 But in reality, once resource-dependent industries enter an area and become important sources of tax revenue, environmental protection is usually forced to take the backseat.

For example, the Liucheng Quartz Quarry in Dongyuan County within Heyuan's jurisdiction was listed as a key clean-up location in 2010,66 but when Civic Exchange visited in 2011, it discovered that the area's quartz extraction and processing activity had not only escaped shut-down, but appeared to be in full swing.

Although Heyuan's development slogan “Seek for mountains of wealth, but seeking clear water and verdant hillsides even more” is displayed all over the city and widely known by its citizens, the reality is that Heyuan's current economic development model, based on unregulated, large-scale extraction and heavily polluting industrial processes, generates wealth at the expense of clean water and verdant hillsides (for details see The Dongjiang Expedition in Pictures).

5.5 Lacking Basic sanitation services in rural villages

5.5.1 Garbage surrounds villages

Rural garbage and The problem of garbage surrounding cities is common in many countries wastewater were including China. This problem is also quickly becoming serious in the seldom centrally countryside in China, where it is now common to see garbage surrounding treated villages.

According to a report by the Southern Daily newspaper, in Guangdong Province, where the urbanization rate is high and the speed is rapid, the eastern and western wings, as well as the mountainous north, are experiencing a shocking garbage and pollution crisis. In many of these rural areas, the situation is described as “garbage disposal relies on the wind, wastewater disposal depends on evaporation.”67

The Expedition team followed the river north from Guangdong into Jiangxi, from Dongjiang’s lower reaches to its source. Along the way, the team observed that rural garbage and wastewater were seldom centrally treated – in general, garbage was dumped freely and wastewater discharged wherever convenient (for details see The Dongjiang Expedition in Pictures).

5.5.2 Villagers’ consciousness lags behind the changing times

Villagers are Interviews with villagers revealed that although some ways of life had accustomed to changed, villagers’ environmental consciousness has not evolved. For throwing waste where thousands of years, people living near rivers and streams have used these they please, with little waterways as a convenient way to dispose of garbage and wastewater. In

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knowledge on the agricultural times, garbage naturally decomposed, and almost all of it could non-biodegradable be recycled and reused (for example, as natural fertilizer). Furthermore, nature of the waste garbage quantities were quite limited in the past. Therefore, villagers are accustomed to throwing waste where they please and seldom think twice before directly discharging sewage into rivers.

In the countryside, the most commonly seen garbage is non-biodegradable plastic products and styrofoam containers. In some areas, even construction waste is dumped directly into river channels. Perhaps villagers do not understand that after such garbage is swept or blown away, it does not return to nature like traditional agricultural waste. During the expedition, a villager comforted the team by saying “Don’t worry, as soon as it rains the village will be clean”. Although some villages have central garbage collection stations, they have not instituted systems to ensure that the garbage is properly disposed of. Thus, in many cases, garbage collection stations have become garbage piles.

5.5.3 Rural villages lack social management

Lack of garbage central While the consciousness of villagers is an important factor in the poor collection and environmental condition of villages, the government’s lack of social treatment threatens management in rural villages must not be ignored.68 rural sanitation and people’s wellbeing At a village called Duozhu in Huidong County, the Expedition team interviewed a garbage separator at an open-air garbage pile. He said that the local government wished to build a more advanced garbage processing station, but its budget could not provide the more than RMB100,000 investment required. Therefore, the garbage station keeps slipping through the cracks, and the limited garbage separation and recycling relies largely on outside laborers.

Many garbage separators live directly on the garbage piles in filthy, deplorable conditions. Besides separating garbage to make a living, they also keep chickens, pigs, and cows to augment their incomes. These animals live off the garbage, and are sold to urbanites at premium prices labeled as “free range” and “ecologically raised”, a practice that is sure to compromise food safety.

