Emission Reduction Performance Research Articles

Driving green: Financial benefits of carbon emission reduction in companies

This paper explores the relationship between carbon emissions reduction and corporate financial performance, leveraging a rich dataset of 14,866 observations from 2768 companies across 36 countries and regions, and 35 industries over the period 2002–2022. We find that carbon emissions reductions improve company financial performance, as measured by return on assets and return on equity, with this effect being even more pronounced for companies with higher carbon intensity. Additionally, country carbon regulations are positively associated with a company's financial performance, while higher ESG scores negatively impact it. Notably, we find no significant role for CSR reporting in driving financial gains. Overall, our findings suggest that companies can enhance financial performance by intensifying their carbon emission reduction efforts while also contributing to environmental stewardship. We recommend that businesses adopt tailored sustainability strategies that account for country, firm, and industry-specific factors to maximize these benefits across different regional and sectoral contexts.

Comparative analysis of the combustion and emission characteristics of biojet and conventional Jet A‐1 fuel: a review

AbstractConventional jet fuels derived from fossil sources contribute to greenhouse gas emissions and air pollution, leading to climate change. Recent studies have shown that biobased jet fuels from different feedstocks offer a more sustainable alternative to conventional fuels as they are derived from renewable biomass, reducing greenhouse gas emissions. The major feedstocks reviewed are jatropha curcas, camelina, karanja oil, waste cooking oil, and municipal solid waste. They offer diverse benefits for sustainable aviation fuel development. As a comparative analysis, this review examined jet fuel characteristics based on their physicochemical properties, namely energy content, viscosity, calorific value, cetane number, and freezing and flash points. The objective was to understand the influence of the properties on performance evaluation, environmental impact, and combustion characteristics. The properties of biojet fuels are compared with their fossil counterparts to validate their suitability as renewable alternatives and their benefits in terms of emissions reduction and engine performance. Biojet fuels perform better in terms of lower sulfur content, lower soot content, and a lower freezing point, their aromatic content, and their high cetane number. This study enhances the understanding of biojet fuels and their quality, and supports the development of sustainable fuel options. Overall, adherence to the American Society for Testing and Materials (ASTM) D7566‐18 standard is crucial for the acceptance and integration of biojet fuels into the aviation sector. Future research should explore feedstocks such as wood biomass, wastepaper, and agricultural residues for biojet fuels. It should also investigate the combustion and emission characteristics of biosourced aviation fuel at higher blending ratios (>50% by volume) with fossil Jet A‐1.

Decision-making in low carbon supply chains: a blockchain-based lcsp perspective and a differential game model

Blockchain technology has reshaped how members of supply chains transfer information, effectively avoiding the phenomenon of information silos and helping to improve the emissions reduction performance and profit of each subject in the supply chain. It is now critical to understand how supply chain members can be encouraged to collaboratively invest in low-carbon service platforms based on blockchain technology to realise chain-wide systematic carbon reduction. In this regard, considering the time-dynamic characteristics of enterprise emissions reduction, this paper establishes a differential game model of collaborative emissions reduction in a low-carbon supply chain composed of a Stackelberg leader manufacturer and a supplier. We compare and analyse the four investment decision scenarios regarding whether the supplier and manufacturer invest in the blockchain low-carbon service platform under decentralised decision-making, as well as the equilibrium solutions of supply chain members under centralised decision-making scenarios by solving the Hamilton function. Finally, we introduce a bilateral cost-sharing contract to make the supply chain perfectly coordinated. We find that the significant unit return is an important incentive for supply chain members to take the lead in investing in a low carbon service platform (LCSP). In this regard, when only one member invests, the other one demonstrates free-riding behaviour. Under centralised decision-making, the supply chain can achieve Pareto optimality, and the bilateral cost-sharing contract can achieve perfect coordination of the supply chain, which is the best choice for the decision-makers of low-carbon supply chains. As the influence level of the LCSP gradually increases from small to large, the optimal decision-making of supply chain members gradually transitions from waiting for the right time to “hitchhike” to a strong willingness to cooperate. This study is of great reference value and practical significance for economic entities to improve profits, promote systematic carbon reduction in the whole chain and promote the sustainable development of low-carbon supply chains.

