IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v14y2022i19p12161-d925426.html
   My bibliography  Save this article

Design (Allocation) of a Carbon Emission System—A Lesson from Power Restrictions in Zhejiang, China

Author

Listed:
  • Feng Xiong

    (Center for Accounting Studies, Xiamen University, Xiamen 361005, China
    School of Management, Xiamen University, Xiamen 361005, China)

  • Xiaoyu Zeng

    (School of Management, Xiamen University, Xiamen 361005, China)

  • Yi (Fionna) Xie

    (Department of Agribusiness and Food Industry Management, Huntley College of Agriculture, California State Polytechnic University, Pomona, CA 91768, USA)

  • Yan Li

    (School of Management, Xiamen University, Xiamen 361005, China)

Abstract

This paper discusses how to design (allocate) a city-level carbon emission system, considering the recent outbreak (end of 2020) of electricity consumption restrictions in a few cities in Zhejiang, China. Although these measures aimed to achieve environmental goals, they had a certain negative impact on residents’ lives and foreign trade production. This paper argues that local authorities should be more flexible in formulating performance targets, incorporate interactive feedback in performance management, and utilize assessment results and better government internal control. This paper proposes a (national) strategic plan to achieve carbon control through the implementation of a circular economy, such as the design of a carbon emission system considering the economic development (supporting industry) in each city and a city-level carbon trading market.

