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Copyright of Industria Textila is the property of Institutul National de Cercetare-Dezvoltare pentru Textile si Pielarie and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Against the backdrop of climate change becoming a global hot topic, global carbon emissions continue to grow. As the world's largest developing country, China is facing increasingly severe pressure to reduce emissions in its development. At the same time, in the current context of low-carbon transformation, the country has also begun to vigorously promote the carbon emission trading market. In the development process of China's carbon emissions trading market, there are still problems such as uneven data quality, insufficient data accuracy and standardization, which affect the normal operation of the carbon emissions trading market. Therefore, while the carbon emissions trading market is rapidly developing, it is necessary to establish a comprehensive carbon emissions data management system. This article analyzes the problems and future development directions of China's carbon emission data management system, and designs an overall design scheme for a carbon emission data management system based on multi-source data fusion. Through comparative experiments of UOS (ultimate Oscillator) indicators, it was found that the data transmission capacity of the carbon emission data management system designed in this paper with multi-source data can gradually improve the UOS value through continuous use. At the end of the experiment, it obtained a UOS value of up to 91.23%, far exceeding the efficiency of traditional data transmission. [ABSTRACT FROM AUTHOR]

The Chinese government aims to balance employment stabilization and emissions reduction when it initiates an emissions trading scheme (ETS) to control carbon emissions. However, the policymakers should not neglect the role of imperfectly competitive market structure and market power from incumbent firms. In view of this, classical framework of Berman and Bui's (2001) is extended in this paper to clarify the theoretical mechanism of employment effect of the ETS considering firm-level market power. In addition, based on the firm-level panel data from 2008 to 2019 of China, the employment effect of each pilot ETS is measured with the method of difference-in-difference-in-differences. Then a moderating effect model is established to verify the role of firm-level market power on the heterogeneous employment effect among the pilot ETSs. Moreover, the employment effect is further decomposed to evaluate the influential mechanism from the perspective of firms' strategic behavior. It is found that there is negative employment effect of China's ETS policy, due to the significant moderating role of firm-level market power. This decrease in labor demand is mainly dominated by a negative output effect rather than a positive substitution effect because strategic allowance sellers with stronger market power tend to hire fewer employees to reduce carbon emissions by controlling production scale. However, the heterogeneity of policy effects resulted by market structure is also identified in different pilot regions. Employment dividend has been found in Beijing and Tianjin where strategic allowance buyers manipulate the carbon market and hire more employees to consolidate their market power. Therefore, policymakers should improve the design of the ETS to overcome the adverse employment effect duo to the region-specific market structure. [ABSTRACT FROM AUTHOR]

Fossil-based natural resources are carbon-intensive, and over-reliance on them often leads to persistent high carbon emissions at national or regional levels, resulting in the carbon curse. Based on the panel data of 114 resource-based cities in China from 2007 to 2020, this paper examines the carbon curse and solutions for these cities from the perspectives of total and intensity of carbon emissions. The results show that: Firstly, due to the different stages of urban development, resource endowment, degree of resource dependence, and policy background, there is a heterogeneity of carbon curse in China's resource-based cities. Secondly, the carbon emission trading policy can effectively mitigate the carbon curse in China's resource-based cities, and the robustness tests demonstrate the validity of this finding. Thirdly, under the carbon emission trading policy, industrial structure upgrading and digital transformation can play a secondary moderating role in resolving the carbon curse in resource-based cities, further strengthening the inhibitory effect of the carbon emission trading scheme on the carbon curse. In contrast, green technology innovation exhibits no enhancement in the impact of the policy. These findings contribute to the existing research on the carbon curse, offering valuable insights and policy implications for effectively addressing this challenge. [ABSTRACT FROM AUTHOR]