환경경영이 경영자보상에 미치는 영향 : 기관투자자 및 개인투자자를 중심으로

[Purpose]This study aims to analyze the impact of ESG management, particularly carbon emission reduction performance, on CEO compensation and to empirically examine the differential impact by investor type. [Methodology]The study analyzed manufacturing firms listed on the Korea Exchange from 2013 to 2022, using financial and environmental data. Multivariate regression analysis was applied to understand the relationship between carbon emission performance and executive compensation, and to assess the differential impact between institutional and individual investors. [Findings]The study found that higher carbon emission performance is associated with higher CEO compensation, with a stronger positive relationship in firms with a higher proportion of institutional investors. [Implications]Incorporating carbon emission reduction performance into CEO compensation can incentivize sustainable management, with institutional investors playing a crucial role in enhancing firms’ ESG performance and improving corporate sustainability.

Exploring firm and country's specific factors affecting carbon emission reduction performance: Study on selected ASEAN countries

The research aims to analyze the determinants that impact a company's capability to mitigate carbon emissions in various ASEAN countries, specifically Indonesia, Malaysia, Thailand, the Philippines, and Singapore. The investigation delves into company-specific factors, including corporate social responsibility (CSR) strategy, green innovation, corporate governance, and product responsibility, as well as country-specific factors such as voice and accountability, regulatory quality, government effectiveness, and the rule of law. The results reveal that all examined company-specific factors exhibit a positive and significant influence on a company's capability to reduce carbon emissions. Nonetheless, the influence of country-specific factors on emission reduction performance remains indefinite. While regulatory quality and government effectiveness are significantly associated with a company's emission reduction performance, the same relationship does not apply to voice and accountability and the rule of law.

Conceptual design and life-cycle environmental and economic assessment of low-carbon cement manufacturing processes

Cement manufacturing, a fundamental process industry characterized by high CO2 emissions, sees over 58% of its emissions stemming from the limestone calcination process. However, this significant source of CO2 has not yet been adequately addressed by most existing cement decarbonization processes. As such, systematic environmental and economic comparisons between different cement processes are essential. This paper proposes a new cement process (NCP) that uses natural gas to react with limestone to reduce CO2 emissions and simultaneously produce high-value-added chemical products (methanol). To explore strategies for further improving the performance of the CO2 emission reduction, two processes are developed, integrating the organic Rankine cycle (ORC) and carbon capture and storage (CCS) units with the traditional cement process (TCP) and the NCP, namely TCP-ORC-CCS and NCP-ORC-CCS respectively. Life cycle assessment (LCA) and economic analysis were performed on the TCP, NCP, TCP-ORC-CCS, and NCP-ORC-CCS processes, revealing their advantages and limitations in different scenarios. LCA adopts the "cradle to gate" system boundary, which includes the whole cement process from ore mining to clinker generation and other processes used for carbon reduction. The LCA results show that four cement processes exhibit different environmental performances when choosing different allocation methods. Under economic allocation, the global warming potential (GWP) of TCP, NCP, TCP-ORC-CCS, and NCP-ORC-CCS are 933, 300, 432, and 194 kgCO2eq/ton·clinker, respectively. The comprehensive analysis indicates that NCP has the best comprehensive economic and environmental performance when natural gas and methanol prices are 332 and 319 $/ton, respectively. The price fluctuation of natural gas and methanol is found to greatly impact the levelized cost of clinker (LCOC) of NCP through sensitivity analysis. NCP is economically preferred over TCP when the price of methanol (MeOH) is at least $76 above approximately two-thirds of the price of methane (CH4). Similarly, NCP-ORC-CCS is more advantageous than TCP-ORC-CCS when the price of MeOH is at least $87 above nearly two-thirds of the price of CH4. This study provides a comprehensive analysis for low-carbon cement process design to achieve CO2 emissions reduction.