5.6 The neglected Dongjiang source region

5.6.1 Water quality degradation in Dongjiang source area

Dongjiang’s water In the 1980’s, all Xunwushui water quality inspections met the nation’s quality is on a surface water quality standard (GB3838-88) for class 1 water. In the 1990s, downward trend it met the national surface water standard (GHB1-1) for class 2 water. In 1999 and 2000, sampling in 50km of the river found that the water met the GHB1-1 standard for class 3 water. In 2007, water near the river source barely met the national Environmental Quality Standard for Surface Water (GB 3838-2002) for class 2, while water at the Douyan Reservoir outlet was found to be of class 3 and class 4 quality. Dongjiang’s water quality is trending downward.69

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5.6.2 Safety of the Dongjiang source – “Three monks having no water to drink”

As a poverty-stricken Dongjiang’s importance to Guangdong is clear. However, the challenges county, Xunwu made plaguing Dongjiang’s source are too often forgotten. valuable contributions to its downstream Dongjiang’s primary source, also known as its eastern source, is located in areas. Responsibility is Xunwu County, Ganzhou City, Jiangxi Province. The primary source, along shared, but not the with the western source located in Anyuan County of Jiangxi Province, is benefits managed by Jiangxi Province because of its location within the Jiangxi border. From the perspective of water resources management, Dongjiang’s sources should be under the jurisdiction of the DRBMB, but the DRBMB is a government organ under GDWRB, and its authority cannot go beyond the borders of Guangdong Province. Jiangxi’s river systems are generally part of the Changjiang River Basin and are managed comprehensively by the Changjiang River Basin Management Bureau. Therefore, the protection of Dongjiang’s source is stuck in a quagmire of “three monks having no water to drink.”

Xunwu County, where Dongjiang’s primary source is located, takes up one third of the total area of the Dongjiang Basin and is also home to 22% of Dongjiang’s total length. Each year, it provides 2 billion m3 of water to downstream users. However as a nationally recognized poverty-stricken county, Xunwu has an annual tax revenue of only RMB200 million. In recent years, Xunwu has protected Dongjiang’s source region at great expense, spending money on planting forests, cleaning up river channels, compensating citizens for ecological relocation, and even passing up investment opportunities, in particular ending some mining operations and ceasing to approve additional mining licenses.

For years, Xunwu has made valuable contributions to its downstream areas and the economy of the nation. However, Xunwu enjoys little benefits from the sale of Dongjiang water or Dongjiang’s water allocation.70 Responsibility is shared, but not the benefits. If the source area is damaged, Xunwu is liable under China’s laws governing environmental protection and wastewater control.

5.6.3 Tension between development, livelihoods and environmental protection

If the villagers’ Anyuan and Xunwu are both well-known rare earth metal towns. In order livelihood could not be to protect national strategic resources and Dongjiang’s water sequestration improved, the illegal region, the government has been heavily regulating rare earth metal mining is unlikely to mining activity in these counties. Measures taken include the limited stop approval of extraction rights, ceasing to approve new licenses, and the closure and re-evaluation of some mining operations.

When the Expedition team visited the area, the team noticed many banners expressing the government’s stance on this issue: “Use extraordinary measures to resolutely attack illegal rare earth metal mining activity!”; “All equipment used to extract rare earth metals will be torched on the spot!”, etc.

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Photograph 9 Wenfeng Village, Xunwu County, Jiangxi Province: “All equipment used to extract rare earth metals will be torched on the spot!”

However, the profit margin associated with rare earth metals is too high – it is said to have the profit margins of heroin without the associated risk. If one is caught illegally mining rare earth metals, the most severe punishment is two years in jail. Compared to the possibility of becoming wealthy in a short period of time, the risk is “very acceptable”71 to many locals.

The so-called “development” has already damaged their old way of living, but villagers continue on the path of unsustainable “development”. Even though villagers know the disastrous effects of rare earth metal mining on the environment and are actually suffering from these problems, they are still the main labor source of illegally mining.72

If prohibiting extraction and tightening rules could not improve the villagers’ livelihood, the illegal mining is unlikely to stop.

5.6.4 Building a navel orange town – solving one problem while neglecting another

The growth of navel In its search for a development path in the “post-rare earth maniac” era, orange and tangerine Xunwu County has pursued the idea of planting navel orange orchards and cultivation has other economically valuable fruit orchards on the large areas of land drastically increased covered with tailings left over from rare earth metal mining. The economic nonpoint source promise of navel oranges and tangerines has stimulated a new tide of pollution frenzied cultivation. By year-end 2011, the land area planted with orchards reached 500,000 mu (1 mu = 666.7m²) and yearly production exceeded 600,000 tons, with a total value exceeding RMB 1.2 billion.