Suggested Citation

  • Feng Xiong & Xiaoyu Zeng & Yi (Fionna) Xie & Yan Li, 2022. "Design (Allocation) of a Carbon Emission System—A Lesson from Power Restrictions in Zhejiang, China," Sustainability, MDPI, vol. 14(19), pages 1-31, September.
  • Handle: RePEc:gam:jsusta:v:14:y:2022:i:19:p:12161-:d:925426
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/14/19/12161/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/2071-1050/14/19/12161/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Fang, Kai & Tang, Yiqi & Zhang, Qifeng & Song, Junnian & Wen, Qi & Sun, Huaping & Ji, Chenyang & Xu, Anqi, 2019. "Will China peak its energy-related carbon emissions by 2030? Lessons from 30 Chinese provinces," Applied Energy, Elsevier, vol. 255(C).
    2. Peng, Benhong & Chen, Hong & Elahi, Ehsan & Wei, Guo, 2020. "Study on the spatial differentiation of environmental governance performance of Yangtze river urban agglomeration in Jiangsu province of China," Land Use Policy, Elsevier, vol. 99(C).
    3. Nathalia Suchek & Cristina I. Fernandes & Sascha Kraus & Matthias Filser & Helena Sjögrén, 2021. "Innovation and the circular economy: A systematic literature review," Business Strategy and the Environment, Wiley Blackwell, vol. 30(8), pages 3686-3702, December.
    4. Yao, Shiyue & Yu, Xueying & Yan, Sen & Wen, Shiyan, 2021. "Heterogeneous emission trading schemes and green innovation," Energy Policy, Elsevier, vol. 155(C).
    5. Wiebke Reim & Vinit Parida & David R. Sjödin, 2019. "Circular Business Models for the Bio-Economy: A Review and New Directions for Future Research," Sustainability, MDPI, vol. 11(9), pages 1-14, May.
    6. Zhang, Hui & Zhang, Bing, 2020. "The unintended impact of carbon trading of China's power sector," Energy Policy, Elsevier, vol. 147(C).
    7. Ipek Kazancoglu & Muhittin Sagnak & Sachin Kumar Mangla & Yigit Kazancoglu, 2021. "Circular economy and the policy: A framework for improving the corporate environmental management in supply chains," Business Strategy and the Environment, Wiley Blackwell, vol. 30(1), pages 590-608, January.
    8. Chen, Yvonne Jie & Li, Pei & Lu, Yi, 2018. "Career concerns and multitasking local bureaucrats: Evidence of a target-based performance evaluation system in China," Journal of Development Economics, Elsevier, vol. 133(C), pages 84-101.
    9. Gheorghița Dincă & Ana-Angela Milan & Maria Letiția Andronic & Anna-Maria Pasztori & Dragoș Dincă, 2022. "Does Circular Economy Contribute to Smart Cities’ Sustainable Development?," IJERPH, MDPI, vol. 19(13), pages 1-27, June.
    10. Fang, Kai & Dong, Liang & Ren, Jingzheng & Zhang, Qifeng & Han, Ling & Fu, Huizhen, 2017. "Carbon footprints of urban transition: Tracking circular economy promotions in Guiyang, China," Ecological Modelling, Elsevier, vol. 365(C), pages 30-44.
    11. Zhang, Shengling & Wang, Yao & Hao, Yu & Liu, Zhiwei, 2021. "Shooting two hawks with one arrow: Could China's emission trading scheme promote green development efficiency and regional carbon equality?," Energy Economics, Elsevier, vol. 101(C).
    12. Zhang, Yue-Jun & Liang, Ting & Jin, Yan-Lin & Shen, Bo, 2020. "The impact of carbon trading on economic output and carbon emissions reduction in China’s industrial sectors," Applied Energy, Elsevier, vol. 260(C).
    13. Jiayi Jia & Zhenyu Huang & Jianying Deng & Fang Hu & Lin Li, 2022. "Government Performance Evaluation in the Context of Carbon Neutrality: Energy-Saving of New Residential Building Projects," Sustainability, MDPI, vol. 14(3), pages 1-17, January.
    14. Taghipour, Amirhossein & Akkalatham, Wareerath & Eaknarajindawat, Natnaporn & Stefanakis, Alexandros I., 2022. "The impact of government policies and steel recycling companies' performance on sustainable management in a circular economy," Resources Policy, Elsevier, vol. 77(C).
    15. Fushuai Wang & Wenxia Cai & Ehsan Elahi, 2021. "Do Green Finance and Environmental Regulation Play a Crucial Role in the Reduction of CO 2 Emissions? An Empirical Analysis of 126 Chinese Cities," Sustainability, MDPI, vol. 13(23), pages 1-20, November.
    16. Elena Simina Lakatos & Geng Yong & Andrea Szilagyi & Dan Sorin Clinci & Lucian Georgescu & Catalina Iticescu & Lucian-Ionel Cioca, 2021. "Conceptualizing Core Aspects on Circular Economy in Cities," Sustainability, MDPI, vol. 13(14), pages 1-21, July.
    17. Yong Bian & Zhi Yu & Xuelan Zeng & Jingchun Feng & Chao He, 2018. "Achieving China’s Long-Term Carbon Emission Abatement Targets: A Perspective from Regional Disparity," Sustainability, MDPI, vol. 10(11), pages 1-19, November.