Integrated catalytic systems for simultaneous NOx and PM reduction: a comprehensive evaluation of synergistic performance and combustion waste energy utilization.

The global transition towards sustainable automotive vehicles has driven the demand for energy-efficient internal combustion engines with advanced aftertreatment systems capable of reducing nitrogen oxides (NOx) and particulate matter (PM) emissions. This comprehensive review explores the latest advancements in aftertreatment technologies, focusing on the synergistic integration of in-cylinder combustion strategies, such as low-temperature combustion (LTC), with post-combustion purification systems. Selective catalytic reduction (SCR), lean NOx traps (LNT), and diesel particulate filters (DPF) are critically examined, highlighting novel catalyst formulations and system configurations that enhance low-temperature performance and durability. The review also investigates the potential of energy conversion and recovery techniques, including thermoelectric generators and organic Rankine cycles, to harness waste heat from the exhaust and improve overall system efficiency. By analyzing the complex interactions between engine operating parameters, combustion kinetics, and emission formation, this study provides valuable insights into the optimization of integrated LTC-aftertreatment systems. Furthermore, the review emphasizes the importance of considering real-world driving conditions and transient operation in the development and evaluation of these technologies. The findings presented in this article lay the foundation for future research efforts aimed at overcoming the limitations of current aftertreatment systems and achieving superior emission reduction performance in advanced combustion engines, ultimately contributing to the development of sustainable and efficient automotive technologies.

The Impacts of K-ETS Auctioning Revenues on Carbon Emissions Reduction and Economic Performance

The Impacts of K-ETS Auctioning Revenues on Carbon Emissions Reduction and Economic Performance

Can Government Environmental Attention Improve Corporate Carbon Emission Reduction Performance?—Evidence from China A-Share Listed Companies with High-Energy-Consumption

Can Government Environmental Attention Improve Corporate Carbon Emission Reduction Performance?—Evidence from China A-Share Listed Companies with High-Energy-Consumption

Environmental and economic analysis of the transformation of paper mill sludge treatment technologies in China.

Paper mill sludge (PMS) is featured with a high content of cellulose and hemicellulose, and using its characteristics to make paperboard can achieve a high-value utilization of PMS, which has attracted growing interest. In this study, currently prevalent landfill, incineration technologies (generating heat and electricity by incineration), and three paperboard technologies (medium density fiberboard, pulp board, and corrugated paper) were evaluated and compared via life cycle assessment (LCA) and life cycle costing (LCC) methods. LCA results show that the PMS-to-pulp board outperforms others with an energy conservation and emission reduction (ECER) value of - 2.86 × 10-8, while the landfill exhibits the highest overall environmental impact with an ECER value of 4.80 × 10-9. LCC results reveal that the PMS-to-pulp board delivers the highest economic profit with $257.357, while the landfill is the lowest with $ - 35.63. The PMS paperboard technologies are more economically friendly than the incineration technologies due to additional electricity/steam consumption during the PMS pre-drying process in incineration. In addition, different scenarios were set up to explore national GHG emission reduction potential by increasing paperboard technologies application rate and reducing the proportion of landfill and incineration. The scenario analysis suggests that replacing 90% of landfill and incineration ratio with PMS paperboard technologies could tremendously improve the overall emission reduction performance with - 9.08 × 1010 kg CO2 eq. This result indicates that the PMS treatment technology transformation has a significant favorable impact on the achievement of the "carbon neutrality" target.

