Green Patents Research Articles

Do environmental courts break collusion in environmental governance? Evidence from corporate green innovation in China

The environmental courts represent institutional innovation in the judicial system independent of administrative regulations, this study examines whether and how environmental courts promote corporate green innovation by breaking collusion in Chinese heavily polluting listed firms from 2003 to 2020. Based on a staggered difference-in-difference analysis, our findings show that environmental courts have a stronger stimulating effect on green innovation quality and no effect on low-quality green patents. This effect is particularly more pronounced for firms with lower risk-taking ability, higher green agency costs, and state-owned firms. We also confirmed that environmental courts enhance authoritative judicial constraints on local governments, thereby curbing collusion and forcing them to implement environmental protection subsidies and administrative penalties to optimize corporate green innovation structure. Our fine-grained analysis indicates that independent green patents are more sensitive to environmental courts than collaborative ones. However, corporate green R&D efficiency does not improve following the establishment of environmental courts. Overall, our study underscores the importance of strengthening environmental justice as an effective mechanism for facilitating a just transition to a low-carbon green economy.

Does environmental regulation promote green technological innovation of companies? Evidence from green patents of Chinese listed companies

Abstract Environmental regulations stimulate Chinese listed companies to engage in green technology innovation. Moreover, the internal attributes of listed companies such as ownership form, the nature of the industry and locations affect the role of environmental regulations on green technology innovation. This paper selects data on Chinese-listed A-share enterprises from 2010-2019 and constructs a S-GMM model to analyze the impact of environmental regulations on green technology innovation through internal attributes of firms. The empirical results show that, first of all, in the sample period, tight environmental regulations hinder green technology innovation carried out by listed enterprises in state-owned heavy polluting industries in eastern China, and there is no innovation compensation effect. Secondly, green technology innovation in the previous period does not significantly promote green technology innovation in the current period. Finally, overvaluation of listed companies by investors encourage Chinese listed enterprises to engage in green technology innovation, especially among non-state-owned listed companies in non-heavy polluting industries. The findings of this paper provide empirical support for environmental regulation policy recommendations, that foster economic growth and promote green and low-carbon industrial transformation in the direction of high-quality development of the economy.

The impact of intellectual property protection on the performance of fossil fuel extraction and production companies in developing countries

This paper seeks to evaluate how intellectual property (IP) influences the sustainable performance of Chinese companies involved in fossil fuel exploration and production. The study meticulously delineates specific variables aimed at advancing sustainability through strategic IP measures. Utilizing data spanning from 2010 to 2021 and employing the Cross-Sectionally Augmented Autoregressive Distributed Lag (CS-ARDL) approach, we reveal a nuanced relationship between innovation efficiency and energy costs. A mere 1% improvement in innovation efficiency corresponds to a 0.6% short-term and 0.4% long-term reduction in energy costs. Larger workforces contribute to increased energy consumption, investments drive energy-intensive processes, and profitability accelerates production, amplifying energy demands. Additionally, we uncover the adverse impact of Information and Communication Technology (ICT) expenses on energy costs, emphasizing the transformative potential of digitalization. To enhance sustainability, we recommend strengthening IP strategies, providing incentives for the commercialization of green patents, leveraging green financing, and adopting Environmental, Social, and Governance (ESG) principles to attract ethical investors. Equipping a skilled workforce through training programs facilitates the integration of eco-friendly technologies with intellectual property strategies.

Research on the impact of government fiscal subsidies and tax incentive mechanism on the output of green patents in enterprises

This paper investigates the impact of two different incentive mechanisms, government fiscal subsidies and tax incentives, on the level of green patent output by Chinese companies. It analyzes the effectiveness, direction, and preference categories of government incentive policies. This paper examines the differences in the mechanisms of tax incentives and fiscal subsidies, and then studys the sensitivity of clean energy and traditional energy companies’ green patent output to policy incentives based on the type of enterprise. The results show that fiscal subsidies have a more significant incentive effect, and clean energy companies are more sensitive to policy incentives.