• Carbon emissions trading, industrial structure upgrading and green development are integrated into a unified analytical framework. • Taking the carbon trading mechanism as the moderating variable can effectively combine the method of comparative static analysis. • Whether in the long term or the short term, the carbon pilot policy and the industrial structure upgrading policy implemented at the same time will have excess benefits. • When factor flow between cities is considered, excess benefits still exist significantly. Clarifying the influence mechanisms of carbon emissions trading scheme (ETS), industrial structure upgrading (ISU), and green development is of great theoretical and practical significance. Existing studies have only focused on the role of ETS or ISU on green development and have not included them in an analytical framework. The DID model and the moderating effect model are therefore combined in this work to to explore how the ETS will affect the link between ISU and green development throughout the period of 2008 to 2019 using panel data from 271 Chinese cities. Through a series of robustness and endogeneity tests, we find that: (1) ETS can significantly moderate the U-shaped relationship between ISU and green development, and this impact is significant in both the long and short term; (2) When ETS and ISU are implemented at the same time, the effect of the combined actions is greater than the sum of the effects of the two policies implemented separately, which means that the combined actions has excess dividends; (3) ETS and ISU have significant direct effects and spatial spillover effects on green development, and the excess dividends of combined actions also exist significantly at the spatial level. The research results of this paper provide an important theoretical and empirical basis for establishing the combined actions of ETS and ISU. [Display omitted] [ABSTRACT FROM AUTHOR]

Due to tougher carbon restrictions and regulations, businesses have been researching approaches to decrease the amount of carbon emissions throughout the inventory supply process and achieve sustainable development. The two most common approaches are (i) decentralized, which involves implementing a carbon tax or cost for emitting carbon, and (ii) centralized, which includes introducing an emissions trading (cap-and-trade) mechanism. Within this research, we optimize a two-stage supply management system under FPH(finite planning horizon) while taking into consideration these two policies. Using a linear time and inventory-dependent demand model, we investigated various techniques within a specific time frame. We created and solved two distinct MINLP (Mixed Integer Non-Linear Programming) approaches for each carbon strategy. These models can assist businesses/firms in determining the minimum overall cost, optimal order quantity, optimal replenishment time, and replenishment cycles. Using mathematical tools, our sensitivity evaluations indicate that organizations can reduce overall projected emissions and costs by making parameter variations under both carbon regimes. We additionally showed that while both approaches optimize the overall supply chain cost, the order quantity and total emissions remain constant. [ABSTRACT FROM AUTHOR]

The involvement of journalism-based professionally generated content (JPGC) in social economic development is important to further enhancement of low carbon economy. This research studied the spatial externality of journalism-based professional generated content (JPGC) on carbon emission efficiency, and analyzes the interplay effect of journalism-based professional generated content (JPGC) and digital economy on carbon efficiency based on spatial econometric model. This research further studied the causal effect of carbon emissions trading pilots on carbon emission efficiency based on cross-function of journalism-based professional generated content (JPGC) and digital economy by using quasi-natural experiment. This research develops a inter-disciplinary study to low carbonization in green economy from linguistic perspective in public administration supported by social media. [ABSTRACT FROM AUTHOR]

The international division of the value chain brings both opportunities and challenges to developing countries. Integration into the global value chain (GVC) has become a new driving force for economic growth in developing countries while simultaneously creating huge pressures for the reduction of carbon emissions. The existing literature focuses on the measurement of GVC embeddedness and embodied emissions, but rarely on the influencing mechanisms between them. From the perspective of value-added trade, this study recalculates the emissions embodied in exports of developing countries using the multi-regional input-output model (MRIO), and analyzes the influencing mechanisms between the GVC and embodied emissions arising from four transmission paths: export scale, industrial structure, technological progress, and environmental regulation. The results show that there is an inverted U-shaped nonlinear relationship between the degree of GVC embeddedness and the carbon emissions of developing countries. Consequently, a low degree of participation in the GVC is not conducive to the improvement of a country's ecological environment; conversely, when GVC participation exceeds the inflection point, it helps to reduce the scale of embodied emissions. Export scale and industrial structure play important positive transmission roles in the impact of GVC embeddedness on carbon emissions embodied in exports, and developing countries are locked-in at the low end of the GVC. Environmental regulation plays a non-linear intermediary role in the relationship between GVC participation and carbon emissions, while technological progress has no significant impact. Thus, developing countries should actively participate in the GVC, while focusing on learning opportunities arising out of advanced low-carbon production technologies from developed countries, thereby benefiting from the technology spillover effect. [ABSTRACT FROM AUTHOR]

