Abstract
The low-carbon city pilot (LCCP) policy is an important initiative for China to fulfill its international commitment to carbon emission reduction and achieve low-carbon transformation. In this context, this study investigated whether the LCCP policy of China has achieved carbon emission reduction from the production and consumption perspectives and how its underlying mechanism and spatial spillover effect. Using the panel dataset of 285 Chinese prefecture-level cities from 2003 to 2019, this study applied the staggered DID model to examine the effects and its underlying mechanism of the LCCP policy on carbon intensity (CI) and carbon emission per capita (CP). We also conducted heterogeneity and spatial spillover effect analyses using the textual quantification method and spatial DID. Our results show that the LCCP policy effectively reduced CI and CP, but these effects did not appear until the third year of implementation. The above conclusions passed a series of robustness and endogeneity tests. Reducing industrial emissions, improving technological innovation, and optimizing the efficiency of energy usage were three important mechanisms to reduce CI and CP, validating the effectiveness of the LCCP policy. Command-mandatory and voluntary LCCP policy tools achieved better results, and the LCCP policy exerted a significant emission reduction effect on second-tier pilot cities as compared to others. The carbon emission abatement of the LCCP policy has also demonstrated a spatial spillover impact on neighboring cities. This study focused on analyzing the mechanism paths and spatial spillover effects of the LCCP policy impact and provided an important decision-making reference in promoting the LCCP policy for not only China but also other developing countries. Specifically, low-carbon pilot experiences and typical cases should be refined, ways for accelerating the greening and cleaning of energy usage must be explored, and regional joint control and collaborative governance should be established to achieve China’s low-carbon transformation.
Similar content being viewed by others
Data availability
The datasets used and/or analyzed during the current study are available from the corresponding author on reasonable request.
Abbreviations
- LCCP:
-
Low-carbon city pilot
- CI:
-
Carbon intensity
- CP:
-
Carbon emission per capita
- CO2 :
-
Carbon dioxide
- DID:
-
Difference-in-difference
- PSM-DID:
-
Propensity score matching-DID
- 2SLS:
-
Two-stage least squares
- SDID:
-
Spatial difference-in-difference
- SUTVA:
-
Stable unit treatment value assumption
- NDRC:
-
National Development and Reform Commission
- CNY:
-
Chinese Yuan (currency unit)
- treat :
-
The cross-term of the LCCP policy variable and time dummy variable
- lnpgdp :
-
Economic growth
- lnpd :
-
Population density
- secindp :
-
Industrial structure
- fdip :
-
Foreign direct investment
- eximp :
-
Openness
- scieddp :
-
Science and education
- lnwrcolstu :
-
Human capital
- GDP:
-
Gross domestic product
- VC:
-
Air circulation coefficient
- RDLS:
-
Relief degree of land surface
- lnindSO 2 :
-
Industrial sulfur dioxide emission
- lnindfumes :
-
Industrial fumes emission
- wrlcpat :
-
Low-carbon technology innovation
- scireseap :
-
Scientific technology innovation
- renewstr :
-
Clean energy structure
- energyint :
-
Energy intensity
- nenervehicle :
-
The new energy vehicle subsidy pilot policy
- atomemi :
-
The atmospheric emission limit pilot policy
- cemitra :
-
The carbon emission trading right pilot policy
- control :
-
Command-mandatory LCCP policy tools
- market :
-
Market-economic LCCP policy tools
- voluntary :
-
Voluntary LCCP policy tools
- i :
-
ith Prefecture-level city unit
- t :
-
tth Time
- D i, t0 + k :
-
A series of dummy variables associated with the years of implementation of the LCCP policy
- k :
-
The kth year of the start of LCCP policy
References
Ahmad M, Jabeen G, Wu Y (2020a) Heterogeneity of pollution haven/halo hypothesis and environmental Kuznets curve hypothesis across development levels of Chinese provinces. J Clean Prod 285:124898. https://doi.org/10.1016/j.jclepro.2020.124898