How does environmental legislation affect enterprise investment preferences? A quasi-natural experiment based on China's new environmental protection law

China's New Environmental Protection Law (NEPL) represents a significant shift from the traditional administration to environmental legalization. Polluting enterprises face more pronounced contradictions between short-term environmental compliance and long-term development. Therefore, based on the CNRDS and CSMAR databases, this paper uses the 2015 NEPL as a quasi-natural experiment to investigate the micro-effects and mechanisms of environmental legislation on firms' investment preferences and environmental performance. The main findings of this paper are as follows. (1) The implementation of the NEPL effectively promotes the key pollutant-discharge enterprises (PDEs) to increase similar financial and environmental investment, and furthermore, the endogenous financing attributes of short-term financial investments can also provide financing for long-term environmental investment. This is due to the "reservoir" motive and the improvement in the executives' environmental awareness and green attention. (2) The NEPL exhibits heterogeneous policy effects. The key PDEs with political connections are more concerned about environmental management and investment. However, the NEPL's positive impact on environmental investment is weakened in regions with high levels of environmental justice. (3) A shift in the key PDEs' investment structure triggers a series of economic and environmental effects, such as increasing their risk-taking capacity, reducing environmental uncertainty, and significantly improving green patents. This paper provides policy implications for the process of environmental legalization in China and other developing countries.

Green patents: instruments against climate change and related social inequalities

Green patents: instruments against climate change and related social inequalities

Green Patents or Growth? Firms’ Size Dynamics and Environmental Innovations Financial Gains

Green Patents or Growth? Firms’ Size Dynamics and Environmental Innovations Financial Gains

New product development is possible with green patent: the moderating role of technological advancement and sustainable development goals

New product development is possible with green patent: the moderating role of technological advancement and sustainable development goals

Green Patenting Efficiency of Higher Educational Institutions in India

Green Patenting Efficiency of Higher Educational Institutions in India

How do enterprises’ green collaborative innovation network locations affect their green total factor productivity? Empirical analysis based on social network analysis

Green collaborative innovation plays an increasingly prominent role in improving enterprises' green total factor productivity (GTFP). Using China's listed manufacturing enterprises' panel data from 2011 to 2022, this paper uses social network analysis to construct green collaborative innovation networks based on the data of joint applications for green patents. This paper then performs an empirical analysis to explore the impact of enterprises' green collaborative innovation network locations on their GTFP and the associated impact mechanism. The results show that (1) enterprises in the core position of a green collaborative innovation network can enhance their GTFP, and this conclusion remains robust after replacing explanatory variables and changing the sample selection scope and the estimation of instrumental variables; (2) differences in green collaborative innovation type, enterprise ownership structure and time stage lead to heterogeneity in the influence of green collaborative innovation network location on GTFP; and (3) enterprises in the core location of a green collaborative innovation network indirectly promote their GTFP through improving their technological innovation level and resource allocation efficiency. This paper provides a practical and feasible path for the promotion of GTFP and high-quality economic development from the perspective of a green collaborative innovation network.

Pathways towards carbon neutrality in low carbon cities: The role of green patents, R&D and energy use for carbon emissions

China is adopting innovative strategies to mitigate the carbon emissions and to enhance environmental sustainability. China's pilot low-carbon city program is a comprehensive program to attain carbon neutrality and green transformation. The current research is an attempt to explore the dynamic relationship between green patents, energy use, research and development (R&D) expenditure, and carbon dioxide emissions of Chinese cities considered for the China Pilot Low Carbon City Program (CPLCCP). The prime objective of current research is to examine the validity of the Environmental Kuznets Curve (EKC) theory in the context of energy use, R&D and green patents. This objective is realized by employing CS-ARDL, Q-ARDL, and Granger's non-causality approach on panel data of 118 Chinese cities for the period of 2003 to 2020. The estimated result reveals that allocating resources towards R&D and green technological innovation can substantially increase environmental sustainability across various quantiles. Furthermore, the empirical findings validate the existence of Environmental Kuznets Curve (EKC) theory. The study suggests fruitful insights for policymakers and stakeholders committed apropos sustainable development and carbon neutrality of China.

How ESG reporting is effected by sustainable finance and green innovation: moderating role of sales growth.

In light of the conflicting findings within the existing empirical literature regarding the factors influencing environmental, social, and governance (ESG) disclosures in the context of sustainable investment and firms' green innovation performance (GIP), our current study stands out as a distinctive research endeavor that examines how the relationship is influenced by the moderating effects of sales growth. Non-financial trade manufacturing companies listed on the Shanghai and Shenzhen stock exchanges between 2015 and 2020 were selected for this study. For data estimation, panel regression estimations using OLS and fixed effects models have been used. The results demonstrate a significant moderation of manufacturing industry's sales growth in China on the relationship between ESG disclosures and sustainable finance (operationalized by green credit, and green investment), and green innovation (operationalized by R&D intensity and green patents). Several practical takeaways are offered to boost green innovation performance among ESG reporting enterprises and increase the effectiveness of R&D intensity. These findings, including policy recommendations, will benefit all stakeholders.

