IDEAS home Printed from https://ideas.repec.org/a/spr/endesu/v25y2023i7d10.1007_s10668-022-02340-4.html
   My bibliography  Save this article

Demand-side and traditional environmental regulations in green construction: the moderating role of CNSC and SOE intensity

Author

Listed:
  • Qi Wang

    (Southwest Jiaotong University)

  • Junqi Liu

    (Southwest Jiaotong University)

Abstract

The greening building and construction (B&C) sector is an emerging research topic in the energy and environment field. Employing China’s provincial panel data during 2008–2017 and the SBM-DEA model and regression methods, this study develops a conceptual model to explore the relationships between two types of environmental regulations and green construction. The moderating role of China’s national sustainable community (CNSC) intensity and state-owned enterprise (SOE) intensity is considered based on China’s characteristics. We obtain three major findings: (1) both traditional environmental regulations (command-and-control) and demand-side environmental regulation are positively correlated with green construction, which emphasizes the effectiveness of demand-side environmental regulation. (2) CNSC intensity negatively moderates the relationships between these two types of environmental regulations and green construction, which reflects the shortage of CNSCs in the building and construction sector. (3) SOE intensity negatively moderates the relationship between traditional environmental regulations and green construction while positively moderating the relationship between demand-side environmental regulation and green construction. Regarding this result, we conduct a comparative explanation from the perspective of “addition and subtraction of economic interests”. Based upon the above findings, policy-makers are provided with the following recommendations in this study for realizing sustainable development goals in the B&C sector: (1) adjusting the regulation stringency of market-based environmental regulation on the B&C sector; (2) encouraging the development of environmental organizations; (3) investing more effort into the green public procurement of works (GPP-works); (4) adding green construction evaluation indicators to CNSC certification standards; and (5) balancing GPP-works’ resource preferences for different ownership construction enterprises.

