IDEAS home Printed from https://ideas.repec.org/a/spr/endesu/v24y2022i5d10.1007_s10668-021-01699-0.html
   My bibliography  Save this article

Does China's policy of carbon emission trading deliver sulfur dioxide reduction co-benefits?

Author

Listed:
  • Po Kou

    (Northeastern University)

  • Ying Han

    (Northeastern University)

  • Xiaoyuan Qi

    (Northeastern University)

  • Yuanxian Li

    (Northeastern University)

Abstract

Environmental degradation and climate change are two important issues that threaten human survival and sustainable social development. Based on the characteristics of the same source of sulfur dioxide and greenhouse gases, we analyze the collaborative governance mechanism of carbon emission trading on sulfur dioxide. The results show that carbon emission reduction trading may not necessarily deliver sulfur dioxide reduction co-benefits. Then, we conduct an empirical using data of 30 regions in China from 1998 to 2017. The results show that the co-benefits of carbon emission trading in terms of the reduction of sulfur dioxide are regionally heterogeneous. The carbon emission trading policies implemented in Beijing, Chongqing, Hubei, and Guangdong have realized collaborative governance on sulfur dioxide. However, the carbon emission trading policies implemented in Tianjin and Shanghai have not realized collaborative governance on sulfur dioxide. Moreover, Chongqing has the highest average annual sulfur dioxide reduction co-benefits, followed by Guangdong. The gap of sulfur dioxide reduction co-benefits between Beijing and Hubei's synergistic emission reduction effect is small. Moreover, the sulfur dioxide reduction co-benefits of carbon emission trading are mainly achieved by reducing fossil energy consumption. Meanwhile, the carbon emission trading implemented in Beijing also delivers sulfur dioxide reduction co-benefits by improving pollution reduction technology.

Suggested Citation

  • Po Kou & Ying Han & Xiaoyuan Qi & Yuanxian Li, 2022. "Does China's policy of carbon emission trading deliver sulfur dioxide reduction co-benefits?," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 24(5), pages 6224-6245, May.
    • Handle: RePEc:spr:endesu:v:24:y:2022:i:5:d:10.1007_s10668-021-01699-0
    DOI: 10.1007/s10668-021-01699-0
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s10668-021-01699-0
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s10668-021-01699-0?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Bollen, Johannes & van der Zwaan, Bob & Brink, Corjan & Eerens, Hans, 2009. "Local air pollution and global climate change: A combined cost-benefit analysis," Resource and Energy Economics, Elsevier, vol. 31(3), pages 161-181, August.
    2. Yang, Xinyu & Jiang, Ping & Pan, Yao, 2020. "Does China's carbon emission trading policy have an employment double dividend and a Porter effect?," Energy Policy, Elsevier, vol. 142(C).
    3. Britt Groosman & Nicholas Muller & Erin O’Neill-Toy, 2011. "The Ancillary Benefits from Climate Policy in the United States," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 50(4), pages 585-603, December.
    4. Peng, Jiaying & Xie, Rui & Ma, Chunbo & Fu, Yang, 2021. "Market-based environmental regulation and total factor productivity: Evidence from Chinese enterprises," Economic Modelling, Elsevier, vol. 95(C), pages 394-407.
    5. Cheng Hsiao & H. Steve Ching & Shui Ki Wan, 2012. "A Panel Data Approach For Program Evaluation: Measuring The Benefits Of Political And Economic Integration Of Hong Kong With Mainland China," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 27(5), pages 705-740, August.
    6. Shushu Li & Yong Ma, 2014. "Urbanization, Economic Development and Environmental Change," Sustainability, MDPI, vol. 6(8), pages 1-19, August.
    7. Yu, Shiwei & Zheng, Shuhong & Li, Xia, 2018. "The achievement of the carbon emissions peak in China: The role of energy consumption structure optimization," Energy Economics, Elsevier, vol. 74(C), pages 693-707.
    8. Jin, Yanhong & Lin, Liguo, 2014. "China's provincial industrial pollution: the role of technical efficiency, pollution levy and pollution quantity control," Environment and Development Economics, Cambridge University Press, vol. 19(1), pages 111-132, February.
    9. Ke, Xiao & Chen, Haiqiang & Hong, Yongmiao & Hsiao, Cheng, 2017. "Do China's high-speed-rail projects promote local economy?—New evidence from a panel data approach," China Economic Review, Elsevier, vol. 44(C), pages 203-226.
    10. 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.
    11. Allen Blackman & Zhengyan Li & Antung A. Liu, 2018. "Efficacy of Command-and-Control and Market-Based Environmental Regulation in Developing Countries," Annual Review of Resource Economics, Annual Reviews, vol. 10(1), pages 381-404, October.
    12. Yan, Yaxue & Zhang, Xiaoling & Zhang, Jihong & Li, Kai, 2020. "Emissions trading system (ETS) implementation and its collaborative governance effects on air pollution: The China story," Energy Policy, Elsevier, vol. 138(C).
    13. Lu Li & Jie Dong & Yan Song, 2020. "Impact and Acting Path of Carbon Emission Trading on Carbon Emission Intensity of Construction Land: Evidence from Pilot Areas in China," Sustainability, MDPI, vol. 12(19), pages 1-15, September.
    14. Cenjie Liu & Chunbo Ma & Rui Xie, 2020. "Structural, Innovation and Efficiency Effects of Environmental Regulation: Evidence from China’s Carbon Emissions Trading Pilot," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 75(4), pages 741-768, April.
    15. Shrestha, Ram M. & Pradhan, Shreekar, 2010. "Co-benefits of CO2 emission reduction in a developing country," Energy Policy, Elsevier, vol. 38(5), pages 2586-2597, May.
    16. Muller, Nicholas Z., 2012. "The design of optimal climate policy with air pollution co-benefits," Resource and Energy Economics, Elsevier, vol. 34(4), pages 696-722.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Haitao Hou & Bo Xie & Yingying Cheng, 2023. "Analysis of Carbon Emissions and Emission Reduction from Coal-Fired Power Plants Based on Dual Carbon Targets," Sustainability, MDPI, vol. 15(9), pages 1-14, April.

