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Carbon Economics: Pathways towards Carbon Neutrality
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Carbon Economics: Pathways towards Carbon Neutrality

A special issue of Sustainability (ISSN 2071-1050). This special issue belongs to the section "Environmental Sustainability and Applications".

Deadline for manuscript submissions: closed (29 February 2024) | Viewed by 14870

Special Issue Editor

Dr. Zheng Fang

E-Mail Website
Guest Editor
School of Business, Singapore University of Social Sciences, Singapore 599494, Singapore
Interests: energy economics

Special Issue Information

Dear Colleagues, 

Climate change is one of the biggest challenges of our times. To mitigate climate change, more than 90% of the world has set carbon neutrality targets. China, the biggest emitter of carbon dioxide in the world, has set the target to reach carbon peak before 2030 and carbon neutrality by 2060. The European Union (EU) is committed to becoming the first continent to reach carbon neutrality by 2050. Five EU countries, namely, Sweden, Denmark, France, Germany, and Hungary, have even made their carbon neutrality targets law. Japan, the sixth largest greenhouse gas emitter after China, the United States, the EU, India, and Russia, has also tightened its target to reduce emissions from 26 percent as set in the Paris Agreement to 46 percent by 2030, as announced in April 2021, relative to its 2013 levels.

While many countries have embraced more aggressive targets, how to decarbonize their various energy-intensive sectors such as the energy sector and the transportation sector and what are the pathways to successfully achieve their carbon targets are urgent questions that require multidisciplineary and collaborative teamwork. This has, of course, drawn great attention from economists, especially those who study energy and environmental issues. As a hot and increasingly important research area in economics, it can even stand out from energy and environment economics and be named as Carbon Economics.   

There are a lot of research questions that can be examined under Carbon Economics to explore the possible pathways to an era of carbon neutrality. These include, but are not limited to, the following areas:

  • Forecast of the carbon peak in a specifc country/region;
  • Coordination between carbon emission reduction and sustainable economic development;
  • Carbon price: determinants, dynamics, and its connections with other markets;
  • Emissions trading scheme: effectiveness, and its impact on industries and overall economy;
  • Evaluation of carbon policies (i.e., removal of fossil fuel subsidy) and energy-efficiency programmes;
  • Socio-economic impact of the low-carbon (or no-carbon) transition;
  • Carbon inequality.

Dr. Zheng Fang
Guest Editor

Manuscript Submission Information

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Please visit the Instructions for Authors page before submitting a manuscript. The Article Processing Charge (APC) for publication in this open access journal is 2400 CHF (Swiss Francs). Submitted papers should be well formatted and use good English. Authors may use MDPI's English editing service prior to publication or during author revisions.

Keywords

  • carbon economics
  • carbon tax
  • emissions trading scheme
  • carbon neutrality
  • carbon peak
  • carbon emissions

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Published Papers (8 papers)