According to the most recent research of Liu Qinglong (Jiangxi Environmental Engineering Vocational Academy), despite the reforestation of large areas of land, the new forests’ high ratio of young trees and saplings and the low diversity of tree species have not ameliorated the damage to forest ecosystem services and erosion prevention ability caused by the over-logging of primary forest in Xunwu.

Large amounts of Additionally, cultivation of navel orange orchards has not always been nutrients contribute to carried out carefully - in some cases, trees have been planted on slopes the insidious danger of greater than 25 degrees; in others, land is prepared for orchards by eutrophication clear-cutting the hillsides from bottom to top in a practice known locally as “shaving a head”; and over-using pesticides and chemical fertilizers (average fertilizer application is as high as 369 kg/hm2). The agricultural nonpoint source pollution increase daily. Large amounts of nitrogen, phosphorus, and potassium contribute to the insidious danger of eutrophication.73

In Xunwu, the Expedition team observed ubiquitous navel orange and tangerine orchards planted on slopes steeper than 25 degrees.

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６ Policy Recommendations

6.1 For the HKSAR Government

6.1.1 Develop a long-term water strategy

Synchronise with new On February 2012, the State Council promulgated the Opinion on mainland water policy Implementing a Strict Management System for Water Resources. 74 This establishes limits on the development, use and protection of water resources. All local authorities are to “base their needs on water availability and act according to water availability”.

While the “one country, two systems” principle guides mainland-Hong Kong relations, Hong Kong should not ignore the new State Council policy because the water resources that supply Hong Kong are in the mainland. The Pearl River Delta cities under the Dongjiang water allocation arrangements are governed by the new policy, thus Hong Kong should take it upon itself to observe the same policies.

Indeed, under the “one country, two systems” principle, the new Hong Kong administration taking power on 1 July 2012 can put forward its own policy that reflects mainland policy so that mainland-Hong Kong policies on water resources can be appropriately synchronized.

Devise long-term The current water supply agreement between Guangdong Province and strategy before 2014 Hong Kong will have to be renegotiated before expiration in 2014. This gives the new CY Leung administration about a year to devise and consult on a long-term water strategy that emphasizes water conservation in Hong Kong, as well as collaboration with Guangdong Province and other stakeholders to protect and manage the water resources of not only the Dongjiang but also the whole of the Pearl River Basin.

Hong Kong should be open to explore whether it can set a cap on water usage and progressively reduce it.

Civic Exchange’s policy recommendations in Liquid Assets: Water Security and Management in the Pearl River Basic and Hong Kong (December 2009) 75 and Liquid Assets II: Industrial Relocation in Guangdong Province (January 2012) 76 remain relevant.

6.1.2 Examples of local initiatives

Provide high-level Hong Kong can do many things that the Water Supplies Department is political support to already prepared for. With high-level political support, beneficial changes harvest the low can occur in the next five year term of the new administration. Examples hanging fruits include:

 Set a higher target to reduce leakage rate: Even though the Water Supplies Department has already accelerated the original plan by five years to replace old water pipes by 2020, the leakage rate will still be 15%.77 The US, Japan, France and Germany have leakage rates below 10%. Tokyo’s water leakage

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rate is only 3.3%78 so Hong Kong can do better.  Improve water efficiency and mandatory labelling: The entire public sector can lead by replacing water faucets and other water equipment to improve efficiency. Newly built public sector buildings, including housing, can be fitted with water efficiency equipment; and the government can consider whether it would be appropriate to move from the current voluntary to mandatory water efficiency labelling.  Reuse water wherever possible: Programs to harvest rain water, use grey water and recycle water should be enhanced and expanded.

6.2 For the Guangdong Provincial Government

6.2.1 Implement sustainable development , revise plans to reflect the new water policy

The new policy should The foundation of “Happy Guangdong” is a focus on satisfying the basic affect the extent and needs of the people: clean water, fresh air, safe food, secured homes, speed of Guangdong’s opportunities to make a living, and a dignified existence. This new focus urbanisation and represents an important shift in policy mindset in the province’s 12th Five industrial relocation Year Plan. To achieve that vision, the authorities must implement development that is truly sustainable.