Suggested Citation

  • Qi Wang & Junqi Liu, 2023. "Demand-side and traditional environmental regulations in green construction: the moderating role of CNSC and SOE intensity," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 25(7), pages 6897-6938, July.
    • Handle: RePEc:spr:endesu:v:25:y:2023:i:7:d:10.1007_s10668-022-02340-4
    DOI: 10.1007/s10668-022-02340-4
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s10668-022-02340-4
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s10668-022-02340-4?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Brusselaers, Jan & Van Huylenbroeck, Guido & Buysse, Jeroen, 2017. "Green Public Procurement of Certified Wood: Spatial Leverage Effect and Welfare Implications," Ecological Economics, Elsevier, vol. 135(C), pages 91-102.
    2. Sofia Lundberg & Per-Olov Marklund & Elon Strömbäck, 2016. "Is Environmental Policy by Public Procurement Effective?," Public Finance Review, , vol. 44(4), pages 478-499, July.
    3. Dai, Jing & Montabon, Frank L. & Cantor, David E., 2014. "Linking rival and stakeholder pressure to green supply management: Mediating role of top management support," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 71(C), pages 173-187.
    4. Guan, Jian & Gao, Zhimin & Tan, Justin & Sun, Weizheng & Shi, Fan, 2021. "Does the mixed ownership reform work? Influence of board chair on performance of state-owned enterprises," Journal of Business Research, Elsevier, vol. 122(C), pages 51-59.
    5. Yi Quan & Huiying Wu & Sihai Li & Sammy Xiaoyan Ying, 2018. "Firm sustainable development and stakeholder engagement: The role of government support," Business Strategy and the Environment, Wiley Blackwell, vol. 27(8), pages 1145-1158, December.
    6. Guo, Ran & Yuan, Yijun, 2020. "Different types of environmental regulations and heterogeneous influence on energy efficiency in the industrial sector: Evidence from Chinese provincial data," Energy Policy, Elsevier, vol. 145(C).
    7. Lindström, Hanna & Lundberg, Sofia & Marklund, Per-Olov, 2020. "How Green Public Procurement can drive conversion of farmland: An empirical analysis of an organic food policy," Ecological Economics, Elsevier, vol. 172(C).
    8. Hotte, Louis & Winer, Stanley L., 2012. "Environmental regulation and trade openness in the presence of private mitigation," Journal of Development Economics, Elsevier, vol. 97(1), pages 46-57.
    9. Jia, Zhijie & Lin, Boqiang, 2020. "Rethinking the choice of carbon tax and carbon trading in China," Technological Forecasting and Social Change, Elsevier, vol. 159(C).
    10. José Féres & Arnaud Reynaud, 2012. "Assessing the Impact of Formal and Informal Regulations on Environmental and Economic Performance of Brazilian Manufacturing Firms," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 52(1), pages 65-85, May.
    11. Andrea Chiarini, 2019. "Factors for succeeding in ISO 14001 implementation in Italian construction industry," Business Strategy and the Environment, Wiley Blackwell, vol. 28(5), pages 794-803, July.
    12. Simcoe, Timothy & Toffel, Michael W., 2014. "Government green procurement spillovers: Evidence from municipal building policies in California," Journal of Environmental Economics and Management, Elsevier, vol. 68(3), pages 411-434.
    13. Chai, Song & Zhang, Zhicong & Ge, Jianping, 2020. "Evolution of environmental policy for China's rare earths: Comparing central and local government policies," Resources Policy, Elsevier, vol. 68(C).
    14. Haiyang Li & Yan Zhang, 2007. "The role of managers' political networking and functional experience in new venture performance: Evidence from China's transition economy," Strategic Management Journal, Wiley Blackwell, vol. 28(8), pages 791-804, August.
    15. Kao, Erin H. & Yeh, Chih-Chuan & Wang, Li-Hsun & Fung, Hung-Gay, 2018. "The relationship between CSR and performance: Evidence in China," Pacific-Basin Finance Journal, Elsevier, vol. 51(C), pages 155-170.
    16. Kathleen Herbohn & Julie Walker & Huay Yien Monica Loo, 2014. "Corporate Social Responsibility: The Link Between Sustainability Disclosure and Sustainability Performance," Abacus, Accounting Foundation, University of Sydney, vol. 50(4), pages 422-459, December.
    17. Xie, Rong-hui & Yuan, Yi-jun & Huang, Jing-jing, 2017. "Different Types of Environmental Regulations and Heterogeneous Influence on “Green” Productivity: Evidence from China," Ecological Economics, Elsevier, vol. 132(C), pages 104-112.