    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. Jiang, Hong-Dian & Purohit, Pallav & Liang, Qiao-Mei & Dong, Kangyin & Liu, Li-Jing, 2022. "The cost-benefit comparisons of China's and India's NDCs based on carbon marginal abatement cost curves," Energy Economics, Elsevier, vol. 109(C).
    2. Liu, Donghua & Ren, Shenggang & Li, Wenming, 2022. "SO2 emissions trading and firm exports in China," Energy Economics, Elsevier, vol. 109(C).
    3. Zhu, Junpeng & Wu, Shaohui & Xu, Junbing, 2023. "Synergy between pollution control and carbon reduction: China's evidence," Energy Economics, Elsevier, vol. 119(C).
    4. Tianjiao Zhao & Xiang Xiao & Qinghui Dai, 2021. "Transportation Infrastructure Construction and High-Quality Development of Enterprises: Evidence from the Quasi-Natural Experiment of High-Speed Railway Opening in China," Sustainability, MDPI, vol. 13(23), pages 1-23, December.
    5. Jia, Zhijie & Lin, Boqiang, 2020. "Rethinking the choice of carbon tax and carbon trading in China," Technological Forecasting and Social Change, Elsevier, vol. 159(C).
    6. Lu, Yunguo & Zhang, Lin, 2022. "National mitigation policy and the competitiveness of Chinese firms," Energy Economics, Elsevier, vol. 109(C).
    7. Susheng Wang & Gang Chen & Xue Han, 2021. "An Analysis of the Impact of the Emissions Trading System on the Green Total Factor Productivity Based on the Spatial Difference-in-Differences Approach: The Case of China," IJERPH, MDPI, vol. 18(17), pages 1-18, August.
    8. Chen, Fanglin & Hao, Xinyue & Chen, Zhongfei, 2021. "Can high-speed rail improve health and alleviate health inequality? Evidence from China," Transport Policy, Elsevier, vol. 114(C), pages 266-279.
    9. Mathilde Maurel & Thomas Pernet, 2021. "New evidence on the soft budget constraint: Chinese environmental policy effectiveness in SOE-dominated cities," Public Choice, Springer, vol. 187(1), pages 111-142, April.
    10. Zhang, Yue-Jun & Cheng, Hao-Sen, 2021. "The impact mechanism of the ETS on CO2 emissions from the service sector: Evidence from Beijing and Shanghai," Technological Forecasting and Social Change, Elsevier, vol. 173(C).
    11. Milan Ščasný & Emanuele Massetti & Jan Melichar & Samuel Carrara, 2015. "Quantifying the Ancillary Benefits of the Representative Concentration Pathways on Air Quality in Europe," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 62(2), pages 383-415, October.
    12. Dong, Zhaoyingzi & Xia, Chuyu & Fang, Kai & Zhang, Weiwen, 2022. "Effect of the carbon emissions trading policy on the co-benefits of carbon emissions reduction and air pollution control," Energy Policy, Elsevier, vol. 165(C).
    13. Zhang, Ming & Zhao, Yingxue, 2023. "Does environmental regulation spur innovation? Quasi-natural experiment in China," World Development, Elsevier, vol. 168(C).
    14. Shuo Gao & Ping Jiang, 2020. "Detecting and understanding co-benefits generated in tackling climate change and environmental degradation in China," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 22(5), pages 4589-4618, June.
    15. Ding, Jinxiu & Lu, Zhe & Yu, Chin-Hsien, 2022. "Environmental information disclosure and firms’ green innovation: Evidence from China," International Review of Economics & Finance, Elsevier, vol. 81(C), pages 147-159.
    16. Du, Minzhe & Liu, Yunxiao & Wang, Bing & Lee, Myunghun & Zhang, Ning, 2021. "The sources of regulated productivity in Chinese power plants: An estimation of the restricted cost function combined with DEA approach," Energy Economics, Elsevier, vol. 100(C).
    17. Xi Xie & Yuwei Weng & Wenjia Cai, 2018. "Co-Benefits of CO 2 Mitigation for NO X Emission Reduction: A Research Based on the DICE Model," Sustainability, MDPI, vol. 10(4), pages 1-18, April.
    18. Hu, Yucai & Li, Ranran & Du, Lei & Ren, Shenggang & Chevallier, Julien, 2022. "Could SO2 and CO2 emissions trading schemes achieve co-benefits of emissions reduction?," Energy Policy, Elsevier, vol. 170(C).
    19. Ren, Yi-Shuai & Boubaker, Sabri & Liu, Pei-Zhi & Weber, Olaf, 2023. "How does carbon regulatory policy affect debt financing costs? Empirical evidence from China," The Quarterly Review of Economics and Finance, Elsevier, vol. 90(C), pages 77-90.
    20. James Boyce & Manuel Pastor, 2012. "Cooling the Planet, Clearing the Air: Climate Policy, Carbon Pricing, and Co-Benefits," Published Studies cooling_the_planet_sept20, Political Economy Research Institute, University of Massachusetts at Amherst.

    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:spr:endesu:v:24:y:2022:i:5:d:10.1007_s10668-021-01699-0. 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: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.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.