It should revise current development plans taking the Opinion on Implementing a Strict Management System for Water Resources into account. If properly done, the new national policy should affect the extent and speed of Guangdong’s urbanisation and industrial relocation.

6.2.2 Strengthen rural infrastructure and basic social management

Guangdong should enhance its rural infrastructure, to ensure a good standard of rural sanitation for better water protection. For example, rural villages are in urgent need of basic sanitation facilities and related management, in order to properly collect and treat wastewaters and solid waste.

6.3 Cooperate with Hong Kong and Jiangxi

Use existing Hong Kong-Guangdong government-to-government dialogue platforms to explore water resource management of the Dongjiang and Pearl River Basin, and to work with other provinces and stakeholders especially in Dongjiang source regions in Jiangxi Province to devise a long-term plan where all stakeholders accept they have a shared responsibility for the health of the entire river basin.

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Appendix 1. Fieldtrip Photos

Photograph 1: “National Civilized City – Huizhou” - high-rises populate both sides of Dongjiang

Photograph 2: In Huizhou, many riverbanks have been hardened, increasing eutrophication and resulting in the profuse growth of water hyacinth.

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Photograph 3: “Giving the world a Wanlv Lake – A New Portside Town on the Banks of Xinfeng Reservoir in Heyuan” - real estate development encroaching on the reservoir.

Photograph 4: Industrial-wastewater-like fluid emits directly into Dongjiang’s main course, the photo was taken outside of the Heyuan (Zhongshan) Industrial Park, a provincial model park which has a modern domestic wastewater treatment facility in the park.

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Photograph 5: Water diversion hydropower plant creates a stretch of dry riverbed.

Photograph 6: Mountainsides in Huizhou covered with fast-growth eucalyptus.

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Photograph 7: Liucheng, Dongyuan County – Dongjiang's first screen-shaped mountain range, the location of an enormous open-air quartz quarry. A quartz processing plant is visible in the background on the Dongjiang bank.

Photograph 8: The lack of lifestyle choices when living in a garbage pile.

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Photograph 9: Wenfeng Village, Xunwu County, Jiangxi Province: “All equipment used to extract rare earth metals will be torched on the spot!”

Photograph 10: Navel orange orchard in Changpu Village, Xunwu County.