    18. Nguyen, Thuy Thu & van Dijk, Mathijs A., 2012. "Corruption, growth, and governance: Private vs. state-owned firms in Vietnam," Journal of Banking & Finance, Elsevier, vol. 36(11), pages 2935-2948.
    19. Saastamoinen, Jani & Reijonen, Helen & Tammi, Timo, 2018. "Should SMEs pursue public procurement to improve innovative performance?," Technovation, Elsevier, vol. 69(C), pages 2-14.
    20. Xin Pan & Xuanjin Chen & Paresha Sinha & Niannian Dong, 2020. "Are firms with state ownership greener? An institutional complexity view," Business Strategy and the Environment, Wiley Blackwell, vol. 29(1), pages 197-211, January.
    21. Amir Barnea & Amir Rubin, 2010. "Corporate Social Responsibility as a Conflict Between Shareholders," Journal of Business Ethics, Springer, vol. 97(1), pages 71-86, November.
    22. Constance E. Helfat & Margaret A. Peteraf, 2003. "The dynamic resource‐based view: capability lifecycles," Strategic Management Journal, Wiley Blackwell, vol. 24(10), pages 997-1010, October.
    23. Wu, Haitao & Xu, Lina & Ren, Siyu & Hao, Yu & Yan, Guoyao, 2020. "How do energy consumption and environmental regulation affect carbon emissions in China? New evidence from a dynamic threshold panel model," Resources Policy, Elsevier, vol. 67(C).
    24. Yujiao Xian & Kexin Yang & Ke Wang & Yi-Ming Wei & Zhimin Huang, 2019. "Cost-environment efficiency analysis of construction industry in China: A materials balance approach," CEEP-BIT Working Papers 122, Center for Energy and Environmental Policy Research (CEEP), Beijing Institute of Technology.
    25. Jiayue Liu & Jing Xie, 2020. "Environmental Regulation, Technological Innovation, and Export Competitiveness: An Empirical Study Based on China’s Manufacturing Industry," IJERPH, MDPI, vol. 17(4), pages 1-19, February.
    26. Ling-Yun He & Hong-Zhen Zhang, 2021. "Spillover or crowding out? The effects of environmental regulation on residents’ willingness to pay for environmental protection," Natural Hazards: Journal of the International Society for the Prevention and Mitigation of Natural Hazards, Springer;International Society for the Prevention and Mitigation of Natural Hazards, vol. 105(1), pages 611-630, January.
    27. Zhang, Min & Tong, Lijing & Su, Jun & Cui, Zhipeng, 2015. "Analyst coverage and corporate social performance: Evidence from China," Pacific-Basin Finance Journal, Elsevier, vol. 32(C), pages 76-94.
    28. Donald S. Siegel & Donald F. Vitaliano, 2007. "An Empirical Analysis of the Strategic Use of Corporate Social Responsibility," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 16(3), pages 773-792, September.
    29. Chen, Shimin & Sun, Zheng & Tang, Song & Wu, Donghui, 2011. "Government intervention and investment efficiency: Evidence from China," Journal of Corporate Finance, Elsevier, vol. 17(2), pages 259-271, April.
    30. Langpap, Christian & Shimshack, Jay P., 2010. "Private citizen suits and public enforcement: Substitutes or complements?," Journal of Environmental Economics and Management, Elsevier, vol. 59(3), pages 235-249, May.
    31. Warsame, Mohammed Hersi & Ireri, Edward Mugambi, 2018. "Moderation effect on mobile microfinance services in Kenya:An extended UTAUT model," Journal of Behavioral and Experimental Finance, Elsevier, vol. 18(C), pages 67-75.
    32. Francesco Calza & Giorgia Profumo & Ilaria Tutore, 2016. "Corporate Ownership and Environmental Proactivity," Business Strategy and the Environment, Wiley Blackwell, vol. 25(6), pages 369-389, September.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Rosell, Jordi, 2023. "Did governments neglect the environment during the COVID-19 pandemic? An empirical analysis of green public procurement," Economic Analysis and Policy, Elsevier, vol. 80(C), pages 835-849.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Yanlin Ma & Yuting Liu & Andrea Appolloni & Junqi Liu, 2021. "Does green public procurement encourage firm's environmental certification practice? The mediation role of top management support," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 28(3), pages 1002-1017, May.
    2. Kao, Erin H. & Yeh, Chih-Chuan & Wang, Li-Hsun & Fung, Hung-Gay, 2018. "The relationship between CSR and performance: Evidence in China," Pacific-Basin Finance Journal, Elsevier, vol. 51(C), pages 155-170.
    3. Hongjin Zhu & Yue Pan & Jiaping Qiu & Jinli Xiao, 2022. "Hometown Ties and Favoritism in Chinese Corporations: Evidence from CEO Dismissals and Corporate Social Responsibility," Journal of Business Ethics, Springer, vol. 176(2), pages 283-310, March.
