A draft amendment delivered to lawmakers on Wednesday morning has proposed the imposition of severe financial penalties on polluting companies.

Dumping sewage and failing to modify discharge and emissions to meet national standards, will see companies subject to fines based on an increasing daily rate, the draft amendment to the Environmental Protection Law stipulated.

If passed, it would be the toughest penalties that a polluting company has ever faced.

Current legislation stipulates that polluters are subject to a one-time penalty of up to 200,000 yuan ($32,528).

Cao Mingde, an environmental law professor at the China University of Political Science and Law, said the draft, which allows the financial penalties to accumulate, will push potential polluters to clean up their act.