Ahmad M, Rehman A, Shah SAA, Solangi YA, Chandio AA, Jabeen G (2020b) Stylized heterogeneous dynamic links among healthcare expenditures, land urbanization, and CO2 emissions across economic development levels. Sci Total Environ 753:142228. https://doi.org/10.1016/j.scitotenv.2020.142228
Ahmad M, Khan Z, Anser MK, Jabeen G (2021a) Do rural-urban migration and industrial agglomeration mitigate the environmental degradation across China’s regional development levels? Sustain Prod Consump 27:679–697. https://doi.org/10.1016/j.spc.2021.01.038
Ahmad M, Işık C, Jabeen G, Ali T, Ozturk I, Atchike DW (2021b) Heterogeneous links among urban concentration, non-renewable energy use intensity, economic development, and environmental emissions across regional development levels. Sci Total Environ 765:144527. https://doi.org/10.1016/j.scitotenv.2020.144527
Ahmad M, Chandio AA, Solangi YA, Shah SAA, Shahzad F, Rehman A, Jabeen G (2021c) Dynamic interactive links among sustainable energy investment, air pollution, and sustainable development in regional China. Environ Sci Pollut Res 28:1502–1518. https://doi.org/10.1007/s11356-020-10239-8
Alvarado R, Deng I, Tillaguango B, Méndez P, Bravo D, Chamba J, Alvarado-Lopez M, Ahmad M (2020) Do economic development and human capital decrease non-renewable energy consumption? Evidence for OECD countries. Energy 215:119147. https://doi.org/10.1016/j.energy.2020.119147
Ahmed N, Ahmad M, Ahmed M (2022) Combined role of industrialization and urbanization in determining carbon neutrality: empirical story of Pakistan. Environ Sci Pollut Res 29:15551–15563. https://doi.org/10.1007/s11356-021-16868-x
Athey S, Imbens GW (2022) Design-based analysis in difference-in-differences settings with staggered adoption. J Econ 226(1):62–79. https://doi.org/10.1016/j.jeconom.2020.10.012
Bai X (2007) Integrating global environmental concerns into urban management: the scale and readiness arguments. J Ind Ecol 11:15–29. https://doi.org/10.1162/jie.2007.1202
Baeumler A, Ijjasz-Vasquez E, Mehndiratta S (2012) Sustainable low-carbon city development in China. Press, World Bank. https://doi.org/10.1596/978-0-8213-8987-4
Bergquist AK, Söderholm K, Kinneryd H, Lindmark M, Soderholm P (2013) Command-and-control revisited: environmental compliance and technological change in Swedish industry 1970–1990. Ecol Econ 85:6–19. https://doi.org/10.2139/ssrn.1992941
BP (2021) Statistics Review of World Energy. 2021-07. https://www.bp.com/content/dam/bp/business-sites/en/global/corporate/pdfs/energy-economics/statistical-review/bp-stats-review-2021-full-report.pdf
Cai B, Cui C, Zhang D, Cao L, Wu P, Pang L, Zhang J, Dai C (2019) China city-level greenhouse gas emissions inventory in 2015 and uncertainty analysis. Appl Energy 253:113579. https://doi.org/10.1016/j.apenergy.2019.113579
Cai W, Song X, Zhang P, Xin Z, Zhou Y, Wang Y, Wei W (2020) Carbon emissions and driving forces of an island economy: a case study of Chongming Island, China. J Clean Prod 254:120028. https://doi.org/10.1016/j.jclepro.2020.120028
Chen F, Zhu D (2009) Research on the content, models and strategies of low carbon cities. Urban Plan Forum 4:7–13. https://doi.org/10.3969/j.issn.1000-3363.2009.04.002
Chen S, Chen D (2018) Air Pollution, government regulations and high-quality economic development. Econ Res J 53(2):20–34
Chagas ALS, Azzoni CR, Almeida AN (2016) A spatial difference-in-differences analysis of the impact of sugarcane production on respiratory diseases. Reg Sci Urban Econ 59:24–36. https://doi.org/10.1016/j.regsciurbeco.2016.04.002
Chen Z, Kahn ME, Liu Y, Wang Z (2018) The consequences of spatially differentiated water pollution regulation in China. J Environ Econ Manage 88:468–485. https://doi.org/10.1016/j.jeem.2018.01.010
Chen H, Guo W, Feng X, Wei W, Liu H, Feng Y, Gong W (2021a) The impact of low-carbon city pilot policy on the total factor productivity of listed enterprises in China. Resour Conserv Recycl 169(2):105457. https://doi.org/10.1016/j.resconrec.2021.105457
