China has toughened punishment for heads of companies that foul its scarce water resources.

Under the amended Water Pollution Prevention and Control Law, which will take effect on June 1, executives of companies directly responsible for causing pollution will be fined up to half their annual income. Earlier, executives held responsible for such irregularities faced only disciplinary actions. The law also mandates the government to set up a water protection goal. Failure to meet the goals will reflect on the assessment of local officials.