As the world's largest energy consumer and carbon emitter, China accounts for approximately one-third of global carbon dioxide (CO 2) emissions. Launched in 2021, China's national emissions trading scheme (ETS) has become a well-established market-based instrument in the country's efforts to peak CO 2 emissions and achieve carbon neutrality. This study, viewed as a quasi-natural experiment, examines the impact of China's ETS pilots. We evaluate the carbon emissions reduction effects and associated mechanisms of China's pilots using a propensity score-matched difference-in-differences model (PSM-DID) and Chinese State Administration of Tax (SAT) data. The findings show that the ETS pilots have led to a 4.3% and 7.5% reduction in the carbon emissions intensity and total carbon emissions of firms, respectively. Firms in the ETS pilot regions reduce carbon emissions and intensity mainly by increasing firms' willingness and investment in R&D. Further investigation reveals heterogeneity in carbon emissions reduction among firms of different sizes, leverage ratios, and ownership. The findings suggest that in order to fully realize the emissions reduction potential of the ETS pilots, the government should expand the range of entities covered and improve the liquidity of the carbon market. [ABSTRACT FROM AUTHOR]

Accelerating climate change and the ineffectiveness of governmental policy responses have led many to hope that green parties will promote more effective policy measures. This article focuses on the Green Party of Aotearoa (GPA) which has maintained continuous parliamentary representation since 1996, receiving from 5.2 to 11% of the vote in national elections from 1999 to 2020. It has been a support partner in Labour-led governments following the 2017 and 2020 elections. Providing an account of how the GPA’s climate change policies have developed and shifted since the foundation of the party in 1990, this article seeks to answer the following question: What are the strengths and weaknesses of the intellectual outlook and climate change policies of the GPA with respect to likely effectiveness in reducing carbon emissions and combatting climate change? The critical analysis required to answer this question operates on two levels: with respect to critical policy analysis, the focus is on the scale, scope, sequencing and pace of change; while at a more fundamental level, the article explores the extent to which the GPA’s intellectual outlook and policy programme constitute an adequate response to the problems generated by neoliberalism, capitalism, class and the disproportionate influence of business over government. It concludes that although the GPA’s climate change policies are better than those of the other parliamentary parties, these policies are problematic at both levels. [ABSTRACT FROM AUTHOR]

In the California compliance cap‐and‐trade carbon market, improved forest management (IFM) projects generate carbon credits in the initial reporting period if their initial carbon stocks are greater than a baseline. This baseline is informed by a "common practice" stocking value, which represents the average carbon stocks of surveyed privately owned forests that are classified into the same general forest type by the California Air Resources Board. Recent work has called attention to the need for more ecologically informed common practice carbon stocking values for IFM projects, particularly those in areas with sharp ecological gradients. Current methods for estimating common practice produce biases in baseline carbon values that lead to a clustering of IFM projects in geographical areas and ecosystem types that in fact support much greater forest carbon stocks than reflected in the common practice. This phenomenon compromises additionality, or the increases in carbon sequestration or decreases in carbon emissions that would not have occurred in the absence of carbon crediting. This study seeks to expand upon recent work on this topic and establish unbiased common practice estimates along sharp ecological gradients using methods that do not rely upon discrete forest classification. We generated common practice values for credited IFM projects in the Southern Cascades using a principal components analysis on species composition over an extensive forest inventory to determine the ecological similarity between inventoried forests and IFM project sites. Our findings strengthen the results of recent research suggesting common practice bias and adverse selection. At several sites, even after controlling for private ownership, 100% of the initial carbon stocks could be explained by ecological variables. This result means that improved management did not preserve or increase carbon stocks above what was typical, suggesting that no carbon offsets should have been issued for these sites. This result reveals greater bias than that been found at project sites in this region by research that has used discrete forest categorization. [ABSTRACT FROM AUTHOR]