Chen Z, Yu B, Yang C, Zhou Y, Wu J (2021b) An extended time series (2000–2018) of global NPP-VIIRS-Like nighttime light data from a cross-sensor calibration. Earth Syst Sci Data 13(3):889–906. https://doi.org/10.5194/essd-2020-201
Cheng J, Yi J, Dai S, Xiong Y (2019) Can low-carbon city construction facilitate green growth? Evidence from China’s pilot low-carbon city initiative. J Clean Prod 231:1158–1170. https://doi.org/10.1016/j.jclepro.2019.05.327
Cooper M (2018) Governing the global climate commons: the political economy of state and local action, after the U.S. Flip-flop on the Paris agreement. Energy Policy 118:440–454. https://doi.org/10.1016/j.enpol.2018.03.037
Cyrys J, Peters A, Soentgen J, Wichmann HE (2014) Low emission zones reduce PM10 mass concentrations and diesel soot in German cities. J Air Waste Manage Assoc 64(4):481–487. https://doi.org/10.1080/10962247.2013.868380
Di Maria C, Smulders S, Van Der Werf E (2012) Absolute abundance and relative scarcity: environmental policy with implementation lags. Ecol Econ 74:104–119. https://doi.org/10.1016/j.ecolecon.2011.12.003
Dimick JB, Ryan AM (2014) Methods for evaluating changes in health care policy. JAMA 312(22):2401–2402. https://doi.org/10.1001/jama.2014.16153
Delgado MS, Florax RJ (2015) Difference-in-differences techniques for spatial data: local autocorrelation and spatial interaction. Econ Lett 137:123–126. https://doi.org/10.1016/j.econlet.2015.10.035
Dong L, Gu F, Fujita T, Hayashi Y, Gao J (2014) Uncovering opportunity of low-carbon city promotion with industrial system innovation: case study on industrial symbiosis projects in China. Energy Policy 65:388–397. https://doi.org/10.1016/j.enpol.2013.10.019
Ellison RB, Greaves SP, Hensher DA (2013) Five years of London’s low emission zone: effects on vehicle fleet composition and air quality. Transp Res Part D: Transp Environ 23:25–33. https://doi.org/10.1016/j.trd.2013.03.010
Fareed Z, Rehman MA, Adebayo TS, Wang Y, Ahmad M, Shahzad F (2022) Financial inclusion and the environmental deterioration in Eurozone: the moderating role of innovation activity. Technol Soc 69:101961. https://doi.org/10.1016/j.techsoc.2022.101961
Fu Y, He C, Luo L (2021) Does the low-carbon city policy make a difference? Empirical evidence of the pilot scheme in China with DEA and PSM-DID. Ecol Indic 122:107238. https://doi.org/10.1016/j.ecolind.2020.107238
Feng T (2017) Assessment of the impact of pilot low-carbon city projects on carbon intensity. J Yunan Minzu Univ (Nat Sci Ed) 26(2):174–178. 12.3969/j.issn.1672-8513.2017.02.017
Feng T, Lin Z, Du H, Qiu Y, Zuo J (2021) Does low-carbon pilot city program reduce carbon intensity? Evidence from Chinese cities. Res Int Bus Financ 58(1):101450. https://doi.org/10.1016/j.ribaf.2021.101450
Greenstone M, Hanna R (2014) Environmental regulations, air and water pollution, and infant mortality in India. Am Econ Rev 104(10):3038–3072. https://doi.org/10.1257/aer.104.10.3038
Hong M, Chen S, Zhang K (2021) Impact of the “low-carbon city pilot” policy on energy intensity based on the empirical evidence of Chinese cities. Front Environ Sci 9:717–737. https://doi.org/10.3389/fenvs.2021.717737
Khanna N, Fridley D, Hong L (2014) China’s pilot low-carbon city initiative: a comparative assessment of national goals and local plans. Sustain Cities Soc 12:110–121. https://doi.org/10.1016/j.scs.2014.03.005
Kolak M, Anselin L (2019) A spatial perspective on the econometrics of program evaluation. Int Reg Sci Rev 43(1/2):128–153. https://doi.org/10.1177/0160017619869781
Le Sage J, Pace RK (2009) Introduction to spatial econometrics. Press, London. https://doi.org/10.1111/j.1467-985x.2010.00681_13.x
Lee CM, Erickson P (2017) How does local economic development in cities affect global GHG emissions? Sustain Cities Soc 35:626–636. https://doi.org/10.1016/j.scs.2017.08.027
Li Z, Chang S, Ma L, Liu P, Zhao L, Yao Q (2012) The development of low-carbon towns in China: concepts and practices. Energy 47(1):590–599. https://doi.org/10.1016/j.energy.2012.08.045