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Research

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19 pages, 599 KiB  
Article
Navigating Success in Carbon Offset Projects: A Deep Dive into the Determinants Using Topic Modeling
by Chongwu Xia, Chong Guan, Ding Ding and Yun Teng
Sustainability 2024, 16(4), 1595; https://doi.org/10.3390/su16041595 - 14 Feb 2024
Viewed by 1784
Abstract
Carbon offset projects play a crucial role in tackling the global challenge of climate change. However, there is limited understanding of the factors contributing to the success of a carbon offset project. In this study, we utilize the latent Dirichlet allocation method to [...] Read more.
Carbon offset projects play a crucial role in tackling the global challenge of climate change. However, there is limited understanding of the factors contributing to the success of a carbon offset project. In this study, we utilize the latent Dirichlet allocation method to extract topics from the descriptions of carbon offset projects sourced from the Gold Standard Foundation. Our findings reveal that projects encompassing both safety and efficient energy solutions for households command higher prices. These results imply that an effective carbon offset project should mitigate individual household emissions while enhancing safety. Our research carries significant implications for stakeholders involved in carbon offset projects and can serve as a foundation for policy formulation and standard regulations. Full article
(This article belongs to the Special Issue Carbon Economics: Pathways towards Carbon Neutrality)
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26 pages, 4672 KiB  
Article
Research on the Spatial Effect and Threshold Characteristics of New-Type Urbanization on Carbon Emissions in China’s Construction Industry
by Hanli Chen and Chunmei Lu
Sustainability 2023, 15(22), 15825; https://doi.org/10.3390/su152215825 - 10 Nov 2023
Cited by 3 | Viewed by 1292
Abstract
As the strategic task of China’s modernization, the implementation of new-type urbanization has an important impact on carbon emissions from the construction industry. To fill the gap in considering the spatial correlation and threshold characteristics of new-type urbanization on carbon emissions from the [...] Read more.
As the strategic task of China’s modernization, the implementation of new-type urbanization has an important impact on carbon emissions from the construction industry. To fill the gap in considering the spatial correlation and threshold characteristics of new-type urbanization on carbon emissions from the construction industry, this paper constructs a comprehensive evaluation indicator of new-type urbanization, and the spatial economic model and the threshold regression model are adopted to analyze the panel data of 30 provinces in China from 2002 to 2020. The results indicate that (1) carbon emissions from China’s construction industry exhibit a significant positive spatial correlation, with more than half of provinces distributed as H-H and L-L types. (2) New-type urbanization has significant positive direct and indirect effects on carbon emissions in the construction industry; the labor efficiency, energy intensity, and development level of the construction industry and trade openness also have a significant spillover effect on carbon emissions from the construction industry. (3) At this stage, new-type urbanization exhibits a threshold effect on carbon emissions from the construction industry due to the different levels of development and energy intensity of the construction industry. After crossing the threshold value, the promotion effect of new-type urbanization on carbon emissions from the construction industry gradually increases. This paper provides a reference for promoting carbon emission reduction in the construction industry in the process of new-type urbanization. Full article
(This article belongs to the Special Issue Carbon Economics: Pathways towards Carbon Neutrality)
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18 pages, 1526 KiB  
Article
Research on Carbon Emission Characteristics and Differentiated Carbon Reduction Pathways in the Yangtze River Delta Region Based on the STIRPAT Model
by Kerong Jian, Ruyun Shi, Yixue Zhang and Zhigao Liao
Sustainability 2023, 15(21), 15659; https://doi.org/10.3390/su152115659 - 6 Nov 2023
Cited by 3 | Viewed by 1161
Abstract
With the changes in the spatial structure of China’s economic development, urban clusters have become the primary carriers of China’s regional economy and green growth. We used annual data from 2010 to 2021 to study the carbon emission characteristics and carbon reduction pathways [...] Read more.
With the changes in the spatial structure of China’s economic development, urban clusters have become the primary carriers of China’s regional economy and green growth. We used annual data from 2010 to 2021 to study the carbon emission characteristics and carbon reduction pathways of 36 cities in the Yangtze River Delta region. Firstly, based on the decoupling elasticity coefficient and carbon intensity index, the researchers divided the cities in the Yangtze River Delta into six types of carbon emissions. Then, the STIRPAT model was used to regress the panel data of different carbon emission types for 11 years, analyze the driving factors of carbon emissions, and develop differentiated carbon emission reduction paths for cities with six carbon emission types. According to the results, the cities of Type I need to accelerate low-carbon technology innovation; the cities of Type II need to improve energy efficiency and strengthen low-carbon technology research and development; the cities of Type V need to suppress foreign investment in high-energy consumption and high-emission projects in the local area; the cities of Type VI need to accelerate the process of new urbanization and optimize industrial structure. However, the researchers found that the cities of Types III and IV have not yet received effective emission reduction pathways, and their emission reduction policies and measures need to be further studied. Full article
(This article belongs to the Special Issue Carbon Economics: Pathways towards Carbon Neutrality)
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19 pages, 367 KiB  
Article
Is Entrepreneurship the Key to Achieving Environmental Sustainability? A Data-Driven Analysis from the Asia-Pacific Region
by Thai-Ha Le, Canh Phuc Nguyen and Manh-Tien Bui
Sustainability 2023, 15(19), 14523; https://doi.org/10.3390/su151914523 - 6 Oct 2023
Viewed by 1359
Abstract
This study examines the relationship between entrepreneurship density and environmental quality in 28 Asia-Pacific countries using the PMG estimator as a panel data estimation method in the context of the ARDL model. The study finds that entrepreneurship density has no statistically significant short-term [...] Read more.