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Endnotes

1. Dongjiang River Basin Management Bureau Government document No〔2008〕50, (2007) “東江流域水資源情況（0802）”, Water http://search.gd.gov.cn/detail?record=20&chan Resources column, website of the Dongjiang nelid=8907, accessed on 2 Mar 2012. River Basin Management Bureau, 5 Dec 2007, 13. 陳清浩 & 粤水婷, “水量分配方案是取水紅 http://www.djriver.cn/News_View.asp?NewsID= 42, accessed on 14 Feb 2012. 線”, Nanfang Daily, 11 Dec 2008, 2. LIU Su & BIAN Dao (2012) Liquid Assets II – http://epaper.nfdaily.cn/html/2008-12/11/conte Industrial Relocation in Guangdong Province: nt_6708769.htm, accessed on 2 Mar 2012. Avoid Repeating Mistakes, Civic Exchange, 14. See endnote 1. January 2012, pp. 6-11. 15. Ibid. 3. According to a report by the Nanfang Daily, 16. According to 廣東省水資源公報, the definition Guangdong Province’s urbanization rate has of total water resource quantity is the amount of reached 66.2%, one of the highest in the country. surface water and ground water resulting from In the Pearl River Delta region, the urbanization rainfall over the area, and not including water rate exceeds 80%, which is on the level of brought in from other regions. The total is the middle-developed nations. Nanfang Daily, “廣東 sum of the surface water volume and ground 省委省政府召開提高城市化發展水平工作會 water volume, less the amount that is transferred between the two to avoid 議”, 8 Dec 2011, double-counting. http://www.chinadaily.com.cn/hqgj/jryw/2011-1 17. Total water resource amounts in Guangdong 2-08/content_4622339.html, accessed on 2 Mar Province and the Dongjiang River Basin have 2012. been calculated using relevant data from the 4. Expedition team members included Civic 2001-2010 廣東省水資源公報. Exchange Greater China Program Manager LIU Su and her assistant LU Hongyi, Sichuan 18. The 50-year average was calculated from 廣東省 Hengduan Mountain Research Association 水資源公報 2006. Director YANG Yong and his assistant DENG 19. See endnote 1. Tiancheng, and Immanuel. 20. See endnote 17. 5. DENG Tiancheng based upon the “Dongjiang 21. See endnote 18. River Basin Map” in “東江流域水資源情況 22. Created by LIU Su according to data from “供用 （0802）” by the Dongjiang River Basin 水量” section of 廣東省水資源公報 2000-2010 Management Bureau. See endnote 1. from the Guangdong Province Water Resources 6. People’s Government of Guangdong Province Department. (2011) “關於嚴格限制東江流域水污染項目建 23. Ibid. 設，進一步做好東江水質保護工作的通知”, 24. Created by LIU Su according to data from “供用 Guangdong Government Letter No [2011]339. 水量” section of 廣東省水資源公報 2010 from 7. See endnote 1. the Guangdong Province Water Resources 8. See endnote 1. Department. 9. 建管, “我市境內東江梯級電站建設態勢發展 25. Created by LIU Su according to data from “用水 良好”, Website of Heyuan Waterworks, 14 Jan 指標” section of 廣東省水資源公報 2000-2010 2010, from the Guangdong Province Water Resources http://www.hywater.gov.cn/articleshow.asp?id= Department. 524&typeid=3&bigclassid=30, accessed on 7 26. Created by LIU Su according to data from “供用 May 2012. 10. Dongjiang River Basin Management Bureau of 水量” section of 廣東省水資源公報 2006-2010 Guangdong Province (2009) 廣東省東江流域管 from the Guangdong Province Water Resources Department. 理局簡介, June 2009. 27. Ibid. 11. See endnote 1. 28. Ibid. 12. People’s Government of Guangdong Province, 29. Ibid. “東江流域水資源分配方案”, Guangdong 30. house.163.com, “廣州東進佈局以及發展規劃”,

