Work

Can Low-Carbon City Pilot Policies Promote Green Total Factor Energy Efficiency in China?

Year: 2025

Type: article

Abstract: This study evaluates the causal impact and mechanisms of China’s Low-Carbon City Pilot Policy (LCCPP) on urban Green Total Factor Energy Efficiency (GTFEE) by using a multi-period Difference-in-Differences (DID) model with a comprehensive panel dataset of Chinese cities from 2007 to 2022. We also conduct a series of robustness checks, including event studies and PSM-DID, to ensure the reliability of our findings. The results show that the LCCPP has a significant and robust positive effect on urban GTFEE. Furthermore, our mechanism analysis reveals that the policy primarily enhances GTFEE through two key channels: promoting green innovation and accelerating industrial structure upgrading. This study provides important policy implications, suggesting that the LCCPP is an effective tool for green development and that policymakers should focus on supporting green technology and industrial transformation to maximize the policy’s benefits.

Source: Sustainability

DOI: 10.3390/su17188516

Authors: Songyuan Liu, Ziui Wu, Mei Wang, Lingfeng Tan

Institutions: State Grid Corporation of China (China), East China University of Science and Technology, Nanjing University of Aeronautics and Astronautics

Language: English

Topic: Energy, Environment, Economic Growth

Subfield: Economics and Econometrics

Field: Economics, Econometrics and Finance

Domain: Social Sciences

SDGs: Climate action, Industry, innovation and infrastructure, Sustainable cities and communities, Affordable and clean energy

Open Access status: gold

Estimated APC paid: $2,896