This study examines the relationship between entrepreneurship density and environmental quality in 28 Asia-Pacific countries using the PMG estimator as a panel data estimation method in the context of the ARDL model. The study finds that entrepreneurship density has no statistically significant short-term effects on CO2 emissions in all three economic sectors, but it appears to have statistically significant effects on CO2 emissions in agriculture and industry in the long run. The study suggests that the nature of entrepreneurship activities and their impact on the environment changes from low-income to high-income countries, with entrepreneurship activities with innovations and creativity primarily found in the industrial sector, improving economic efficiency and reducing industrial emissions. However, entrepreneurship activities with natural resource rents, such as large land use or forest rents, can cause environmental degradation. The study provides further insights by interacting entrepreneurship density with the income variable, revealing that entrepreneurship density has different effects on sectoral emissions in low, lower-middle, upper-middle, and high-income countries. Finally, the study provides interesting findings on the relationship between entrepreneurship density and environmental quality, such as biodiversity and water quality. Full article
(This article belongs to the Special Issue Carbon Economics: Pathways towards Carbon Neutrality)
18 pages, 1231 KiB  
Article
Do Green Information and Communication Technologies (ICT) and Smart Urbanization Reduce Environmental Pollution in China?
by Shiping Xu and Lili Wang
Sustainability 2023, 15(19), 14492; https://doi.org/10.3390/su151914492 - 5 Oct 2023
Viewed by 1871
Abstract
Due to rapid urbanization and industrialization, China faces numerous environmental challenges, including air and water pollution, resource depletion, and climate change. Adopting green ICT and smart urbanization is a critical strategy to address these challenges. At the heart of this study lies the [...] Read more.
Due to rapid urbanization and industrialization, China faces numerous environmental challenges, including air and water pollution, resource depletion, and climate change. Adopting green ICT and smart urbanization is a critical strategy to address these challenges. At the heart of this study lies the question: Do green ICT adoption and smart urbanization contribute positively to environmental pollution reduction? Therefore, this study intends to scrutinize the influence of green ICT and smart urbanization on environmental pollution in China, focusing on the period from 1996 to 2021. The most up-to-date method of structural modeling, partial least squares structural equation modeling (PLS-SEM), was used to estimate the quantitative connection between green ICT, smart urbanization, and environmental pollution. The findings of the structural model show that only the path coefficient between smart urbanization and environmental pollution is significant and negative. Renewable energy consumption directly and negatively influences environmental pollution, whereas smart urbanization directly and positively affects renewable energy consumption and green ICT. Consequently, renewable energy consumption and green ICT negatively influence environmental pollution. Based on the findings, the study proposes targeted public policy recommendations aimed at fostering the development of green ICT and smart urbanization initiatives in China. Full article
(This article belongs to the Special Issue Carbon Economics: Pathways towards Carbon Neutrality)
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14 pages, 806 KiB  
Article
Responsibility Allocation of Provincial Industry Emission Reduction from the Perspective of Industrial Linkages—A Case Study of Shanxi Province
by Fang Wan and Jizu Li
Sustainability 2023, 15(12), 9330; https://doi.org/10.3390/su15129330 - 9 Jun 2023
Viewed by 1096
Abstract
The allocation of emissions reduction responsibilities in a fair and efficient manner is the key to achieving optimal overall reductions in emissions. However, existing studies have not adequately considered the impact of industry linkages. To fill this gap, this study constructed a carbon [...] Read more.
The allocation of emissions reduction responsibilities in a fair and efficient manner is the key to achieving optimal overall reductions in emissions. However, existing studies have not adequately considered the impact of industry linkages. To fill this gap, this study constructed a carbon emissions reduction responsibility allocation model from the perspective of industry linkages using the TOPSIS (a technique for order preference by similarity to an ideal solution) comprehensive evaluation method based on entropy weights. A typical resource-based province, Shanxi, was selected to broaden the scope of the related research to the provincial level. The indicator system designed in this study also compensates existing studies that have lacked consideration of industry linkages. The results show that traditional energy-intensive industries will be significantly less responsible by incorporating indirect emissions responsibility into the equity principle, while the ‘coal mining and washing’ and ‘construction’ industries will be more responsible. By incorporating the impact of industry linkages on the overall emissions reduction effect into the efficiency principle, traditional energy-intensive industries with overly intensive emissions reduction tasks will limit the overall efficiency, while industries with strong emissions reduction potential or able to support low-carbon economic development will be able to take on more responsibilities. These findings are expected to provide the government with references to formulate mitigation policies in China and in other countries. Full article
(This article belongs to the Special Issue Carbon Economics: Pathways towards Carbon Neutrality)
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16 pages, 709 KiB  
Article
Study on Consumers’ Purchase Intentions for Carbon-Labeled Products
by Jingyang Duan, Mingyang Zhang and Baodong Cheng
Sustainability 2023, 15(2), 1116; https://doi.org/10.3390/su15021116 - 6 Jan 2023
Cited by 6 | Viewed by 3130
Abstract
The carbon-labeling system is able to quantify the level of greenhouse gas emissions of goods throughout their life cycle, including production, delivery, and consumption. With the proposal of carbon peak and carbon neutrality goals, the carbon-labeling system has an inevitable impact on production [...] Read more.
The carbon-labeling system is able to quantify the level of greenhouse gas emissions of goods throughout their life cycle, including production, delivery, and consumption. With the proposal of carbon peak and carbon neutrality goals, the carbon-labeling system has an inevitable impact on production by companies and the purchase behavior of consumers. This paper constructs a theoretical model of the influencing mechanism on consumer willingness to purchase carbon-labeled products by utilizing the theory of consumption values. Through a survey and analysis of a sample of 347 Chinese university students, a regression analysis is applied to explore their willingness to consume carbon-labeled products and the corresponding influencing factors. The results show that (1) despite relatively low public awareness of the carbon-labeling system, the willingness to purchase carbon-labeled products is strong; (2) functional value, emotional value, and epistemic value can positively influence customer willingness to purchase carbon-labelled products; and (3) there is a significant difference in the willingness to purchase carbon-labelled products in terms of age and no significant difference in terms of gender, income, occupation, and education level. Based on the findings, some recommendations are made to help companies adopt appropriate strategies to trigger consumers’ purchase intentions and gain a market advantage in carbon-labeling scenarios. Full article
(This article belongs to the Special Issue Carbon Economics: Pathways towards Carbon Neutrality)
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Review

