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How Low-Carbon Pilots Affect Chinese Urban Energy Efficiency: An Explanation from Technological Progress

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  • Jian Song

    (School of Economics, Nanjing Audit University, Nanjing 211815, China)

  • Jing Wang

    (School of Economics, Nanjing Audit University, Nanjing 211815, China)

  • Zhe Chen

    (School of Economics, Nanjing University, Nanjing 210023, China)

Abstract

This study uses the low-carbon city pilot (LCCP) policy as a quasi-natural experiment, combined with the panel data of 281 prefecture-level and above cities in China from 2003 to 2018, and the difference-in-differences model to investigate the specific impact and mechanism of the LCCP on regional energy efficiency. The study showed that LCCP policies can significantly improve regional energy efficiency. The heterogeneity test found that, for cities with larger scales, high pollutant emission intensities, and fewer financial constraints, the implementation of LCCP policies could effectively improve energy efficiency. Based on the mechanical test of the technological progress path, it was concluded that LCCP policies could effectively improve energy efficiency by promoting technological innovation and transformation of enterprises. In the field of technological innovation, implementing LCCP policies helps promote green technological innovation, as well as increasing bias. Furthermore, this study evaluates the emission reduction effects of LCCP policies. The results found that, although LCCP could reduce regional carbon emissions by improving energy efficiency, the impact of energy rebound dramatically reduced the emission reduction effects of LCCP. This study provides empirical evidence and policy enlightenment for China’s accelerating “carbon-peak” and “carbon-neutral” goals.

Suggested Citation

  • Jian Song & Jing Wang & Zhe Chen, 2022. "How Low-Carbon Pilots Affect Chinese Urban Energy Efficiency: An Explanation from Technological Progress," IJERPH, MDPI, vol. 19(23), pages 1-30, November.
    • Handle: RePEc:gam:jijerp:v:19:y:2022:i:23:p:15563-:d:982001
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