China's approach to environmental regulation relies heavily on campaign-style enforcement and blunt-force regulation. While considered effective in the short run, this approach is often inefficient and generates unintended regulatory outcomes in the longer run. At the same time, China continues to experiment with the use of market-based approaches that are theoretically more efficient and have the potential to facilitate sustained reductions in carbon emissions. Arguably the most high-profile example is the Guangdong Emissions Trading Scheme (ETS), which was launched in 2013 as a national pilot scheme. We construct a synthetic control of Guangdong and analyse 51,076 party-led newspaper reports to show that while the ETS reduced emissions in the short run, these reductions were systematically associated with political signalling. Notably, emissions reduced substantially upon the announcement of the ETS in 2011 – a full two years before the scheme was scheduled to begin – before rebounding to near pre-ETS announcement levels by 2017. The presence of an anticipation effect and the systematic association between political signalling and emissions reductions mirrors findings on China's more direct approaches to environmental regulation. Our findings suggest that market-based mechanisms in China may not be qualitatively different from more direct forms of environmental regulation. • We use the Guangdong ETS to examine market-based approaches in the Chinese context. • No systematic evidence that the ETS functions according to the market mechanism • ETS performance is systematically associated with political signalling. • Findings are consistent with the wider Chinese environmental governance literature. • Market-based mechanisms may not be qualitatively different from direct regulation. [ABSTRACT FROM AUTHOR]

Carbon trading price is the core component of the carbon emission trading market. Accurate carbon trading price prediction is of great significance for forming an effective carbon trading market and achieving the "dual carbon" goal. Based on the carbon trading price data in China Emissions Exchange, this paper predicts the carbon trading price through the proposed hybrid model of SSA+LSTM. After comparing with the classical methods based on econometrics, machine learning and deep learning, it is found that the prediction model proposed in this paper achieves the optimal values of RMSE and MAE, and is a relatively effective carbon trading price prediction model. [ABSTRACT FROM AUTHOR]

• Focusing on the impact of geographical environment on the ETS in reducing PM2.5 concentrations. • Heterogeneity analysis according to topographic factors such as basins, coastal cities and plains. • Comparing clustered standard errors at the provincial level and clustered standard errors at the municipal level on the assessment of air pollution policy effects. The dispersion of PM2.5-related pollutants in the atmosphere is intricately connected to the natural geographical environment. Nevertheless, previous evaluations of environmental policies regarding urban PM2.5 concentrations have rarely taken into account the influence of the natural geographical environment. Utilizing panel data and DID models for 266 prefecture-level cities in China from 2006 to 2019, this study thoroughly examines the impact of geographical environment on the China's Carbon Emissions Trading Scheme (ETS) in reducing urban PM2.5 concentrations. The results suggest that (1) Neglecting the impact of natural geographical environment, although the ETS effectively reduces the PM2.5 concentration in the pilot cities from an overall perspective, there are anomalies in the robustness test and the heterogeneity analysis, which are mainly reflected in the decrease in the significance of the PSM-DID results, and the positive haze-enhancement effect of the ETSs of Fujian, Beijing, Shanghai, etc. (2) Considering the influence of geographic environment, combined with the spatial correlation between China's topographic distribution and PM2.5 concentration, four control groups of Basin, Coastal, etc. are screened for group regression, and the results show that geographic environment factors significantly affect the emission reduction effect of each ETS on PM2.5 concentration. (3) The regression results of the three types of spatial econometric models all indicate that there is a significant spatial spillover effect of ETS to reduce PM2.5 concentration. Considering the influence of geographic environment on the spatial spillover effect and the fact that China's provincial division is mostly based on geographic environment factors, in order to more reasonably assess the effect of the policy on the PM2.5 concentration, the researcher should select sample cities with no spatial correlation of PM2.5 and clustering robust standard errors to the provincial level. [ABSTRACT FROM AUTHOR]