Carbon emissions and reduction performance of photovoltaic systems in China

Solar energy is an inexhaustible clean energy, which can be converted into electricity through photovoltaic (PV) modules. However, the production of these modules is a process of pollution, which will generate a large amount of carbon emissions. Therefore, investigating the carbon emission performance of PV systems is of great significance in achieving carbon neutrality. Here, this study comprehensively analyze the carbon emissions and carbon emission reduction performance of PV systems in China using life cycle assessment approach. The results show that the life cycle carbon emissions of PVsystemsinChinadecreasedfrom1.66 kg CO2/W in 2011 to 0.75 kg CO2/W in 2018; meanwhile, the carbon intensity decreased from 74.24 to 50.91 kg CO2/kWh, and the energy payback time decreased from 2.4 to 2.2 years. Between 2008 and 2018, PVsystemsinChinaattainedacumulativenetemissionreductionofapproximately1889 × 108 kg CO2. In addition, for every 1 % increase in PV power generation, the total carbon emissions from the power generation sector in China from 2022 to 2035 could be reduced by approximately 2.05 %. This study analyzes the carbon emissions and carbon reduction of PV systems in China on a larger spatial-temporal scale as well as in a future perspective. The results of this study provide a better understanding of the carbon emissions and reduction performance of PV systems, and provide some effective information for the high-quality development of the PV industry in China.

Research on the impact of regional integration policy on carbon emissions--Taking the Yangtze River Economic Belt as an example.

The Yangtze River Economic Belt serves as a paradigm of ecological integration and high-quality development within China. Under the constraints of the "Dual Carbon" goal, how does the integrative policy of the Yangtze River Economic Belt, aimed at reinforcing inter-regional industrial cooperation, impact carbon emissions across various provinces within the region? Leveraging panel data from 30 Chinese provinces spanning 2009-2019 and treating the 2016 promulgation of the "Yangtze River Economic Belt Development Planning Outline" as a quasi-natural experiment, this study employs a Difference-in-Differences (DID) model for discerning the effects of regional integration policies on carbon emissions, intensity, and efficiency in the 11 provinces of the Yangtze River Economic Belt. The research further delves into the underlying mechanisms through which policy interventions modulate provincial carbon emissions. Key findings include: (1) The policy's enactment has significantly attenuated provincial carbon emissions and intensity, albeit somewhat hampering the enhancement of carbon efficiency-conclusions robust to parallel trend and placebo tests; (2) Heterogeneity analyses reveal disparities in the policy's carbon emission effects, contingent on varying economic development levels and geographical loci; (3) Mechanistically, while the integration bolsters regional environmental governance and strengthens economic ties-thereby curtailing provincial emissions-it is evident that local governments have been somewhat inept in effectively channeling the influx of substantial short-term capital, hence stifling provincial carbon efficiency. In light of these insights, it is posited that local governments within the Yangtze River Economic Belt should ardently endeavor to refine and elevate regional industrial structures, champion the construction of an integrated regional market, intensify capital oversight and coordinated utilization, and enhance the efficiency of regional capital allocation, all in the quest to augment regional carbon emission reduction performance.

Voluntary carbon assurance and the cost of equity capital: International evidence

We examine the impact of voluntary carbon assurance on a firm’s cost of equity capital (COE). Based on 6500 firm-year observations across 44 countries covering a period of 8 years (2010–2017), we find that the adoption of carbon assurance is negatively associated with the COE. Cross-sectional analyses show that the negative relationship is stronger for firms with poor emissions reduction performance and for firms that do not participate in an emissions trading scheme. We also find that a country’s legal institutions and economic development have significant moderating effects on this relationship. Furthermore, the scope and the percentage of carbon emissions assured, the level of carbon assurance, and the auditing standards adopted have varied effects on the COE. These findings should be useful to regulators, managers, and investors looking to improve the credibility of voluntarily reported information. JEL Classification: M41, M42, Q56, G32

Experimental study on the load bearing behavior of shored mechanically stabilized earth wall

