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Can the Agglomeration of New Energy Industries Improve Environmental Efficiency?—Evidence from China

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  • Yi Liang

    (School of Economics and Management, Xinjiang University, Urumqi 830046, China)

  • Xiaoli Hao

    (School of Economics and Management, Xinjiang University, Urumqi 830046, China
    Center for Innovation Management Research, Xinjiang University, Urumqi 830046, China)

Abstract

Improving environmental efficiency is the key to solving the contradiction between economic development and environmental degradation. In the process of realizing the “dual carbon” goal, the development of the new energy industry is typically characterized by having low carbon and is an important way to improve environmental efficiency. In this study, based on panel data from 2009 to 2018, the agglomeration levels of the new energy industry and the levels of environmental efficiency were measured. Moreover, the linear and nonlinear relationships between the agglomeration of the new energy industry and environmental efficiency were investigated, and the mediation effect model was used to verify the mechanism of action from a two-dimensional perspective. The results showed that (1) the levels of the agglomeration of the new energy industry ( NEA ) and environmental efficiency ( EE ) have generally increased with obvious “regional heterogeneity” and “polar characteristics”; (2) NEA can promote EE , with a marginal effect of 0.0347, but a strong positive driving effect only exists in the eastern region at present, which is higher than the national average level; (3) there is a double threshold effect within the process and the driving trend is “weak negative → weak positive → strong positive"; and (4) the advancement of industrial structures and direct foreign investments are the critical intermedia. Accordingly, this paper puts forward corresponding policy recommendations.

Suggested Citation

  • Yi Liang & Xiaoli Hao, 2022. "Can the Agglomeration of New Energy Industries Improve Environmental Efficiency?—Evidence from China," Sustainability, MDPI, vol. 14(14), pages 1-22, July.
    • Handle: RePEc:gam:jsusta:v:14:y:2022:i:14:p:8961-:d:868348
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