Carbon cap-and-trade policy based on market mechanism becomes an important means to restrain shipping logistics enterprises' carbon emission reduction. This paper studies the new requirements of shipping enterprises under the pressure of carbon emission reduction. Considering the logistics service supply chain composed of two competing providers and one integrator under the constraint of carbon cap-and-trade policy, this paper explores the optimal pricing and revenue decision of shipping logistics service supply chain through vertical cooperation, horizontal cooperation between providers and revenue sharing cooperation among integrators. This paper obtains feedback strategies under different cooperation modes by constructing a game model. In the vertical game, the shipping logistics supplier is the Stackelberg leader, and the shipping logistics integrator is the follower; there is a Nash equilibrium in the emission reduction decisions among suppliers in the horizontal game. On this basis, the results of different cooperation modes are compared, and the influence of competitive strategies on the optimal results is discussed. We found that the vertical cooperation of the shipping logistics service supply chain has a higher carbon emission reduction rate and a lower sales price, and the horizontal cooperation of shipping logistics suppliers can improve their own profits but reduce the income of the shipping logistics integrators and consumer welfare. When the revenue sharing contract provides the shipping logistics integrator with a share proportion in a certain range, the revenue sharing contract can generate higher supply chain profits than the integration of two chains, which can urge shipping logistics suppliers to forfeit the horizontal cooperation and help the shipping logistics service supply chain achieve win-win results. [ABSTRACT FROM AUTHOR]

Carbon emissions trading schemes are an essential market-oriented mechanism for carbon reduction. This study assumes China's emissions trading scheme (ETS) policy as a quasi-natural experiment to examine its impact on green technology innovation using panel data of cities in China from 2008 to 2018. The moderating effects of effective governance and enterprise viability are further investigated from the perspective of new structural economics. The results indicate that China's ETS policy can significantly promote green technology innovation in pilot cities. Further findings demonstrate that environmental regulation and development strategy can substantially enhance this positive effect, confirming the effectiveness of Chinese policies. A lower proportion of state-owned enterprises and higher total factor productivity is also found to strengthen such impact, indicating that viability can advance the effectiveness of market environmental regulations. Moreover, we identify significant regional heterogeneities indicating that the cities in the western region or old industrial bases do not fully leverage the advantages of the green innovation effect of ETS. Our findings provide insights for policymakers in developing countries regarding the role of efficient markets and effective government interventions for advancing carbon reduction and green technology innovation through policy optimization. [ABSTRACT FROM AUTHOR]

Emissions trading has been playing a very important role in addressing pollution of estuarine and coastal waters. This paper aims to explain mechanism of the multi-agent collaborative management of coastal pollution from land-based sources from the perspective of emissions trading and identify its influencing factors. Given the current participation of polluting enterprises in emissions trading, this paper constructs a tripartite evolutionary game model consisting of local governments, polluting enterprises, and the public. Drawing on this model and the ABM (agent-based modeling) for simulation and using artificial neural networks for error corrections, the numerical simulation of the data of Dongying, a pilot city of emissions trading is conducted, to examine the influence of different factors on the evolutionarily stable strategy. The results show that: ➀ increasing each agent's initial willingness of participating in collaborative management can facilitate the evolution of their behavioral strategies towards collaborative management. Specifically, compared with the public, polluter's stronger willingness for emission reduction and the government's more proactive willingness for regulation can better promote collaborative management in land-based pollution; ➁ the increase in the reward standard for emissions cutters has a positive impact on enterprises and the public's proactive participation in collaborative management, yet a negative impact on local governments; ➂ higher reward from the provincial government and the increase in the emissions trading price have a positive impact on the enthusiasm of local governments, enterprises and the public in collaborative management; ➃ the increase in the unit cost of emission reduction will undermine polluting enterprises' enthusiasm in emission reduction. Policy suggestions are thus proposed, such as increasing the subsidies for emission reduction, promoting and perfecting the emission trading market, cutting the emission reduction cost of enterprises and the supervision cost of local governments, and increasing the public's concern on the governance of marine pollution from land-based sources. The conclusion will provide a theoretical underpinning for and guide related practice of future preservation of coastal ecologies and management of coastal pollution from land-based sources. [ABSTRACT FROM AUTHOR]