Shored mechanically stabilized earth (SMSE) walls have been increasingly applied in the projects of widening existing roads or new construction of roads on slopes because of their good carbon emission reduction and mechanical performance. In this paper, a scaled-down model test of SMSE wall with shoring wall batter of 1H:2V was conducted to study the load-bearing behavior of SMSE wall under this terrain condition, and the results including wall deformations, earth pressures, reinforcement strains, and potential failure surface were analyzed. The results show that although the backfill near the shoring wall was not directly compressed by the load, it still slipped along the backfill-shoring wall interface. The loading created a tensile pressure zone in the upper part of the backfill-shoring wall interface, which may lead to tensile cracking. The uppermost layer of geogrid was more prone to sliding, while the tensile deformation was smaller, and its strain value was overall smaller than the strain value of the geogrid below it. As the load increases, the potential failure surface changed from a Rankine failure surface to a bilinear potential failure surface. The potential failure surface did not pass through the heel of the SMSE wall under large loads.

Decoding enterprise digital transformation: External oversight and carbon emission reduction performance

Enterprise digital transformation (EDT) is a strategic initiative that provides robust support for optimising resource allocation, fosters business innovation, and significantly impacts ecological environment to increase financial performance. This study re-examines the substantial contributions of EDT to climate change mitigation. Drawing on data from Chinese A-share listed companies from 2010 to 2021, we investigated the changes and mechanisms influencing carbon emissions reduction performance (CERP) of enterprises undergoing digital transformation. The empirical results indicate that EDT actively contributes to enhancing the CERP of enterprises, with a more pronounced effect observed in non-polluting industries, state-owned enterprises, and manufacturing companies. Furthermore, empirical findings from mechanism tests reveal that EDT effectively improves the CERP by driving green technological innovation, strengthening industry chain connections, and enhancing capacity utilisation. Finally, within external oversight groups, particularly in government and investor supervision, the enhancement of enterprise CERP is more significant, highlighting the crucial role of external oversight in the EDT process.

How Does Digital Transformation Improve Corporate Carbon Emission Reduction Performance? An Empirical Study on Data from Listed Companies in China

Against the backdrop of global carbon reduction, China, as the country with the highest carbon emissions, must implement carbon reduction actions more efficiently to promote the sustainable development of the global environment. Balancing their economic and environmental benefits has become an important issue for corporations, as they are crucial entities in the final implementation of carbon reduction efforts. This study selects the data of listed companies in China from 2012 to 2022 and develops a two-way fixed-effects model to verify the effect of digital transformation on corporate carbon reduction performance. The study found that digital transformation can positively promote corporate carbon reduction performance and shows heterogeneity under different conditions. Green technology innovation plays a mediating role in the relationship between digital transformation and corporate carbon reduction performance. Furthermore, environmental subsidies play a positive moderating role in the relationship between digital transformation and green technology innovation, constituting a moderated mediation model. Meanwhile, tax reduction incentives play a positive moderating role in the relationship between digital transformation and promoting corporate carbon reduction performance. This study provides empirical suggestions for balancing economic and environmental benefits for 5323 Chinese listed companies and global corporations from both internal and external perspectives, emphasizing the potential for digital transformation to drive both commercial success and environmental stewardship in the pursuit of sustainable development goals.

Biochar reduces gaseous emissions during poultry manure composting: Evidence from the evolution of associated functional genes

Biochar has demonstrated the potential in mitigating pollutant gaseous emission during composting. However, little is known about the difference among biochars derived from different plant feedstocks on the critical genes' expression and microbial communities’ succession for gaseous emissions. In this study, the effects of biochar (from wood chips, cornstalks, and rice husks) on gaseous emissions during chicken manure composting were investigated. Environmental factors, bacterial communities, and functional genes related to CH4, N2O, NH3, and H2S emissions were analyzed to reveal the reduction pathways of different biochar amendments during composting. Results showed that all biochar treatments improved the seed germination index of the compost from unmature (55.74%) to mature (70.28–75.23%). The CH4, N2O, NH3, and H2S emissions from all biochar-treated composts were reduced by 18.93–27.47%, 35.74–52.82%, 1.26–36.38%, and 8.57–24.14%, respectively, and the cornstalk biochar had the highest emission reduction performance. Temperature, pH, and NH4+ were the major environmental factors that affected Lactobacillus and Bacillus activities, which critically influenced the CH4, N2O, NH3, and H2S emissions during composting. Furthermore, cornstalk biochar mainly improved pmoA for CH4 reduction, whereas wood chip biochar increased amoA for NH3 oxidation. Rice husk biochar mostly decreased nirS and nirK and increased norB, narG, and nosZ during N2O reduction. Cornstalk biochar also increased dsrB and decreased aprA during H2S reduction. Overall, cornstalk biochar was determined to be an optimal additive for simultaneously improving compost maturity and reducing gaseous pollutant emissions during chicken manure composting. This study verified the mechanisms of three plant derived biochars in pollutant gas control in composting, and thus provided evidence for facilitating the sustainable development of composting technologies.