Guided by the goal of “double carbon”, what is the carbon emission reduction effect of the promotion and application of green technology in China?

“Carbon peaking and carbon neutralization” is an important measure to promote China’s ecological and environmental protection and high-quality economic development, and the innovation and application of green technology are critical factors in achieving the “double carbon” goal. Based on the number of citations of green patents of listed enterprises in 30 provinces in China from 2011 to 2020, this paper uses GGDP to replace traditional GDP and calculate carbon emission intensity. Based on the relevant panel data at the provincial level, this paper constructs a spatial Durbin model to analyze the impact mechanism of whether the promotion and application of green technologies promote regional carbon emission reduction. The specific research results are as follows: (1) Through regression of the core explanatory variables with a one-stage lag, it is verified that the promotion and application of green technology has a significant positive promoting effect on regional carbon emission reduction, and there are significant spatial spillover effects and “learning by doing” effects. (2) In the part of heterogeneity test, the impact of green technology promotion and application on carbon emission reduction presents apparent regional heterogeneity and factor endowment heterogeneity. (3) The mediating effect test verifies the mediating effect of energy structure and industrial structure on the influence of green technology promotion and application on regional carbon emission reduction. (4) In the part moderating effect test, it is verified that marketization level and new infrastructure construction have a positive moderating effect in their influencing process, financial development, and government support will weaken the influence of green technology promotion and application on carbon emission reduction effect, and human capital level has a nonlinear regulating effect. The research conclusions of this paper provide necessary enlightenment for the coordination and unification of China’s economic transition to innovation-driven and green and low-carbon development.

Accelerated green patent examination and innovation benefits: An analysis of private economic value and public environmental benefits

The green patent fast-track (GPFT) system is an improvement of the traditional patent examination system in the field of green innovation. Based on the unique perspective of “private provision of public goods,” this paper constructs a framework for the impact of GPFT on the economic value and environmental benefits of green patents. Based on adopting an improved patent renewal model to calculate the economic value of green invention patents, we use a dataset of 278 Chinese cities from 2006 to 2019 and adopt the intensity differences-in-differences model to test the economic and environmental effects of GPFT. Our results suggest that GPFT increases the private economic value of green patents, which is more significant in resource-based and financially developed cities. Furthermore, GPFT improves the economic gains of corporate green patents, but reduces these of public institutions' green patents. Local protectionism cannot be ruled out. The results of the environmental benefits investigation indicate that GPFT suppresses SO2 and CO2 emissions, and the economic effect of GPFT does not crowd out its public environmental benefits; conversely, it has a positive mediating effect in this relationship. This research provides an important reference for other economies to implement or optimize GPFT to stimulate green innovation.

China’s urban green innovation: Regional differences, distribution dynamics, and convergence

Urban green innovation (UGI) is essential to environmental protection, ecological conservation, and high-quality economic growth. Using green patents, our study assessed the level of UGI of 287 Chinese cities at and above the prefecture level. Then, using the Dagum Gini coefficient, kernel density estimation (KDE), and convergence models, we examined regional differences, distribution dynamics, and convergence of UGI across China. The study’s findings are as follows: (1) Overall, regional differences in UGI tended to narrow, and the main contributor to these differences was the difference between economic zones. (2) KDE showed that the level of UGI was rising, which was polarized within each economic zone. (3) The national UGI in economic zones other than the Northeast and Middle Yellow River Economic Zones featured significant σ convergence, while each economic zone showed absolute and conditional β convergence.

Does enterprise digitization reduce carbon emissions? Evidence from China

The digital transformation and expansion of businesses will provide China’s low-carbon economic development strategy with fresh impetus in the backdrop of the emerging digital economy and environmentally friendly growth. This article measures the level of enterprise digitization using two methods: the enterprise digitization index and text analysis word frequency statistics. Additionally, carbon emissions are obtained by measuring various types of emissions according to the carbon emission classification range standard. To account for endogeneity and unobservable variables, relative indicators, such as the rate of increase for company emissions of carbon, are utilized. Using microdata from Chinese listed firms from 2011 to 2021, this study examines the implications of corporate digitization on enterprise carbon emissions. This study further analyzes the transmission mechanism and investigates the function of green finance in controlling corporate digitization and reducing corporate carbon emissions by distinguishing between two types of green patents. Research shows that businesses’ carbon emissions are greatly reduced as a consequence of getting digital. Even after performing several robustness and endogeneity tests, the conclusion still remains valid. According to mechanism analysis, which demonstrates that the main strategy for reducing corporate emissions of carbon through the digitalization of enterprises is to promote innovation in green technology. The regulation of green finance in enterprise digitalization will further reduce corporate carbon emissions. According to the analysis of heterogeneity, state-owned businesses and those situated in areas with stringent environmental regulations are more significantly impacted by enterprise digitization on corporate carbon emissions. This article discusses the mechanism of promoting corporate carbon emissions through digitalization, expands on relevant research on corporate digitalization, and analyzes the achievable paths of corporate digitalization and low-carbon development strategies.

