Research on the applicability and impact of CO₂ emission reduction policies on China’s steel industry

Abstract

Purpose Environmental problems such as CO2 (Carbon Dioxide) emissions have seriously affected the development of the steel industry, which has urged the industry to adopt a more effective emission reduction policy. This paper aims to analyze the impact of various CO2 emission reduction policies combinations on the economic benefits and environmental changes of the steel industry and to determine the scope of application. Design/methodology/approach To compare the impact and applicable implementation conditions, a production decision game model that incorporates these two policies has been constructed. Short-, medium- and long-term constraints are set on the emission reduction indicators and the indicators’ changes under various scenarios are compared. Findings In the case of a single emission reduction policy, the carbon trading (CT) mechanism is better than the carbon tax mechanism. The mixed carbon trading mechanism is superior to the mixed carbon tax mechanism in terms of total output and subsidies, but worse in terms of overall social welfare, producer surplus and macro losses. Originality/value This paper constructs multiple emission reduction and production backgrounds and discusses the impact of the comprehensive implementation of these policies, which is practically absent in previous studies. It is in line with the current industrial policy for stable production and environmental protection and also provides a reference for the formulation of detailed policies in the future.

The impact mechanism of China’s carbon emission trading policy on industrial energy efficiency under multiple innovation approaches

“…There are many researches on the influence of different industries, mainly focusing on the field of energy consumption industry. Scholars have studied the positive effects of carbon trading market on fossil energy market (Nie et al, 2021;Jiang et al, 2022a), non-fossil energy industry (Liu J. Y et al, 2021) and steel industry (Duan et al, 2021).…”

“…It could also promote coordinated emission reductions of CO 2 and other atmospheric pollutants including nitrogen oxides (NO X ), Dust pollutants (Dust) Jiang et al, 2022b). Some other scholars found that the regional porter effect of carbon emission trading was not stimulated (Nie et al, 2021), but caused the marginal CO 2 emission reduction cost in the pilot region to fluctuate up (Duan et al, 2021).…”

Incentive policy optimization of scientific and technological talents and low-carbon economy analysis from the perspective of public health

“…The constraint refers to the sum of CO 2 emissions from production activities of all sectors, which does not exceed the established predicted value ( 25 ), as defined in Equation (3):…”

Research on the Impact of Output Adjustment Strategy and Carbon Trading Policy on the Response, Stability and Complexity of Steel Market under the Dynamic Game

“…Fortunately, as an emission reduction method that has been successfully applied abroad, carbon trading has been promoted in China. On 16 July 2021, the national carbon emissions trading market began online trading. The power generation industry became the first industry to be included in the national carbon market, with more than 2000 key emission units included.…”