146-Losses Due to Environmental Pollution-September 2006 --- **Losses Due to Environmental Pollution** In 2004, environmental pollution in China caused losses equivalent to 3.05% of GDP. This loss is estimated at approximately 511.8 billion yuan. Water pollution accounted for the largest share, reaching 55.9% of the total. Air pollution followed, accounting for 42.9%. This economic loss includes not only direct environmental cleanup costs but also indirect economic losses from health impacts, effects on crops, and reduced industrial production. The government invested approximately 1.18% of GDP in countermeasures, but this amount falls short of even half the necessary investment.

146-Losses Due to Environmental Pollution-September 2006 --- **Losses Due to Environmental Pollution** In 2004, environmental pollution in China caused losses equivalent to 3.05% of GDP. This loss is estimated at approximately 511.8 billion yuan. Water pollution accounted for the largest share, reaching 55.9% of the total. Air pollution followed, accounting for 42.9%. This economic loss includes not only direct environmental cleanup costs but also indirect economic losses from health impacts, effects on crops, and reduced industrial production. The government invested approximately 1.18% of GDP in countermeasures, but this amount falls short of even half the necessary investment.

Water pollution is a particularly severe nationwide problem in China, with contamination spreading across rivers and lakes. Improper treatment of industrial and domestic wastewater is polluting water resources, significantly impacting agricultural water and drinking water supplies. Regarding air pollution, high concentrations of PM2.5 and SO2, especially in urban areas, are leading to increased respiratory diseases.

These losses from environmental pollution represent the cost of short-term economic growth. Achieving sustainable development requires stricter regulations and sustained countermeasures. It is particularly urgent to enhance incentives for environmental protection and establish systems that encourage businesses and citizens to actively engage in environmental conservation.