Economic Analysis on Pollution Control for Textile Industry

Since the present researches on pollution control for textile printing & dyeing industry are mainly focused on qualitative description up to now, instead of special quantitative analysis, based on the census data of pollution sources, this paper adopts literature collection method and single-factor variance components method for continuous variables to identify the factors influencing cost for pollution control, and then establishes a function of investment and operation cost for textile printing & dyeing industry by MLE (maximum likelihood estimation) method on the basis of normal distributional hypothesis, so as to calculate pollution control cost for the textile industry and provide a quantitative basis for pollution control of the textile printing & dyeing industry. The research result shows that nature of enterprise, pollution-control method, regional distribution and industry type are all important factors which influence cost control of textile industry, there are significant variations of pollution control cost for textile industry between among different regions, treatment processes, or industry types. Introduction Due to complicated components, wastewater discharged by the textile industry is a kind of sewage difficult to be purified. China is a large textile producer and also a large dye manufacturer and user, so it is of great significance to strengthen research on pollution control of the textile industry. Presently, the researches on pollution control for the textile industry are mainly focused on qualitative description and the relevant technical methods [1-3], lack of quantitative analysis on pollution-control cost for textile industry to support macroeconomic decisions. Therefore it is also of great significance to conduct cost analysis on pollution control of textile industry for macroeconomic decisions. For the research methods, the technical & economic analysis and researches on cost function for water pollution control were began to develop since late 1960s, including Fraas and Munley (1984) conducted an estimation on wastewater treatment cost for pollution control; McConnell (1991) and Schwartz broadened that model; Macal (1984) establish a function for wastewater treatment cost with taking treatment cost as a function of wastewater flow; Morgan and Owens (2001) provided an estimation on benefit from wastewater treatment through analysis on water quality from 1972 to 1996, especially for variation of nitrides and phosphides among of them; in 1993, National Academy of Sciences on Wastewater Treatment also worked out the cost function of wastewater treatment plants, etc. As we review China’s major functions for water pollution control, main defects could be summed up as following: the researches on cost function were mainly limited within certain regions, lack of availability for different regions in whole country and systematic method study on technical & economic decisions for pollution control, most of researches were focused on theoretic method about analysis on cost benefits and effects, few of practices about them converting into applicable results. The First National Pollution Source Census laid a foundation which researches on function for water pollution control could break through regional limitation and established a cost model of wastewater treatment for different regions and levels. Based on the data from the First National Pollution Source Census, this paper stimulates a function for investment and operation cost in China’s textile industry, constructs a quantification model for function of investment and operation cost during wastewater treatment, so as to calculate wastewater treatment cost for the textile industry. Advanced Materials Research Vols. 332-334 (2011) pp 1087-1092 Online available since 2011/Sep/02 at www.scientific.net © (2011) Trans Tech Publications, Switzerland doi:10.4028/www.scientific.net/AMR.332-334.1087 All rights reserved. No part of contents of this paper may be reproduced or transmitted in any form or by any means without the written permission of TTP, www.ttp.net. (ID: 119.255.17.18-13/09/11,11:00:57) Methodology Model Construction. For the model selection, it is shown by the research output from the Policy Research Bureau of World Bank(Susmita Dasgupta, etc. 1997) that simple fixed elastic model could provide not only better goodness of fit of linear regression, but also reasonable symbol of each major variables and higher significance, so it could explain relation among variables much well. The model could be represented as the following formula: