Environmental Protection Investment Research Articles

Public–private partnerships and carbon reduction targets: evidence from PPP investments in energy and environmental protection in China

Public–private partnerships and carbon reduction targets: evidence from PPP investments in energy and environmental protection in China

Political Connection and Environmental Protection Investment: A Study Based on Ownership Difference

Using data from listed firms in the pollution-intensive industries in China from 2009 to 2019 and taking into account ownership differences, our study examines the causal effect of political connections on environmental protection investment behavior. To deal with the potential endogeneity concern, we created a quasi-natural experiment based on an anti-corruption campaign in China that prohibited officials from holding business positions. Our results indicate that political connections increase environmental protection investment in state-owned firms, primarily when the politically connected director (is affiliated) participates in the firm’s daily operations. However, in non-state-owned firms, political connections hinder environmental protection investment, and, furthermore, investment decreases as the administration level of the politically connected directors increases. Additionally, we also found that local regulatory intensity strengthens the impact of political connections on environmental protection investment. While the study uses China’s firms as the sample, the findings may also apply to other emerging economies.

Does digital transformation make enterprises greener? Evidence from China

The widespread introduction of new digital economic technologies in enterprises has reshaped their engagement in environmental protection, with significant implications for fulfilling their environmental responsibilities. This study focused on the relationship between digital transformation (DT) and corporate environmental responsibility based on sample data of A-share listed companies during 2010–2018, considering the typical data of corporate DT in recent years. DT can effectively incentivize firms, particularly heavy polluters, mature firms, and bear markets, to fulfill their environmental responsibilities, and the findings hold after the robustness tests. DT can also ultimately enhance the level of corporate environmental responsibility through micro-paths such as improved internal disclosure and enhanced attention from external investors. Simultaneously, local governments have significantly strengthened the incentive effect of DT on enterprises’ fulfillment of environmental responsibility by actively practicing green development and increasing environmental protection investments. These results provide an important theoretical and practical basis for promoting environmental pollution management and strengthening the policy support for DT.

The Influence of Environmental Regulation on The Innovation of Heavily Polluting Enterprises

This paper selects the listed companies of heavy pollution manufacturing industry in SSE and Shenzhen Stock Exchange from 2014 to 2018 as samples, and establishes A step-by-step regression model to explore the relationship between environmental regulations, financing constraints and enterprise innovation, aiming to provide reference for the realization of green and innovative development of enterprises. The study found that the intensity of environmental regulation significantly suppresses the innovation of heavily polluting enterprises. Then the cost of environmental protection investment of enterprises will increase, which may cause the shortage of disposable funds of enterprises, which will reduce the R & D investment in the relationship between environmental regulation and enterprise innovation, indicating that part of the influence of environmental regulation on enterprise innovation is realized through financing constraints.

State-owned Equity Shares and Environmental Protection Investment of Private Enterprises

State-owned Equity Shares and Environmental Protection Investment of Private Enterprises

Pollution, income inequality and green finance in the new EU member states

Income inequality and pollution represent major challenges for the New EU Member States. In this context, the main objective of this paper is to check if income inequality enhances pollution in the EU-13 countries in the period 2002–2021. The results depend on the type of method that was employed (Fully Modified Least Square (FMOLS) estimators and method of moments quantile regression). In most of the cases, Gini index and gender pay gap have a negative impact on GHG emissions. An inverse U pattern is supported for the pollution—economic growth nexus. Foreign direct investment contributes to pollution, while renewable energy consumption proved to be the most efficient tool in the fight with pollution. For robustness check, in the period 2006–2021, the environmental protection investments of general government reduced the GHG emissions only in the long run. The results are the basis for the formulations of various proposals to reduce pollution in the New EU Member States.