Article 6 of the Paris Agreement establishes the foundation for international carbon markets by allowing Parties to cooperate to achieve their nationally determined contributions (NDCs). The Paris Agreement also embeds the concept of 'net zero' by calling for a balance between anthropogenic emissions of GHGs and removals of GHGs by sinks to be reached in the latter part of this century. All signatory Parties therefore tacitly acknowledge that meeting the Agreement's ambitious climate change mitigation goals relies not only on deep cuts in anthropogenic GHG emissions, but also on the offsetting of residual, hard-to-abate, GHG emission sources through significant increases in carbon removal from the active climate system and the storage of CO 2 in enhanced sinks and reservoirs. In these respects, Article 6 potentially offers a variety of routes to incentivize CO 2 capture and storage (CCS) including through emissions trading but also more novel means of cooperation that focus more specifically on carbon storage and which could potentially address some of the challenges posed for CCS over the past 15 years or so. In order to assess the status and outlook for Article 6 with a focus on CCS activities, we define three potential models for cooperation and undertake a comparative evaluation against the key criteria of effectiveness, environmental integrity, commercial and financial viability, progression and policy performance. We conclude with some observations regarding the factors that may influence the likelihood of these different market models evolving over coming years. [ABSTRACT FROM AUTHOR]

Copyright of GWP: Gesellschaft Wirtschaft Politik is the property of Verlag Barbara Budrich GmbH and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

This paper studies the carbon price fluctuation in China through the adaptive Fourier decomposition (AFD). Apart from the transient time-frequency distribution of the original AFD model, we also reconstruct the mono-components of this model to obtain the components in different time-frequency scales. Our empirical results based on the carbon price in Hubei Province demonstrate that there are three periods when the price fluctuates dramatically, mainly affected by the governmental policies about carbon emission and the development of clean energies, as well as the outbreak of COVID-19. Furthermore, the fluctuations of the price in the three identified periods are reflected in different scales. The comparison of the decomposition results and those of EMD and VMD shows that the AFD performs best in absorbing the price's useful information extracted through all these methods. [ABSTRACT FROM AUTHOR]

Copyright of Internasjonal Politikk is the property of Cappelen Damm Akademisk and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

The goal of this paper is to analyze the effectiveness of the environmental taxes and emissions trading in achieving cleaner production, that is, higher production per unit of emissions in the European Union (EU). The hypothesis of the paper is that the combined use of taxes and emission permits yields synergistic benefits in addition to their individual contributions. The paper uses panel analysis on the EU27 data from 2005 to 2012. The analysis does not robustly find positive effects from the interaction of these policy instruments, but it confirms that there are no negative ones. Additional interesting results are that, on average, (i) the effects of both instruments on production cleanliness are more beneficial at the regulated industries than at the national level, (ii) emissions trading is more effective than taxes, (iii) both instruments are more effective in the EU15 than in the EU12, and (iv) crisis did not significantly affect production cleanliness in the EU. [ABSTRACT FROM AUTHOR]

