China will establish a nationwide charging system for urban waste disposal by the end of 2020, the National Development and Reform Commission said on Monday.

The country will promote innovation of waste disposal fees and raise the collection ratio. Meanwhile, cement and organic fertilizer enterprises are encouraged to participate in turning garbage into resources.

Urban waste sorting will be more complete, while a differentiated charging policy will be implemented for sorted garbage and mixed garbage. Furthermore, a waste charging system will be established in rural areas.

According to a document released on the commission’s website, the country will speed up construction of a price mechanism that could reflect market supply and demand, scarcity level of resources and ecological value, as well as environmental damage costs.

China will promote price policies that are beneficial to green development, bring ecology environment costs in line with economic operation costs, and drive more social capital into environmental protection.

Four aspects are mentioned in the document: sewage disposal, garbage disposal and water conservation, as well as energy conservation and environment protection.

According to the document, a price mechanism and policy system that will help green development be basically established by 2020, while by 2025, the price mechanism will be more complete and perfect, and will be put in place in all of society.