Spatiotemporal dynamics and anthropogenic drivers of geological hazard prevention efficiency in China

Rapid socio-economic development and the large-scale anthropogenic activities aggravated the risk of geological hazards, endangering human life and property safety. Understanding the geological hazard prevention efficiency (GHPE) and driving factors is important for promoting the sustainable development, there are few quantitative studies have investigated the GHPE and anthropogenic drivers in China. This study employed the super-efficiency slack based measure-data envelopment analysis (SBM–DEA) model with undesirable outputs and Malmquist–Luenberger (ML) index to investigate the spatiotemporal distribution of GHPE from static and dynamic perspectives. Additionally, the geographically and temporally weighted regression (GTWR) model was utilized to identify the spatial heterogeneity of anthropogenic drivers on GHPE in China. Results showed that GHPE showed a spatial difference of eastern > central > western China, with only 38.71 % provinces were in an optimal prevention condition of the GHPE. An average annual growth rate of GHPE was 5.8 % in China, with a distribution pattern characterized by central > eastern > western China. Furthermore, the spatial heterogeneity of anthropogenic drivers affecting GHPE varied greatly across different regions. Our findings highlighted investment in environmental protection had obviously positive effects on the GHPE, whereas urban population density had markedly inhibited effects in most provinces. Low GHPE was more prevalent in regions with relatively backward economic and technological levels. Effective measures were proposed to promote regional high-quality and sustainable development.

Modelling the Carrying Capacity of Water Resources for Sustainable Water Ecology Using Vensim

Purpose: The purpose of this study is to address the growing challenges associated with water resources due to population growth, rapid economic expansion, and the imbalance between supply and demand. It aims to investigate the importance of water as a fundamental resource for ecological preservation and sustainable economic development.
 
 Design/Methodology/Approach: In this study, a comprehensive approach was taken to analyze water resources carrying capacity (WRCC) using the Vensim modeling tool. The research methodology involves considering the multifaceted roles of water resources within the complex ecological, environmental, societal, and economic systems, as well as their interrelationships with other system components.
 
 Findings: The findings of the study highlight the critical need for increasing investment in environmental protection and initiating new water storage projects to enhance the region's water resource carrying capacity. This research underscores the importance of sustainable water ecology in addressing the challenges posed by population growth and economic expansion.
 
 Research, Practical & Social Implications: This study has significant implications for research, practical applications, and societal well-being. It emphasizes the importance of understanding and managing water resources in a sustainable manner to ensure ecological health, economic development, and social progress. The findings can inform policy decisions and guide actions to address water resource challenges.
 
 Originality/Value: The originality and value of this study lie in its holistic approach to assessing WRCC and its consideration of the complex interactions between water resources, ecology, environment, society, and the economy. The research provides insights into the unique challenges faced by regions with increasing water resource demands and pollution and offers a modeling tool for measuring and enhancing water carrying capacity.

Risk management analysis of environmental investment in economic security


 
 
 Biodiversity loss is irreversible and demands investment in organizational measures for environmental protection and effective risk management of relevant financial investments to ensure national economic security. This research analyzes the directions of investment support for economic security based on rational interaction between society and ecosystems. The goal of this article is to identify the main directions of anthropogenic impact on the environment and the interdependence of improving ecological indicators through investment activities in the corresponding direction to ensure economic security. The study examines investment directions in environmental protection within the LIFE program projects to prevent negative cause-and-effect effects from the implementation of natural innovations. The maximization of the EU’s efforts in ecosystem restoration and protection is identified to mitigate investment risks by promoting the adoption of innovations across a wider range of societal spheres. It is estimated that during the period from 2018 to 2022, there was an increase in investment in environmental protection by approximately 18%, resulting in areduction in emissions intensity by 22.9% by economic activity types from 2016 to 2021, and the average CO2 emissions indicator contributed to a decrease by 1.1%. Investing in the environment requires continuous adaptation to changing external conditions and requires adjustments to reduce risk threats, such as unforeseen consequences of financial investments in certain economic sectors, shifts in societal behavior, and unexpected ecosystem impacts. However, effective management of investment risks is a potential for the development of environmental investment activities, such as the implementation and support of sustainable innovations (transition to eco-friendly construction, reforestation, raw material certification).
 
 

Research on the impact of fiscal environmental protection expenditure on agricultural carbon emissions

China’s agricultural and rural greenhouse gas emissions account for about 15% of its total emissions. Studying how to reduce China’s agricultural carbon emissions (ACEs) is of great strategic significance. Based on the panel data of 31 provinces (cities) in China from 2007 to 2020, this paper empirically tests the impact of fiscal environmental protection expenditure (FEPE) on ACEs. The results reveal that: FEPE has significant negative impacts on ACEs; FEPE has a heterogeneous impact on ACEs in different regions, which shows that it has a significant impact on the eastern and central regions and provinces with relatively “high” carbon emissions, while it has no significant impact on the western regions and provinces with relatively “low” carbon emissions; Further the results of mechanism analysis show that the impact of FEPE on ACEs is mainly manifested in its inhibiting effect on agricultural diesel, fertilizer and film use of carbon emissions. In light of these findings, it is imperative for the government to ensure steady and substantial investments in environmental protection. Moreover, implementing region-specific measures is essential to effectively curbing ACEs. The findings of this study offer invaluable insights that can guide the formulation of policies aimed at effectively reducing ACEs.