    4. Krieger, Bastian & Zipperer, Vera, 2022. "Does green public procurement trigger environmental innovations?," Research Policy, Elsevier, vol. 51(6).
    5. Tran, Hien Thu, 2019. "Institutional quality and market selection in the transition to market economy," Journal of Business Venturing, Elsevier, vol. 34(5), pages 1-1.
    6. Zhang, Zhaowen & Jiang, Yaohui, 2022. "Can green public procurement change energy efficiency? Evidence from a quasi-natural experiment in China," Energy Economics, Elsevier, vol. 113(C).
    7. Hu, Jun & Wu, Huiying & Ying, Sammy Xiaoyan, 2022. "Environmental regulation, market forces, and corporate environmental responsibility: Evidence from the implementation of cleaner production standards in China," Journal of Business Research, Elsevier, vol. 150(C), pages 606-622.
    8. Ahmed A. Sarhan & Basil Al‐Najjar, 2023. "The influence of corporate governance and shareholding structure on corporate social responsibility: The key role of executive compensation," International Journal of Finance & Economics, John Wiley & Sons, Ltd., vol. 28(4), pages 4532-4556, October.
    9. McGuinness, Paul B. & Vieito, João Paulo & Wang, Mingzhu, 2017. "The role of board gender and foreign ownership in the CSR performance of Chinese listed firms," Journal of Corporate Finance, Elsevier, vol. 42(C), pages 75-99.
    10. Yaru Tang & Mengdi Liu & Fan Xia & Bing Zhang, 2024. "Informal regulation by nongovernmental organizations enhances corporate compliance: Evidence from a nationwide randomized controlled trial in China," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 43(1), pages 234-257, January.
    11. Xin Pan & Xuanjin Chen & Paresha Sinha & Niannian Dong, 2020. "Are firms with state ownership greener? An institutional complexity view," Business Strategy and the Environment, Wiley Blackwell, vol. 29(1), pages 197-211, January.
    12. Zheng, Qiaoqiao & Wan, Liang & Wang, Shanyong & Chen, Zexian & Li, Jun & Wu, Jie & Song, Malin, 2023. "Will informal environmental regulation induce residents to form a green lifestyle? Evidence from China," Energy Economics, Elsevier, vol. 125(C).
    13. Yi Shen & Minghan Lyu & Jiali Zhu, 2022. "Air Pollution and Corporate Green Financial Constraints: Evidence from China’s Listed Companies," IJERPH, MDPI, vol. 19(22), pages 1-23, November.
    14. Bryngemark, Elina & Söderholm, Patrik & Thörn, Martina, 2023. "The adoption of green public procurement practices: Analytical challenges and empirical illustration on Swedish municipalities," Ecological Economics, Elsevier, vol. 204(PA).
    15. Zheng Lei & Guo Xuemeng & Fu Xiangfei, 2022. "How Does Analyst Coverage Affect Corporate Social Responsibility? Evidence from China," Emerging Markets Finance and Trade, Taylor & Francis Journals, vol. 58(7), pages 2036-2049, May.
    16. Tan, Yan & Uprasen, Utai, 2022. "The effect of foreign direct investment on renewable energy consumption subject to the moderating effect of environmental regulation: Evidence from the BRICS countries," Renewable Energy, Elsevier, vol. 201(P2), pages 135-149.
    17. Gyanendra Singh Sisodia & Einas Awad & Heba Alkhoja & Bruno S. Sergi, 2020. "Strategic business risk evaluation for sustainable energy investment and stakeholder engagement: A proposal for energy policy development in the Middle East through Khalifa funding and land subsidies," Business Strategy and the Environment, Wiley Blackwell, vol. 29(6), pages 2789-2802, September.
    18. Guimei Wang & Muhammad Salman, 2023. "The impacts of heterogeneous environmental regulations on green economic efficiency from the perspective of urbanization: a dynamic threshold analysis," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 25(9), pages 9485-9516, September.
    19. Zhihui Sun & Dejun Wu & Min Zhang, 2021. "Better late than never? Corporate social responsibility engagement after product-harm crises," Asia Pacific Journal of Management, Springer, vol. 38(4), pages 1209-1259, December.
    20. Liu, Duan & Yu, Nizhou & Wan, Hong, 2022. "Does water rights trading affect corporate investment? The role of resource allocation and risk mitigation channels," Economic Modelling, Elsevier, vol. 117(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:endesu:v:25:y:2023:i:7:d:10.1007_s10668-022-02340-4. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.