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4 Jan 2011, http://www.huizhou.cn/news/newsc_counties/n http://gz.house.163.com/11/0104/16/6PIN76NA ewsc_hz/201202/t20120220_687328.htm, 00873L40.html, accessed on 10 May 2012. accessed on 15 May 2012. 31. Shenzhen Daily, “深圳嚴重缺水“十二五”期間 44. Information Services Department, HKSAR Government (2011) “Hong Kong: The Facts – 有望喝上西江水”, Water, Power and Gas Supplies”, Sep 2011, http://news.sznews.com/content/2011-03/28/c http://www.gov.hk/en/about/abouthk/factsheet ontent_5472664.htm, accessed on 4 May 2012. s/docs/wp&g_supplies.pdf, accessed on 14 May 32. Dongguan Times, “東莞適當提高水價勢在必 2012. 行”, 6 Mar 2012, 45. 陳凱, “水岸經濟鑄造城市引擎 新興工業創造 http://news.h2o-china.com/html/2012/03/1151 財富動力”, 說給焦點論壇, 2 Dec 2006, 331015835_1.shtml, accessed on 10 May 2012. http://house.focus.cn/showarticle/4802/534860 33. Huizhou Daily, “預計預測 2010 年惠州缺水 2 億 .html, accessed on 10 May 2012. 立方米”, 23 Mar 2007, 46. 熊興, 江源 et al (2010) “東江下游河網區土地 http://www.huizhou.gov.cn/zwgkviewArticle.sht 利用變化及其對水體的生態影響” in Journal of ml?method=viewArticle&id=ff808081116ab808 Natural Resources, Vol25 No8, Aug 2010. 01117d198ed401e6, accessed on 4 May 2012. 47. Guangdong Province Environmental Protection 34. Created by LIU Su according to data from “廢水 Department, “廣東省環境統計公報 2010”, 23 排放總量” section of 廣東省環境統計公報 Aug 2011, 2001-2010 from the Guangdong Province http://www.gdep.gov.cn/zlkz/tjxx/201108/t2011 Environmental Protection Department. 0823_119931.html, accessed on 14 May 2012. 48. Discharge standard of pollutants for municipal 35. Created by LIU Su according to data from “廢污 wastewater treatment plant, GB 18918-2002, 水排放量” section of 廣東省水資源公報 National Standard of the People's Republic 2004-2010 from the Guangdong Province Water of China. Resources Department. 49. 孟慶利, “廣東水質型缺水嚴重，正制定最嚴格 36. Ibid. 水資源管理制度”, Yangcheng Evening News, 28 37. Ibid. 38. Ibid. Feb 2012, http://gd.people.com.cn/BIG5/n/2012/0228/c12 39. Farmers’ Daily, “城鎮化率首超 50% 深層問題 3964-16791865.html, accessed on 14 May 2012. 期待破解”，14 Mar 2012, 50. See endnote 43. http://2010jiuban.agri.gov.cn:82/gate/big5/ww 51. Heyuan Daily, “河源市城市總體規劃 w.moa.gov.cn/ztzl/nyjj_1/2011nian/201203/t20 (2008-2020) ”, 19 Apr 2011, 120314_2509228.htm, accessed on 10 May http://www.heyuan.cn/xw/20110419/54619.ht 2012. m, accessed on 15 May 2012. See also endnote 40. Office of Guangdong Province State Land and 39. Resources Department, “省國土資源廳舉辦“城 52. Environmental quality standards for surface 市化道路與土地制度改革”專題報告會”, 1 Apr water, GB 3838-2002, National Standard of the People's Republic of China. 2012, 53. See endnote 2. http://www.gdlr.gov.cn:81/gate/big5/www.gdlr.g 54. Integrated wastewater discharge standard, GB ov.cn/wapNews.do?method=arcdeail&classId=0 8978-1996, National Standard of the People's 20019980000000467&newsId=02001004000013 Republic of China. 5615 , accessed on 10 May 2012. 55. 古春曉, “解鎖中國水環境疊加壓力”, 建設科 41. 陳清浩 & 粵水軒, ““西水東調”重點項目全面 技, Issue 21, 2008. 提速”, Nanfang Daily, 7 Mar 2012, http://epaper.nfdaily.cn/html/2012-03/07/conte 56. China Water Resources News, “不斷發展壯大的 nt_7064039.htm, accessed on 10 May 2012. 中國農村水電——我國農村水電發展史回顧”, 42. 付常銀, “廣東水價率先上調成本壓力促成提 13 July 2004, 價”, China Economic Times, 20 Feb 2012, http://www.ahslzb.com.cn/display.asp?id=3828, accessed on 15 May 2012. http://news.h2o-china.com/html/2012/02/1151 329703873_1.shtml, accessed on 10 May 2012. 57. 南方網, “廣東河源小水電“嚐到甜頭”，十年新 43. Huizhou Daily, “惠州市城市總體規劃 增裝機 17 萬千瓦”, 20 Sep 2006, (2006-2020)”, 20 Feb 2012, http://info.electric.hc360.com/2006/09/200944