Environmental commitment, sustainable development, and regional efficiency in waste collection activities

AbstractWaste management industry is key to achieve environmental commitment, clean production, and Circular business models; as well as to promote sustainable development. The aim of this study is to contribute to the Circular Economy measuring business performance and firm efficiency of waste collection activities and their determinants, with emphasis on sustainable development and environmental challenges. The main research goals of this study are as follows: first, to examine firm efficiency scores in waste collection activity (dangerous and non‐dangerous waste); second, to analyze the main fluctuation patterns of business efficiency; third, to evaluate the differences in the average efficiency according to region; finally, to examine the relationship between efficiency score and environmental challenges (investment in environmental protection and COVID‐19 pandemic impact). The efficiency of firms is estimated using non‐parametric production frontiers in a sample of 5441 observations for the period 2010–2020. We used several non‐parametric tests, such as the Mann–Whitney U test and the Kruskal–Wallis test; as well as several regression models (Tobit and bootstrapping regressions) to test the relationship between efficiency scores and environmental variables. The main findings of this study provide new empirical evidence and go a step further, not only at the firm level, but also at the regional level.

Research on the Evaluation of Urban Quality in Yunnan Province Based on Principal Component Analysis Approach

Urban quality represents the spiritual taste and development quality of a city, and is the unity of the two. The level of urban quality reflects the level of the whole process of a city's planning, construction and management, and also directly affects the convenience and comfort of citizens' life, as well as relates to the agglomeration and attraction of various resource elements such as talents and industries. In other words, it is a comprehensive reflection of a city's strength, directly reflecting a city's economic development strength, urban social and cultural conditions, the beauty of the ecological environment, the level of public services and the living conditions of residents. China's economic development has entered a new period, has shifted from the stage of high-speed growth to the stage of high-quality development, and a clear understanding of the quality of the city is of great significance to high-quality development. This paper uses principal component analysis to conduct a comprehensive evaluation study of urban quality in 16 cities and towns in Yunnan Province from five dimensions: quality of urban economic development, social and cultural quality, quality of ecological environment, quality of public services, and quality of life of residents, using empirical data for the period of 2017-2021 as a sample of 16 cities and towns in Yunnan Province. The study found that although the comprehensive index of urban quality of each state and city in Yunnan Province has been steadily increasing year by year, the gap between the states and cities has not been significantly reduced. The development level of city sub-quality in each state and city in Yunnan Province is not balanced, and there are geographical differences, with a few cities, such as Kunming, having higher quality, while the quality of the majority of cities needs to be improved. The comprehensive scores of these city qualities are affected by indicators of economic development, social progress and environmental protection, and also show their own characteristics and advantages. In order to improve the quality of cities in Yunnan Province, it is recommended that policy guidance be strengthened, coordinated development among cities be promoted, investment in environmental protection be increased, and the development of social programs be advanced.

Exploring the role of fintech development in reducing firm pollution discharges: Evidence from Chinese industrial firms

The persistent issue of industrial pollution in China's environment has prompted industrial firms to explore new opportunities for addressing this problem through the rapid growth of financial technology (fintech). In this study, we construct a city-level fintech index using Baidu News Advanced Search and combine it with Chinese industrial firm data from 2004 to 2014, along with other city-level data, to empirically explore how fintech affects firm pollution. Our baseline results show that fintech can significantly reduce firm pollution discharges, more precisely, a 1% increase in fintech is associated with a reduction in firm pollution by 0.062%. The robustness of our findings has been confirmed through various strategies. We have identified the underlying mechanisms of fintech's impact on firm pollution discharges and confirmed that it significantly reduces such discharges through export competitiveness, environmental protection investment, and technological innovation. Furthermore, we investigate the heterogeneous effects of fintech development and find that it leads to more pronounced reductions in pollution discharges for firms with older age, for firms with larger scale, for non-state-owned firms, for firms located in both the eastern and western regions, for firms located in the areas with a higher level of competition among banks and those located in the areas with a higher level of economic growth. However, the development of the tertiary sector significantly weakens the reduction effect of fintech on firm pollution discharges. Our research provides theoretical support for exploring emerging and viable approaches to mitigating firm pollution from a financial perspective and offers promising implications for harnessing the positive externalities of fintech.