Evaluation of relationship between nonmetallic mineral resources production and sustainable development

This research delves into the repercussions of nonmetallic resource production on sustainability across 23 Asian economies from 2000 to 2021, employing the ARDL (Autoregressive Distributed Lag) technique. A 1% upswing in nonmetallic resource production triggers a transient 0.04% decline in sustainability, followed by a durable 0.14% upturn. Immediate effects stem from environmental resource strain, while prolonged impacts signify economic and technological growth, fostering sustainability. The Consumer Price Index (CPI) detrimentally influences sustainability by diminishing purchasing power, whereas trade openness positively contributes by facilitating technology transfer. The limited role of patent applications in promoting sustainability underscores the necessity for advancements in green patents. Initially, GDP per capita has a negative impact, but it transitions to positive in the long run, indicating a connection between income growth and sustainability. Income levels significantly influence short-term sustainability impact, particularly in lower-income countries. Policymakers are advised to prioritize efficiency, circular economy practices, green financial instruments, and sustainable corporate management to bolster sustainability in nonmetallic resource production.

The impact of ESG ratings under market soft regulation on corporate green innovation: an empirical study from informal environmental governance

Enhancing corporate green innovation is a crucial pathway towards achieving a green economic transformation. Diverging from the literature focusing on government environmental regulations and hard regulatory approaches, this study investigates how market soft regulation intervenes in corporate green innovation. From the perspective of informal environmental governance, this paper employs a multi-period difference-in-differences empirical model to examine the impact of ESG ratings on corporate green innovation. The findings reveal that ESG ratings have a positive influence on corporate green innovation. Specifically, ESG ratings encourage firms to increase the number of green patents application and authorization, thereby stimulating investment and innovation activities in the realm of green innovation. These conclusions remain robust after undergoing various statistical tests. In the analysis of moderating effects, this paper discovers a negative inhibitory effect of financing constraints on the relationship between ESG ratings and corporate green innovation. Additionally, the study finds that ESG ratings exhibit a more pronounced promotion effect on green innovation among high-pollution and high-quality information disclosure firms. The research emphasizes the importance for enterprises to undertake proactive strategic adjustments and provides insights for optimizing existing green development policies.

A neural network-based measurement of corporate environmental attention and its impact on green open innovation: Evidence from heavily polluting listed companies in China

Increasingly prominent global climate and environmental issues have raised concerns about the living environment and the scrutiny of production and innovation in heavily polluting industries. Environmental concerns can evolve into environmental regulation in the legal sense, as well as environmental attention in informal rules. Although there has been a lot of research on environmental regulation and green open innovation (proportion of collaborative filings in green patents), there is still a lack of identification of the impact of the role of environmental attention, especially in heavily polluting industries that are critical to the economy. Based on this background, this paper uses the relevant data of listed companies in China's heavily polluting industries as a research sample. We use neural networks (Word2Vec) to extract indicators of environmental attention from the text of listed companies' annual reports and measure their impact on green open innovation using multidimensional fixed effects regression. Our research shows that the environmental attention of listed companies in highly polluting industries will significantly reduce their ability to engage in green open innovation. Ultimately, our study will help managers in heavily polluting industries rebalance the economic benefits and environmental transformation of their companies.

Does the patent value of green technology affect its transfer? The moderating role of industry competition

Green technology transfer can improve the economic benefits accrued by firms and promote regional green development. Patent value can comprehensively reflect the development prospects of green patents and is an important indicator for predicting green technology transfer. In order to explore the impact of patent value on green technology transfer, this study used a sample of 16,169 green technology patents from Chinese manufacturing industry, which were analyzed using the binary logistic regression model. The results suggest that the technical and economic value of green technology patent positively impact green technology transfer, while the effect of legal value is opposite. Industry competition strengthens the negative impact of the legal value of green technology patents on green technology transfer and weakens the positive impact of green technology patent's economic value. This study explores the factors impacting firms' green technology transfer from a value perspective and proposes suggestions for the transformation of green technology in firms.