The Selection of Green Technology Innovations under Dual-Credit Policy

Abstract

In the pressure of excessive resource consumption and serious environmental pollution, government in China proposed a dual-credit policy to promote the production of green vehicles, such as energy-saving fuel vehicle (FV) and electric vehicle (EV). This study explores the firm’s selection of green technology innovations (GTIs) under dual-credit policy, including the energy-saving technology for FV and the technology for producing EV. We found that the firm’s technology capacity of improving the energy-saving level of FV plays an important role in affecting the firm’s selections of GTIs. Specifically, when the technology capacity is moderate, the firm chooses both types of GTIs to produce both EV and energy-saving FV, otherwise he will choose one type only. Moreover, no matter which GTI is selected by the firm, its pricing and environmental efforts decisions keep the same. With the dual-credit policy, we found that it could encourage the production of the EV under certain conditions. Besides this, increasing the green credit of EV can align the economic and environmental interests while increasing standard energy consumption has conflicts in both interests. In particular, when the firm offers FV only or both EV and FV, increasing the price of credit has conflicting interests in economy and environment. However, when the firm offers EV only, increasing the price of credit could improve the firm’s profit without hurting the environment.

Optimal Pricing and Green Product Design Strategies in a Sustainable Supply Chain Considering Government Subsidy and Different Channel Power Structures

“…Scholars are also exploring the effects of government regulation or subsidy on green product design strategies [29][30][31][32][33][34][35][36][37][38]. Cai et al [32] explored three types of environmental taxes: linear tax, constant tax, and zero tax, and examined how the producer's optimal DfE (Design for Environment) level could be influenced by them.…”

Does the National Credit Demonstration Policy Affect Urban Green Economy Efficiency? Evidence from the Yangtze River Delta Region of China

“…The marginal contributions and innovations of this paper compared with existing studies are: firstly, although some scholars have paid attention to the impact of national policies on green development (e.g., Song et al used panel data from 308 prefecture-level cities in China from 2003 to 2017 to examine how green industrial policies affect industrial pollution emissions using the same time-varying differential model with the establishment of three national eco-industrial parks as a quasi-natural experiment [ 28 ]; Wang et al explored firms’ green car credit policy in terms of their choice of green technological innovation [ 29 ]; and Hong et al collected panel data from 2007 to 2018 for 2825 listed companies in China based on the “Green Credit Guidelines” released by the China Banking Regulatory Commission in 2012 to investigate the impact of green credit guidelines on corporate green technological innovation and its mechanisms [ 30 ]), existing studies either examine the impact of policies on regional green development or the role of credit policies on the green innovation of micro enterprises but do not assess national credit demonstration policies and their impact on green economic efficiency at the regional level, which is the main focus of this paper; secondly, in the process of implementing the national credit demonstration policy, regional heterogeneity is likely to lead to variability in the implementation effects of the policy. Therefore, drawing on Kun Ge et al’s research ideas [ 31 ], the Yangtze River Delta region is chosen as the research object, and cities with different locations and political status and belonging to different provinces are examined in order to better reflect the actual policy.…”

Optimal wholesale price and technological innovation under dual credit policy on carbon emission reduction in a supply chain

“…For example, Dong and Zheng studied the impact of DCP on enterprises' total factor productivity and believed that the policy could significantly improve the technological productivity of enterprises (Dong and Zheng, 2022). Wang et al (2020) concluded that the DCP could increase the willingness of enterprises to innovate green technology. Yang et al (2021) believed that the DCP could positively stimulate NEVs' development, and a moderate credit price could improve the NEVs' technical level.…”