Li H, Dong L, Ren J (2015) Industrial symbiosis as a countermeasure for resource dependent city: a case study of Guiyang, China. J Clean Prod 107:252–266. https://doi.org/10.1016/j.jclepro.2015.04.089
Li G, He Q, Shao S, Cao J (2018a) Environmental non-governmental organizations and urban environmental governance: evidence from China. J Environ Econ Manage 206:1296–1307. https://doi.org/10.1016/j.jenvman.2017.09.076
Li H, Wang J, Yang X, Wang Y, Wu T (2018b) A holistic overview of the progress of China’s low-carbon city pilots. Sustain Cities Soc 42:289–300. https://doi.org/10.1016/j.scs.2018.07.019
Li M, Ahmad M, Fareed Z, Hassan T, Kirikkaleli D (2021) Role of trade openness, export diversification, and renewable electricity output in realizing carbon neutrality dream of China. J Environ Manage 297:113419. https://doi.org/10.1016/j.jenvman.2021.113419
Liu Z, Dai Y, Dong C, Qi Y (2009) Low-carbon city: concepts, international practice and implications for China. Urban Stud 16:1–7. https://doi.org/10.3969/j.issn.1006-3862.2009.06.001
Liu X, Li Y, Chen X, Liu J (2022) Evaluation of low carbon city pilot policy effect on carbon abatement in China: an empirical evidence based on time-varying DID model. Cities 123:103582. https://doi.org/10.1016/j.cities.2022.103582
Lo K (2014) China’s low-carbon city initiatives: the implementation gap and the limits of the target responsibility system. Habitat Int 42:236–244. https://doi.org/10.1016/j.habitatint.2014.01.007
Meng L, Graus W, Worrell E, Huang B (2014) Estimating CO2 (carbon dioxide) emissions at urban scales by DMSP/OLS (Defense Meteorological Satellite Program’s Operational Linescan System) nighttime light imagery: methodological challenges and a case study for China. Energy 71:468–478. https://doi.org/10.1016/j.energy.2014.04.103
Peng Y, Bai X (2018) Experimenting towards a low-carbon city: policy evolution and nested structure of innovation. J Clean Prod 174:201–212. https://doi.org/10.1016/j.jclepro.2017.10.116
Peng T, Deng H (2021) Research on the sustainable development process of low-carbon pilot cities: the case study of Guiyang, a low-carbon pilot city in south-west China. Environ Dev Sustain 23(2):2382–2403. https://doi.org/10.1007/s10668-020-00679-0
Porter ME, Linde CVD (1995) Toward a new conception of the environment-competitiveness relationship. J Econ Perspect 9(4):97–118. https://doi.org/10.1257/jep.9.4.97
Qiu S, Wang Z, Liu S (2021) The policy outcomes of low-carbon city construction on urban green development: evidence from a quasi-natural experiment conducted in China. Sustain Cities Soc 66:102699. https://doi.org/10.1016/j.scs.2020.102699
Ren Y, Cheng F, Fu J (2020) Evaluation of the implementation effect of China’s low carbon pilot policy. J Environ Econ 5(1):21–35. https://doi.org/10.19511/j.cnki.jee.2020.01.002
Rehman A, Ma H, Ahmad M, Irfan M, Traore O, Chandio AA (2021) Towards environmental sustainability: devolving the influence of carbon dioxide emission to population growth, climate change, Forestry, livestock and crops production in Pakistan. Ecol Indic 125:107460. https://doi.org/10.1016/j.ecolind.2021.107460
Rexhaeuser S, Rammer C (2014) Environmental innovations and firm profitability: unmasking the porter hypothesis. Environ Resour Econ 57(1):145–167. https://doi.org/10.1007/s10640-013-9671-x
Santos FM, Gómez-Losada Á, Pires JCM (2019) Impact of the implementation of Lisbon low emission zone on air quality. J Hazard Mater 365:632–641. https://doi.org/10.1016/j.jhazmat.2018.11.061
Shen K, Jin G, Fang X (2017) Does environmental regulation cause pollution to transfer nearby? Econ Res J 52(5):44–59
Shen L, Du X, Cheng G, Shi F, Wang Y (2021) Temporal-spatial evolution analysis on low carbon city performance in the context of China. Environ Impact Assess Rev 90:106626. https://doi.org/10.1016/j.eiar.2021.106626