    18. Fang Zhang & Hong Fang & Xu Wang, 2018. "Impact of Carbon Prices on Corporate Value: The Case of China’s Thermal Listed Enterprises," Sustainability, MDPI, vol. 10(9), pages 1-14, September.
    19. Pereira, Alfredo M. & Pereira, Rui M. & Rodrigues, Pedro G., 2016. "A new carbon tax in Portugal: A missed opportunity to achieve the triple dividend?," Energy Policy, Elsevier, vol. 93(C), pages 110-118.
    20. Chenyu Lu & Yang Zhang & Hengji Li & Zilong Zhang & Wei Cheng & Shulei Jin & Wei Liu, 2020. "An Integrated Measurement of the Efficiency of China’s Industrial Circular Economy and Associated Influencing Factors," Mathematics, MDPI, vol. 8(9), pages 1-21, September.
    21. Carolina Giraldo Nohra & Amina Pereno & Silvia Barbero, 2020. "Systemic Design for Policy-Making: Towards the Next Circular Regions," Sustainability, MDPI, vol. 12(11), pages 1-22, June.
    22. Cristian Campagnaro & Marco D’Urzo, 2021. "Social Cooperation as a Driver for a Social and Solidarity Focused Approach to the Circular Economy," Sustainability, MDPI, vol. 13(18), pages 1-17, September.
    23. Weijiang Liu & Yangyang Li & Tingting Liu & Min Liu & Hai Wei, 2021. "How to Promote Low-Carbon Economic Development? A Comprehensive Assessment of Carbon Tax Policy in China," IJERPH, MDPI, vol. 18(20), pages 1-16, October.
    24. Yuan Hu & Xuan He & Mark Poustie, 2018. "Can Legislation Promote a Circular Economy? A Material Flow-Based Evaluation of the Circular Degree of the Chinese Economy," Sustainability, MDPI, vol. 10(4), pages 1-22, March.
    25. Pan Zhang & Jiannan Wu, 2018. "Performance-Based or Politic-Related Decomposition of Environmental Targets: A Multilevel Analysis in China," Sustainability, MDPI, vol. 10(10), pages 1-16, September.
    26. Elahi, Ehsan & Khalid, Zainab & Zhang, Zhixin, 2022. "Understanding farmers’ intention and willingness to install renewable energy technology: A solution to reduce the environmental emissions of agriculture," Applied Energy, Elsevier, vol. 309(C).
    27. Qiong Wu & Kanittha Tambunlertchai & Pongsa Pornchaiwiseskul, 2021. "Examining the Impact and Influencing Channels of Carbon Emission Trading Pilot Markets in China," Sustainability, MDPI, vol. 13(10), pages 1-18, May.
    28. Jenny Sumner & Lori Bird & Hillary Dobos, 2011. "Carbon taxes: a review of experience and policy design considerations," Climate Policy, Taylor & Francis Journals, vol. 11(2), pages 922-943, March.
    29. Baran Doda, 2016. "How to price carbon in good times … and bad!," Wiley Interdisciplinary Reviews: Climate Change, John Wiley & Sons, vol. 7(1), pages 135-144, January.
    30. Feng, Zhiying & Tang, Wenhu & Niu, Zhewen & Wu, Qinghua, 2018. "Bi-level allocation of carbon emission permits based on clustering analysis and weighted voting: A case study in China," Applied Energy, Elsevier, vol. 228(C), pages 1122-1135.
    31. António Cavaleiro de Ferreira & Francesco Fuso-Nerini, 2019. "A Framework for Implementing and Tracking Circular Economy in Cities: The Case of Porto," Sustainability, MDPI, vol. 11(6), pages 1-23, March.
    32. Neu, Dean & Everett, Jeff & Rahaman, Abu Shiraz, 2015. "Preventing corruption within government procurement: Constructing the disciplined and ethical subject," CRITICAL PERSPECTIVES ON ACCOUNTING, Elsevier, vol. 28(C), pages 49-61.
    33. Huiqin Jiang & Xinxiao Shao & Xiao Zhang & Jianqiang Bao, 2017. "A Study of the Allocation of Carbon Emission Permits among the Provinces of China Based on Fairness and Efficiency," Sustainability, MDPI, vol. 9(11), pages 1-17, November.
    34. Junming Zhu & Chengming Fan & Haijia Shi & Lei Shi, 2019. "Efforts for a Circular Economy in China: A Comprehensive Review of Policies," Journal of Industrial Ecology, Yale University, vol. 23(1), pages 110-118, February.
    35. Liu, Zhe & Adams, Michelle & Cote, Raymond P. & Chen, Qinghua & Wu, Rui & Wen, Zongguo & Liu, Weili & Dong, Liang, 2018. "How does circular economy respond to greenhouse gas emissions reduction: An analysis of Chinese plastic recycling industries," Renewable and Sustainable Energy Reviews, Elsevier, vol. 91(C), pages 1162-1169.
    36. Alex Y. Lo, 2016. "Challenges to the development of carbon markets in China," Climate Policy, Taylor & Francis Journals, vol. 16(1), pages 109-124, January.
    37. Ludger Niemann & Thomas Hoppe, 2018. "Sustainability reporting by local governments: a magic tool? Lessons on use and usefulness from European pioneers," Public Management Review, Taylor & Francis Journals, vol. 20(1), pages 201-223, January.
    Full references (including those not matched with items on IDEAS)