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18 pages, 874 KiB  
Review
Building Stock Models for Embodied Carbon Emissions—A Review of a Nascent Field
by Ming Hu and Siavash Ghorbany
Sustainability 2024, 16(5), 2089; https://doi.org/10.3390/su16052089 - 2 Mar 2024
Cited by 5 | Viewed by 2024
Abstract
Building stock modeling emerges as a critical tool in the strategic reduction of embodied carbon emissions, which is pivotal in reshaping the evolving construction sector. This review provides an overall view of modern methodologies in building stock modeling, homing in on the nuances [...] Read more.
Building stock modeling emerges as a critical tool in the strategic reduction of embodied carbon emissions, which is pivotal in reshaping the evolving construction sector. This review provides an overall view of modern methodologies in building stock modeling, homing in on the nuances of embodied carbon analysis in construction. Examining 23 seminal papers, our study delineates two primary modeling paradigms—top-down and bottom-up—each further compartmentalized into five innovative methods. This study points out the challenges of data scarcity and computational demands, advocating for methodological advancements that promise to refine the precision of building stock models. A groundbreaking trend in recent research is the incorporation of machine learning algorithms, which have demonstrated remarkable capacity, improving stock classification accuracy by 25% and urban material quantification by 40%. Furthermore, the application of remote sensing has revolutionized data acquisition, enhancing data richness by a factor of five. This review offers a critical examination of current practices and charts a course toward an environmentally prudent future. It underscores the transformative impact of building stock modeling in driving ecological stewardship in the construction industry, positioning it as a cornerstone in the quest for sustainability and its significant contribution toward the grand vision of an eco-efficient built environment. Full article
(This article belongs to the Special Issue Carbon Economics: Pathways towards Carbon Neutrality)
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