IDEAS home Printed from https://ideas.repec.org/a/spr/endesu/v27y2025i6d10.1007_s10668-023-04441-0.html
   My bibliography  Save this article

Are pollution control bonds the solution for energy firms under the magnifying glass?

Author

Listed:
  • Ines Bargaoui

    (Manouba University)

  • Imen Khanchel

    (Manouba University
    ESSECT, University of Tunis)

  • Naima Lassoued

    (Manouba University
    ESCT, Manouba University)

Abstract

This study examines the effect of pollution control bonds on energy firms’ financial and environmental performance. A linear regression method was used for a sample of 221 U.S. energy firms observed from 2011 to 2020. The results indicate significant positive relationships between pollution control bonds and firm performance. Our results are robust to crisis effect and to alternative measures of firm performance and pollution control bonds. This study investigates the impact of pollution control bonds (PCBs) on the financial performance and environmental innovation of energy utility firms. Using a linear regression method, we analyzed a sample of 221 U.S. energy utility firms spanning from 2011 to 2020. The findings reveal significant positive effects of PCB issuance on both firm performance and environmental innovation. These results remain robust when considering crisis effects and alternative measures of both firm performance and environmental innovation. Notably, while existing literature has explored the outcomes of green financing, the specific benefits of PCBs have not been previously examined. The outcomes of this study hold valuable insights for regulators, investors, and policymakers aiming to advance the use of PCBs.

Suggested Citation

  • Ines Bargaoui & Imen Khanchel & Naima Lassoued, 2025. "Are pollution control bonds the solution for energy firms under the magnifying glass?," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 27(6), pages 14343-14364, June.
    • Handle: RePEc:spr:endesu:v:27:y:2025:i:6:d:10.1007_s10668-023-04441-0
    DOI: 10.1007/s10668-023-04441-0
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s10668-023-04441-0
    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/s10668-023-04441-0?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.

    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:27:y:2025:i:6:d:10.1007_s10668-023-04441-0. 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.

    We have no bibliographic references for this item. You can help adding them by using 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.