    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. Enci Wang & Jianyun Nie & Hong Zhan, 2022. "The Impact of Carbon Emissions Trading on the Profitability and Debt Burden of Listed Companies," Sustainability, MDPI, vol. 14(20), pages 1-20, October.
    2. Jingxing Zhang, 2022. "Impact of Manufacturing Servitization on Factor Productivity of Industrial Sector Using Global Value Chain," Sustainability, MDPI, vol. 14(9), pages 1-15, April.
    3. Ren, Shenggang & Yang, Xuanyu & Hu, Yucai & Chevallier, Julien, 2022. "Emission trading, induced innovation and firm performance," Energy Economics, Elsevier, vol. 112(C).
    4. Qiuyue Xia & Lu Li & Jie Dong & Bin Zhang, 2021. "Reduction Effect and Mechanism Analysis of Carbon Trading Policy on Carbon Emissions from Land Use," Sustainability, MDPI, vol. 13(17), pages 1-22, August.
    5. Min Zhu & Mengqi Sun & Ehsan Elahi & Yajie Li & Zainab Khalid, 2023. "Analyzing the Relationship between Green Finance and Agricultural Industrial Upgrading: A Panel Data Study of 31 Provinces in China," Sustainability, MDPI, vol. 15(12), pages 1-19, June.
    6. Gilbert E. Metcalf & James H. Stock, 2023. "The Macroeconomic Impact of Europe's Carbon Taxes," American Economic Journal: Macroeconomics, American Economic Association, vol. 15(3), pages 265-286, July.
    7. Gang Li & Ehsan Elahi & Xingshuai Wang, 2023. "Population age structure, asset price, and financial stability," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 44(4), pages 2041-2056, June.
    8. Ge, Tao & Li, Chunying & Li, Jinye & Hao, Xionglei, 2023. "Does neighboring green development benefit or suffer from local economic growth targets? Evidence from China," Economic Modelling, Elsevier, vol. 120(C).
    9. Mathivathanan, Deepak & Mathiyazhagan, K. & Khorana, Sangeeta & Rana, Nripendra P. & Arora, Bimal, 2022. "Drivers of circular economy for small and medium enterprises: Case study on the Indian state of Tamil Nadu," Journal of Business Research, Elsevier, vol. 149(C), pages 997-1015.
    10. Leticia Sarmento dos Muchangos, 2022. "Mapping the Circular Economy Concept and the Global South," Circular Economy and Sustainability,, Springer.
    11. Wen-Kuo Chen & Ching-Torng Lin, 2021. "Interrelationship among CE Adoption Obstacles of Supply Chain in the Textile Sector: Based on the DEMATEL-ISM Approach," Mathematics, MDPI, vol. 9(12), pages 1-24, June.
    12. Francesca Pirlone & Ilenia Spadaro & Cristiana Arzà & Giovanna Lonati & Piero Garibaldi, 2022. "Application Studies for the Implementation of the Sustainability Charter in the Metropolitan City of Genoa," Sustainability, MDPI, vol. 14(8), pages 1-22, April.
    13. Yan Fu & Jiaxing Cao & Xiaohui Wu & Jiale He & Zekun Zhou & Yulin Zhao, 2023. "Does Environmental Policy with Veto Power Lead to Heterogeneous Emission? Evidence from China," Sustainability, MDPI, vol. 15(12), pages 1-19, June.
    14. Angela Neves & Radu Godina & Susana G. Azevedo & Carina Pimentel & João C.O. Matias, 2019. "The Potential of Industrial Symbiosis: Case Analysis and Main Drivers and Barriers to Its Implementation," Sustainability, MDPI, vol. 11(24), pages 1-68, December.
    15. Wu, Rongxin & Tan, Zhizhou & Lin, Boqiang, 2023. "Does carbon emission trading scheme really improve the CO2 emission efficiency? Evidence from China's iron and steel industry," Energy, Elsevier, vol. 277(C).
    16. Jianguo Zhou & Yushuo Li & Xuejing Huo & Xiaolei Xu, 2019. "How to Allocate Carbon Emission Permits Among China’s Industrial Sectors Under the Constraint of Carbon Intensity?," Sustainability, MDPI, vol. 11(3), pages 1-21, February.
    17. Elena Rangoni Gargano & Alessia Cornella & Pasqualina Sacco, 2023. "Governance Model for a Territory Circularity Index," Sustainability, MDPI, vol. 15(5), pages 1-15, February.
    18. Nesrin Ada & Yigit Kazancoglu & Muruvvet Deniz Sezer & Cigdem Ede-Senturk & Idil Ozer & Mangey Ram, 2021. "Analyzing Barriers of Circular Food Supply Chains and Proposing Industry 4.0 Solutions," Sustainability, MDPI, vol. 13(12), pages 1-29, June.
    19. Wang, Xu & Zhu, Lei & Liu, Pengfei, 2021. "Manipulation via endowments: Quantifying the influence of market power on the emission trading scheme," Energy Economics, Elsevier, vol. 103(C).
    20. Xingshuai Wang & Ehsan Elahi & Zainab Khalid & Mohammad Ilyas Abro, 2023. "Environmental Governance Goals of Local Governments and Technological Innovation of Enterprises under Green Performance Assessment," IJERPH, MDPI, vol. 20(3), pages 1-19, January.

    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:gam:jsusta:v:14:y:2022:i:19:p:12161-:d:925426. 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: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.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.