Marine mollusk biodiversity in Northeastern islands of Vietnam, impact factors and proposing conservation solutions

A biodiversity and water-quality monitoring campaign was conducted in the Northeastern archipelago of Vietnam, including Quang Ninh province and Hai Phong, in 2017–2018. Mollusks are selected as the critical proxy indicator, and water-quality parameters are tested against National acceptability standards. The study revealed that, despite declining trends over the past two decades, mollusks are still highly diverse, with 647 species belonging to 227 genera, 95 families, and five classes (76% of all the species identified in the Tonkin Gulf). Of these, 253 species of 39 families (39% of the whole stock) are of high economic value, supporting an active trade in the region and thousands of livelihoods. Several species (abalone, blood cockle, green mussel, pearl oysters, Pacific oysters, double-headed clams, Asian hard clams, white clams, and squids) are intensively farmed. However, aquaculture still needs to be derdeveloped as capture from the wild is preferred. Water quality is unexpectedly high despite impacting factors such as urban development, industry, mass tourism, and demographic increase, mainly within the limits of acceptability set by the Government. Salinity, pH, and temperature are compatible with marine life, and a limited impact is represented by dissolved nitrates and suspended hydrocarbons in suspension. Despite favorable conditions of the aquatic environment, biodiversity decline has been a steady trend over the past decade. The causes are the urban encroachment over the coastal tract, the intertidal spawning grounds, breeding grounds, and nurseries, overexploitation, IUU fishing, lack of management, and failed establishment of conservation areas and MPAs. Spawning and breeding grounds identification and demarcation, their participated co-management, investments in environmental protection, technologies, and capacity building, and promotion of aquafarming of marketable species are among the measures recommended to be implemented with priority, to relieve the pressure over the wild stock and promote regeneration. The role of science in monitoring and detecting environmental changes guiding the adoption of proactive measures to prevent depletion and stock collapse, is the pathway to the sustainability of resource use and human well-being.

Analysis of the Impact of State-Owned Banks on the Sustainability of Public Finances

This paper aims to provide a retrospective assessment of Ukraine’s state policy concerning state-owned banks and evaluate their impact on the sustainability of Ukraine’s public finances. The research methodology employs an empirical study of the cash flow of public funds to state-owned banks and the reverse cash flow to determine the impact of the activity and stability of public finances. The cash flow to state-owned banks includes the expenditure of public funds for the creation of authorised capital during the establishment of state-owned banks, the acquisition of shares in operating commercial banks, additional capitalisation of state-owned banks, etc. The reverse cash flow comprises dividends paid based on the performance of state-owned banks, as well as revenue generated for public funds through the sale of shares (privatisation) of state-owned banks. This study highlights the costs associated with recapitalising state-owned banks. These costs disrupt the stability of public finances, create additional debt dependency for Ukraine, impose an additional burden on public finances, and lead to structural changes that reduce funding for social spending. As a result, Ukrainian taxpayers are financing the inefficient activities of state-owned banks while experiencing reduced investments in education, healthcare, social protection, environmental protection, and other essential areas.

Investing in Human Capital for Green and Sustainable Development

Green and sustainable development is crucial for addressing environmental challenges and promoting a more sustainable future. Central to this endeavor is the investment in human capital, which involves developing and empowering individuals with the knowledge, skills, and mindset necessary to contribute and lead sustainable development efforts. Explores the importance of investing in human capital and the various ways in which it can be fostered to drive green and sustainable development. An analysis was made in the areas of investments in health care, education and environmental protection in order to develop a sustainable green development of the economy.