Decarbonization is currently an urgent issue for the international shipping industry. The maritime Emission Trading Scheme (METS) is an effective measure, while the utilization of the Arctic Northeast Passage (NEP) and carriers' profit-driven reactions may affect its effectiveness. Thus, this paper proposed an optimization model to investigate the carrier's economic viability and the CO 2 emission under METS for the SCR/NEP-combined liner shipping service. Various METS scenarios are set based on 1) geographical scope (GS), 2) free emission quota percentage (FEQP), and 3) carbon price (CP). Results show that METS would guarantee a short-term CO 2 emission reduction within the GS, but the volume of overall CO 2 emission in some scenarios would be even larger. In individual cases, METS positively affects the carrier's economic viability. METS disincentivizes carriers to use the NEP, especially when it is implemented in the Arctic area or with high pricing. For carriers, the main countermeasure to cope with METS is slow steaming in the GS. Some valuable insights for policymakers designing METS: it is not the case that the higher the value of GS/FEQP/CP, the better the overall CO 2 emission reduction effect. A moderate GS and CP may be appropriate for balancing carriers' economic benefits and emission reduction efficiency, in whole or in part. FEQP can be set relatively low at the start of METS and raised gradually to motivate the carriers in emission control. [ABSTRACT FROM AUTHOR]

Global climate change and the rising volume of world trade have made achieving carbon neutrality in shipping essential for meeting the temperature control targets outlined in the Paris Agreement. Consequently, the European Union (EU) has emerged as a strong advocate for carbon neutrality in shipping and is integrating the shipping industry into its Emissions Trading System (ETS) to enable decarbonisation. The EU's unilateral measure is expected to trigger a series of reactions from the global shipping industry. As a result, China, both a major shipping country and developing nation, could potentially attract significant international attention. This study examines the EU ETS for shipping from the perspective of international law. On one hand, the "Kyoto Protocol" does not exclude parties other than the International Maritime Organization (IMO) from taking unilateral measures to address the issue of carbon emissions from shipping. Furthermore, in accordance with the principle of national territorial sovereignty stipulated in the United Nations Convention on the Law of the Sea (UNCLOS), the EU has the right to reduce shipping emissions only within its national jurisdiction. Therefore, the EU has the legal authority to adopt an ETS for shipping, but the effectiveness of its extraterritorial jurisdiction lacks the support of international law. However, since the EU ETS for shipping applies to all ships without distinction, it may potentially violate the principle of Common but Differentiated Responsibilities (CBDR), which could have negative implications for the shipping industry in developing countries. This study focuses on China as the research subject and offers potential solutions for the country when addressing the EU ETS for shipping. • The background and history of EU's Emissions Trading System for shipping are discussed. • The system's impact of China and its response are discussed. • The question of how the ETS conflicts with international law is addressed. • Formation of an international ETS based on EU experience is proposed. [ABSTRACT FROM AUTHOR]

Promoting the trading of blue carbon generated by marine ranching (MR) is essential for China to achieve its carbon peaking and carbon neutrality goals. As blue carbon trading develops, it remains uncertain whether it can promote the transformation of marine ranching firm (MRF) from traditional fishery aquaculture-type MR (FAMR) to more eco-friendly conservation-type MR (CMR). This paper constructs a game model involving MRF and the government to explore the impact of blue carbon trading on the transformation of MRF' production modes by considering carbon asset renting, carbon cap-and-trade, government subsidies, and green investment, which is of great significance in managing coastal marine and aquatic organisms, as well as promoting sustainable development of the marine economy. Research shows that the price and demand of FAMR products are solely influenced by carbon cap-and-trade. The introduction of carbon rents will increase the incentive for MRF to choose CMR, and this incentive is further enhanced when government subsidies are provided. Concurrently, green investment and MRF's profit have an inverted-U relationship. Both government subsidies and blue carbon trading will increase blue carbon. Although this policy will also increase MRF's carbon emissions, the carbon surplus generated by MRF will be higher than without subsidies. • A game model considering MRF, and government was developed. • Carbon asset renting can lead MRF to choose greener CMR production mode. • MRF is more willing to provide green investments when subsidy is offered. • MRF's green investment volume has an inverted-U relationship with profits. • Government subsidies and blue carbon trading can increase carbon surpluses. [ABSTRACT FROM AUTHOR]