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52565.shtml, accessed on 15 May 2012. 理上的疏忽”, 17 Feb 2012, 58. Huizhou Municipal Land & Resources Bureau, http://epaper.nfdaily.cn/html/2012-02/17/conte “惠州市礦產資源總體規劃(2008-2015)”, 7 Sep nt_7057868.htm, accessed on 16 May 2012. 2010, 70. Xunwu County Water Resources Bureau, “尋烏 http://www.huizhou.gov.cn/zwgkviewArticle.sht ml?method=viewArticle&id=bba17c652af74e1f0 縣東江源水資源保護利用情況報告”, 15 Nov 12afe66de540214, accessed on 15 May 2012. 2011, http://wenku.baidu.com/view/f2a3e5d33186bc 59. 南方網廣東發展論壇, “惠東面臨兩大環境污 eb19e8bb69.html, accessed on 17 May 2012. 染破壞的問題：開採稀土礦，速生桉林”, 31 May 71. 劉伊曼, “水權謎題：城市間水資源競爭日益明 2008, http://bbs.gd.gov.cn/thread-315509-1-1.html , 顯”, Oriental Outlook Weekly, Issue 48, 2011, accessed on 15 May 2012. http://big5.xinhuanet.com/gate/big5/news.xinh uanet.com/city/2011-12/07/c_122389403_3.ht 60. 董福軍 et al, “點石成金——河源光伏產業圖 m, accessed on 16 May 2012. 譜”, Heyuan Daily, 17 Nov 2011, 72. 郭芳 & 董顯萍, “贛州官員百姓瘋狂偷採稀土： http://www.heyuan.cn/xw/20111117/61384.ht m, accessed on 16 May 2012. 比海洛因更容易讓人上癮”, China Economic Weekly, 17 Apr 2012, 61. 南方網, “廣東最大光伏項目漢能項目投產 汪 http://www.360doc.com/content/12/0417/08/1 洋出席投產儀式”, 19 Nov 2011, 739793_204292498.shtml, accessed on 16 May http://news.southcn.com/dishi/heyuan/content 2012. /2011-11/19/content_33497127.htm, accessed 73. 于垚峰, “贛州稀土調查：商人一個月賺 1 千萬 on 19 May 2012. 環境治理需 70 年”, National Business Daily, 20 62. 董福軍, “何忠友彭建文率隊拜訪中國五礦集 Apr 2012, 團，雙方對下一步合作表示-加大力度加快進度 http://finance.ifeng.com/news/region/2012042 實現共贏”, Heyuan Daily, 31 Mar 2012, 0/5966689.shtml, accessed on 16 May 2012. http://www.heyuan.cn/xw/20120331/65130.ht 74. 劉青龍, “尋烏縣臍橙種植對地表水水質影響 m, accessed on 16 May 2012. 的初探”, Jiangxi Environmental Engineering 63. 江國成 & 劉彬, “落後開採方式毀壞環境 促 Vocational College, 19 Apr 2012, 進稀土行業可持續發展”, sina.com, 8 May 2012, http://wendang.baidu.com/view/db9f93ed6294 dd88d0d26b57.html, accessed on 16 May 2012. http://finance.sina.com.hk/news/33452/2/1/48 49939/1.html, accessed on 19 May 2012. 75. General Office of the State Council, “國務院關 64. 劉伊曼, “水污染，誰是子孫後代的罪人？”, 於實行最嚴格水資源管理制度的意見”, 國發 Oriental Outlook Weekly, Issue 5, 2012, No〔2012〕3, 16 Feb 2012, http://news.sina.com.cn/green/news/roll/2012- http://www.gov.cn/zwgk/2012-02/16/content_2 02-13/120823925104.shtml , accessed on 16 067664.htm , accessed on 17 May 2012. May 2012. 76. Dinesh Sadhwani et al (2009) Liquid Assets: 65. 湯先增 et al, “福建寧德山體滑坡 現場稀土盜 Water Security and Management in the Pearl 採觸目驚心”, 東南新聞網, 26 Apr 2012, River Basin and Hong Kong, Civic Exchange, December 2009, http://news.qq.com/a/20120426/000564.htm , http://www.civic-exchange.org/eng/upload/files accessed on 16 May 2012. /091204LiquidAssets.pdf , accessed on 17 May 66. See endnote 53. 2012. 67. 下雨天, “東源：鐵腕整治與規範管理並舉 推 77. See endnote 2. 進礦產資源科學有序開發”, 東江河畔網, 11 78. Development Bureau & Water Supplies Aug 2010, Department, “Progress of Implementation of http://www.heyuan762.com/2010/0811/4505.h Total Water Management Initiatives”, Legislative tml, accessed on 16 May 2012. Council document CB(1)1919/09-10(03) for Legislative Council Panel on Development, 25 68. 謝苗楓 et al, “垃圾靠風刮污水靠蒸發 粵東西 May 2010. 北垃圾圍村觸目驚心”, online version of 79. “Vast amounts of resources are being lost to Nanfang Daily, 1 Feb 2012, leaky pipes”, Global Times, 30 May 2011, http://law.southcn.com/c/2012-02/01/content_ http://china.globaltimes.cn/society/2011-05/66 37057168.htm, accessed on 16 May 2012. 0331.html , accessed on 17 May 2012. 69. Nanfang Daily, ““垃圾圍村”反映在農村社會管

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