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Can pollution charges reform promote industrial SO2 emissions reduction?—Evidence from 189 China’s cities

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  • Da Gao
  • Yi Li
  • Qiuyue Yang

Abstract

This paper evaluates the real effects of pollution charges reform on SO 2 emissions at the city level. Using the establishment of Comprehensive Work Plan for Energy Conservation and Emission Reduction (The Plan) in China as a quasi-natural experiment, our difference-in-differences estimation shows that: (1) increasing pollution charges has a significant and positive effect on controlling industrial waste SO 2 , and this relationship is robust to different specifications and alternative measures; (2) SO 2 emissions can be reduced to achieve reduction targets by forcing companies to strengthen the degree of process production controls and end-of-pipe treatment; (3) eastern and western cities have a better pollution control effect than the other regions, and large cities have better emission reduction effects than smaller cities. Overall, this paper sorts out the evolution of China’s pollution charge policy, and reveals the mechanisms behind the real effects of pollution charges reform on SO 2 emissions, thus providing timely implications for policymakers concerned with environmental protection.

Suggested Citation

  • Da Gao & Yi Li & Qiuyue Yang, 2021. "Can pollution charges reform promote industrial SO2 emissions reduction?—Evidence from 189 China’s cities," Energy & Environment, , vol. 32(1), pages 96-112, February.
    • Handle: RePEc:sae:engenv:v:32:y:2021:i:1:p:96-112
    DOI: 10.1177/0958305X20919410
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    2. Yanan Guo & Qiong Tong & Zhengjiao Li & Yuhao Zhao, 2022. "Research on Carbon Emission Quota of Railway in China from the Perspective of Equity and Efficiency," Sustainability, MDPI, vol. 14(21), pages 1-18, October.
    3. Li, Zhengda & Zheng, Chengxin & Liu, Aimin & Yang, Yang & Yuan, Xiaoling, 2022. "Environmental taxes, green subsidies, and cleaner production willingness: Evidence from China's publicly traded companies," Technological Forecasting and Social Change, Elsevier, vol. 183(C).
    4. Shen, Qiong & Pan, Yuxi & Meng, Xiangxu & Ling, Xiao & Hu, Shilei & Feng, Yanchao, 2023. "How does the transition policy of mineral resource-exhausted cities affect the process of industrial upgrading? New empirical evidence from China," Resources Policy, Elsevier, vol. 86(PB).

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