The driving mechanism and path selection of green development in Chinese cities

Green is the background color of high-quality development of Chinese cities. By constructing a theoretical model of the driving force and driving mechanism of China’s urban green development, this paper simulates the green development path of Chinese cities based on the panel data of Chinese cities from 2010 to 2020. The empirical results show that, firstly, the driven force formed by scientific and technological in novation, the action force formed by structural adjustment and the driven force formed by environmental regulation can drive Chinese cities to achieve green development. Secondly, the pressure of different paths on the ecological environment showed a gradual downward trend, the ecological environment pressure under the baseline scenario was the highest, and the ecological environment pressure driven by single factors may be lower than that driven by two factors. Finally, the comprehensive driven path formed by the combination of innovation driven, structure driven and environment a driven is a better path for China’s urban green development. Therefore, the green development of Chinese cities requires policy intervention, different cities need to formulate green development plans according to local conditions, and should consider the combination of policies. In the future, Chinese cities need to increase investment in science and technology, guide all entities to develop in the direction of resource conservation and pollution reduction, adjust the industrial structure, promote their development in the direction of cleanliness, increase environmental protection investment, standardize the development of all entities in the direction of environmental protection, and give full play to the synergy of the three major policies to achieve green development.

Staged pain or systemic crisis? Research on the employment effect of enterprise green transformation

The green transformation is a necessary path for industrialization to reach the advanced stage. Currently, achieving a win-win situation between green transformation and stable employment for residents has become a common concern for theoretical researchers and policymakers. This paper analyzes the influence mechanism of enterprise green transformation on employment using the partial equilibrium model. Furthermore, the employment effect and mechanism of enterprise green transformation are empirically verified with panel data from companies listed on the Shanghai and Shenzhen stock exchanges. The results indicate a dynamic non-linear relationship between enterprise green transformation and employment. As the transformation deepens, its impact on employment changes from negative to positive. Mechanism analysis reveals that enterprise green transformation has the potential to induce output growth and employment virtuous cycle. Additionally, environmental protection investment and labor employment in the transformation have a factor complementary effect. There is heterogeneity in the employment impact of enterprise green transformation, especially for production personnel, low-skilled labor, non-state-owned, heavy-polluting, and medium-low-tech enterprises, which experience stronger employment deprivation.

Does the carbon emissions trading scheme improve the corporate environmental information disclosure level? Evidence from China

Recently, a great deal of literature has discussed the effects of the carbon emissions trading scheme (CETS) and the factors that affect the corporate environmental information disclosure (CEID) level. However, no researchers have studied how CETS affects the CEID level. Based on a difference-in-difference-in-differences model, we discover that CETS can improve the CEID level. The findings are robust and persistent even after testing for time lags and leads effects, changing the measure of the dependent variable, testing for enterprise relocation, adjusting the fixed effect method, testing for concurrent policies, and performing placebo tests. The reason is that CETS can encourage corporate green technology innovation and environmental protection investment, thus improving the CEID level. Further investigation reveals that the impact of CETS on promoting the CEID level is more significant when the following conditions are met: the enterprises are in provinces and cities in the east and northeast; they are state-owned; and they have strong political connections. This paper expands on the current field of research on the influence effects of CETS, broadens the understanding of the factors influencing the CEID level, and investigates the mechanism by which CETS improves the CEID level.

Analysis of the spatiotemporal distribution pattern and driving factors of renewable energy power generation in China

Existing studies have primarily focused on the resources and technologies related to renewable energy. However, it is essential to investigate the influence of economic, social, and governmental actions on the spatiotemporal changes in renewable energy. This paper utilizes spatial autocorrelation analysis, fixed effects modeling, and Geographical and Time Weighted Regression (GTWR) to analyze the phased characteristics and spatial differences of renewable energy electricity, based on time series and spatial layout data of renewable energy power by province and power source type in China. Additionally, it incorporates relevant economic, demographic, and investment data to identify the driving factors behind the spatiotemporal transformations of photovoltaic (PV) and wind power, as well as the main forces promoting sustainable growth. The study reveals the presence of spatial agglomeration in China’s renewable energy power generation. Moreover, a positive correlation is observed between investments in environmental protection (EPI), state-owned electric power (SPI), scientific and technological advancements (STI), and renewable energy electricity. Technological progress has reduced the dependence of renewable energy on the natural environment, facilitating its promotion and widespread adoption. These findings provide empirical support and policy guidance for the sustainable and rapid growth of China’s renewable energy industry.