Low carbon emission renovation of historical residential buildings

The urgency of renovating residential buildings in heritage conservation areas while addressing carbon emission reduction and energy performance has become a concern in the context of climate change. European directives stress the importance of enhancing existing buildings to achieve climate neutrality by 2050. An approximately 100-year-old wooden apartment building in the heritage conservation area in Võru, Estonia, was designed as a nearly zero-energy building (nZEB). This study examined the impact of different renovation scenarios, considering both embodied and operational carbon emissions. During the study, the technical requirements of the National Heritage Board were developed in several aspects. The results of this study indicate that it is possible to renovate buildings in heritage conservation areas and achieve great energy performance. In addition to improving energy performance, it is possible to make the restoration of a significantly damaged exterior with intermediate repairs more cost-effective for the owner. Deep renovation of a historical wooden building decreases its carbon footprint as it leads to more energy-efficient renovation solutions. This is because operational emissions dominate over embodied emissions in a cold climate. From an environmental perspective, it is more feasible to renovate historically valuable buildings more deeply than it is to upgrade the external appearance of buildings. Renovation work to achieve an nZEB building should include insulating the thermal envelope while restoring the historical appearance and preserving the original building profile. In conclusion, this study offers a comprehensive analysis of various scenarios, including carbon footprint, energy performance, and cost optimality, related to different renovation strategies for buildings located in heritage conservation areas. There is a need to align heritage board technical requirements with the environmental perspective. Given that major renovation is more cost-effective and better at preserving the exterior appearance compared to staged renovation, the former should be preferred to ensure the owner's willingness to pay.

Retraction Note: Digital transformation, green innovation, and carbon emission reduction performance of energy-intensive enterprises

Retraction Note: Digital transformation, green innovation, and carbon emission reduction performance of energy-intensive enterprises

Harnessing a Better Future: Exploring AI and ML Applications in Renewable Energy

Integrating machine learning (ML) and artificial intelligence (AI) with renewable energy sources, including biomass, biofuels, engines, and solar power, can revolutionize the energy industry. Biomass and biofuels have benefited significantly from implementing AI and ML algorithms that optimize feedstock, enhance resource management, and facilitate biofuel production. By applying insight derived from data analysis, stakeholders can improve the entire biofuel supply chain - including biomass conversion, fuel synthesis, agricultural growth, and harvesting - to mitigate environmental impacts and accelerate the transition to a low-carbon economy. Furthermore, implementing AI and ML in combustion systems and engines has yielded substantial improvements in fuel efficiency, emissions reduction, and overall performance. Enhancing engine design and control techniques with ML algorithms produces cleaner, more efficient engines with minimal environmental impact. This contributes to the sustainability of power generation and transportation. ML algorithms are employed in solar energy to analyze vast quantities of solar data to improve photovoltaic systems' design, operation, and maintenance. The ultimate goal is to increase energy output and system efficiency. Collaboration among academia, industry, and policymakers is imperative to expedite the transition to a sustainable energy future and harness the potential of AI and ML in renewable energy. By implementing these technologies, it is possible to establish a more sustainable energy ecosystem, which would benefit future generations.