Abstract
The carbon emission trading policy (CETP) is a market-based environmental instrument to reduce carbon emissions and address climate change. It can further have an impact on companies’ green innovation (GI). In this regard, we innovatively propose the internal and external theoretical mechanisms of the impact of CETP on the GI of companies and use the financial data and patent data of Chinese listed companies from a micro perspective to empirically verify them. The findings demonstrate that the CETP has an inducing effect on the GI of companies, which is particularly evident in nonstate-owned companies, large companies, and the cleaning industry. The impact of CETP on companies GI is mainly achieved through internal incentive mechanisms, while the role of external influence mechanisms is not obvious. In terms of internal incentives, cost compliance effects and innovation compensation effects are the main channels for promoting GI. In terms of external effects, the carbon market’s efficacy has not contributed to boosting GI for companies; the coordination effect of carbon policy and government intervention on companies’ GI is also limited. Our research provides a theoretical basis for effectively encouraging the GI of companies to achieve carbon neutral and carbon peak goals.
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The datasets used and/or analyzed during the current study are available from the corresponding author on reasonable request.
Change history
14 April 2023
A Correction to this paper has been published: https://doi.org/10.1007/s11356-023-27037-7
Notes
Chongqing may have some companies that would otherwise be in the experimental group sample due to the missing list of pilot companies; however, according to the analysis report of China Carbon Market 2015, Chongqing has a low compliance rate and a serious surplus of quotas and is less motivated to trade carbon, so the exclusion of Chongqing as a pilot has little impact on the estimation results of this paper.
Three waste means wastewater, solid waste, and waste gas from industry.
The 17 polluting industries are chemical raw materials and chemical products manufacturing, the ferrous metal smelting and rolling processing industry, nonferrous metal smelting and rolling processing industry, paper and paper products industry, pharmaceutical manufacturing, chemical fiber manufacturing, the oil and gas extraction industry, nonmetallic mineral products industry, nonferrous metal ore mining, construction decoration and other construction industry, textile clothing, the apparel industry, rubber and plastic products industry, coal mining and washing industry, petroleum processing, the coking and nuclear fuel processing industry, metal products industry, ferrous metal ore mining industry, and textile industry.
According to the Southern Metropolis Daily, compared to the international carbon market, China’s carbon pilot prices are generally low. As of April 29, 2021, the Chinese carbon pilot price was between $5.53 and 42.02/ton, while the EUA carbon quota spot settlement price was $380/ton on the same day, which is 9–68 times higher than the Chinese carbon pilot price.
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This research was supported by the National Social Science Foundation Project of China "Study on the Impact Mechanism and Policy Optimization of the Construction of Free Trade Areas on China's Carbon Emissions" (NSSF Projects No. 22CJY053).
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Conceptualization, S.W. and Y.Q.; methodology, S.W. and Y.Q.; software, S.W.; validation, S.W. and Y.Q.; formal analysis, S.W.; investigation, S.W.; resources, S.W.; data curation, Y.Q.; writing—original draft preparation, S.W.; writing—review and editing, S.W., Y.Q., H.H., and Y.X.; visualization, S.W.; supervision, Y.Q., H.H., and Y.X.; project administration, Y.Q.; funding acquisition, Y.Q. All authors have read and agreed to the published version of the manuscript.
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Wu, S., Qu, Y., Huang, H. et al. Carbon emission trading policy and corporate green innovation: internal incentives or external influences. Environ Sci Pollut Res 30, 31501–31523 (2023). https://doi.org/10.1007/s11356-022-24351-4
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DOI: https://doi.org/10.1007/s11356-022-24351-4