Shi D, Li S (2020) Emissions trading system and energy use efficiency-measurements and empirical evidence for cities at and above the prefecture level. China Indust Econ 9:5–23. https://doi.org/10.19581/j.cnki.ciejournal.2020.09.001
Song H, Sun Y, Chen D (2019) Assessment for the effect of government air pollution control policy: empirical evidence from “low-carbon city” construction in China. Manage World 35(6):95-108+195. https://doi.org/10.19744/j.cnki.11-1235/f.2019.0082
Song M, Zhao X, Shang Y (2020) The impact of low-carbon city construction on ecological efficiency: empirical evidence from quasi-natural experiments. Resour Conserv Recycl 157:104777. https://doi.org/10.1016/j.resconrec.2020.104777
Sun X, Wang Z (2021) Can Chinese families achieve a low-carbon lifestyle? an empirical test of China’s low-carbon pilot policy. Front Energy Res 9:655733. https://doi.org/10.3389/fenrg.2021.655733
Tang P, Yang S, Shen J, Fu S (2018) Does China’s low-carbon pilot programme really take off? Evidence from land transfer of energy-intensive industry. Energy Policy 114:482–491. https://doi.org/10.1016/j.enpol.2017.12.032
Wang H, Wang Y, Wang H, Liu M, Zhang Y, Zhang P, Yang J, Bi J (2014) Mitigating greenhouse gas emissions from China’s cities: case study of Suzhou. Energy Policy 68:482–489. https://doi.org/10.1016/j.enpol.2013.12.066
Wang Y, Song Q, He J (2015) Developing low-carbon cities through pilots. Clim Policy 15(sup1):S81–S103. https://doi.org/10.1080/14693062.2015.1050347
World Economic Forum (WEF). The Global Risks Report (2022) https://www.weforum.org/reports/global-risks-report-2022
Wolff H (2014) Keep your clunker in the suburb: Low-emission zones and adoption of green vehicles. Econ J 124(578):F481–F512. https://doi.org/10.1111/ecoj.12091
Yu Y, Zhang N (2021) Low-carbon city pilot and carbon emission efficiency: quasi-experimental evidence from China. Energy Econ 96(2):105125. https://doi.org/10.1016/j.eneco.2021.105125
Zhang H (2020) Can low-carbon city construction reduce carbon emissions? Evidence from a quasi-natural experiment. Bus Manage J 42:25–41
Zhao X, Luo D (2017) Driving force of rising renewable energy in China: environment, regulation and employment. Renew Sustain Energ Rev 68:48–56. https://doi.org/10.1016/j.rser.2016.09.126
Zheng H, Song M, Shen Z (2021) The evolution of renewable energy and its impact on carbon reduction in China. Energy 237:121639. https://doi.org/10.1016/j.energy.2021.121639
Zhou Z, Zhuang G, Chen Y (2018) Assessment of low-carbon city development: theoretical basis, analysis framework and policy implications. China Popul Resour Environ 28(6):160–169. https://doi.org/10.12062/cpre.20180317
Zhou D, Zhou F, Wang X (2019) Impact of low-carbon pilot policy on the performance of urban carbon emissions and its mechanism. Resour Sci 41:546–556. https://doi.org/10.18402/resci.2019.03.12
Funding
This research was funded by the National Planning Office of Philosophy and Social Science Foundation of China (No. 16BJL032).
Author information
Authors and Affiliations
Contributions
(1) Huimin Ren: conceptualization, methodology, writing-original draft, and editing. (2) Guofeng Gu: visualization, writing-review, and investigation. (3) Honghao Zhou: resources, writing-review and editing, and supervision. Correspondence to Guofeng Gu.
Corresponding author
Ethics declarations
Ethics approval and consent to participate
Not applicable.
Consent for publication
Not applicable.
Competing interests
The authors declare no competing interests.
Additional information
Responsible Editor: Arshian Sharif
Publisher's note
Springer Nature remains neutral with regard to jurisdictional claims in published maps and institutional affiliations.
Rights and permissions
About this article
Cite this article
Ren, H., Gu, G. & Zhou, H. Assessing the low-carbon city pilot policy on carbon emission from consumption and production in China: how underlying mechanism and spatial spillover effect?. Environ Sci Pollut Res 29, 71958–71977 (2022). https://doi.org/10.1007/s11356-022-21005-3
Received:
Accepted:
Published:
Issue Date:
DOI: https://doi.org/10.1007/s11356-022-21005-3