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Energies 2016, 9(9), 709;

Mechanism of Fiscal and Taxation Policies in the Geothermal Industry in China

1,2, 1,2,*, 1,2 and 1,2
School of Humanities and Economic Management, China University of Geosciences, Beijing 10083, China
Key Laboratory of Carrying Capacity Assessment for Resources and Environment, Ministry of Land and Resources, Beijing 100083, China
Author to whom correspondence should be addressed.
Academic Editor: Kamel Hooman
Received: 27 May 2016 / Revised: 9 August 2016 / Accepted: 26 August 2016 / Published: 3 September 2016
PDF [1182 KB, uploaded 3 September 2016]


Geothermal energy is one of the cleanest sources of energy which is gaining importance as an alternative to hydrocarbons. Geothermal energy reserves in China are enormous and it has a huge potential for exploitation and utilization. However, the development of the geothermal industry in China lags far behind other renewable energy sources because of the lack of fiscal and taxation policy support. In this paper, we adopt the system dynamics method and use the causal loop diagram to explore the development mechanism of fiscal and taxation policies in the geothermal industry. The effect of the fiscal and taxation policy on the development of the geothermal industry is analyzed. In order to promote sustainable development of the geothermal industry in China, the government should pay more attention to subsidies for the geothermal industry in the life-cycle stage of the geothermal industry. Furthermore, a plan is necessary to provide a reasonable system of fiscal and taxation policies. View Full-Text
Keywords: geothermal industry; fiscal and taxation policies; system dynamics; China geothermal industry; fiscal and taxation policies; system dynamics; China

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Jiang, Y.; Lei, Y.; Li, L.; Ge, J. Mechanism of Fiscal and Taxation Policies in the Geothermal Industry in China. Energies 2016, 9, 709.

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