Energy directed technical change is an effective means of reconciling economic growth with, not only currently available resources, but also sustainable environmental needs. Whether a carbon emissions trading system (ETS) can internalize carbon dioxide emissions costs, and thus induce energy directed technical change, is a common topic of concern among both political and academic circles. Our study aims to provide evidence for this issue by examining the impact of China's carbon ETS on the energy directed technical change. By adopting a DID estimation approach, we find that the carbon ETS can significantly promote technical change towards clean energy after empirical testing and this conclusion holds up following several robustness tests. This directed effect is realized through a price inhibition effect and a market scale expansion effect; the mechanism test suggest that the market scale expansion effect plays a larger role than the price suppression effect. Lastly, the more significant effect in both non resource-based cities and in large cities suggests that a carbon ETS exerts a heterogeneous effect on energy directed technical change. In addition, the existence of paid auctions of carbon allowances can better induce technical change in favor of clean energy than the free distribution of carbon allowances. • We analyze the impact of ETS on energy directed technical change. • We use uses the standardized supply surface system method to estimate the DTC. • ETS can promote an energy technical change biased towards clean energy. • The price effect and market-scale effect are considered as mechanism. [ABSTRACT FROM AUTHOR]

Reducing emission levels from transportation is one of the most vital steps in combating climate change, but domestic aircraft were not subject to this kind of regulation until recently. In July 2020, the Environmental Protection Agency (EPA) proposed the first carbon emission standards for airplanes. While this regulatory move appears to be progress for protecting the environment, it locked in current emissions levels for years to come. The overwhelming majority of aircraft models are already 6% more efficient than the new standard requires them to be. The rule highlights the tension between industry considerations and environmental justice. This Comment seeks to analyze the various shortcomings of the new aircraft carbon emission standards. It does so by first examining the preceding legal history of emissions regulation and the specifics of the new rule. It then examines the United States' obligations to the International Civil Aviation Organization, the Clean Air Act requirements, the aviation industry's own developments, and the level of deference granted to the EPA's decision. In order to adequately protect the climate and satisfy each of these legal demands, the EPA must reconsider more stringent standards. [ABSTRACT FROM AUTHOR]

This study provides evidence on the probability of adopting an accounting approach for emission allowances and greenhouse gas emissions as a function of each company's GHG emissions performance. The different accounting treatments adopted by national standard-setters and the lack of specific guidance from the International Accounting Standard Board (IASB) allow identification of the use of multiple accounting approaches. Based on a sample of 85 companies registered with the Portuguese, Spanish, and French National Plans of Allocation, data collected from the annual reports were analysed for the period 2008-2014. The results suggest that the probability of adopting omission strategies is positively associated with better GHG emissions performances. It addresses the importance of introducing the transactions of the European Union Emissions Trading Scheme (EU ETS) in financial reporting as the visibility of the costs of polluting is one of the purposes of the market mechanism. [ABSTRACT FROM AUTHOR]

• Sequencing relies on feedback occurring both within and across policy processes. • Both positive feedback and the control of negative feedback are relevant. • The conditions for sequencing depend on available policy design options. • Key factors are cost control, centralization dynamics, compensation options, and learning. • The interaction between renewables policies and carbon pricing is more complex than assumed. In order to achieve the UNFCCC Paris Agreement goals, climate policies worldwide require considerable ratcheting-up. Policy sequencing provides a framework for analysing policy process dynamics that facilitate ratcheting-up. We apply a sequencing perspective to two key EU climate and energy policies, the Emissions Trading Scheme (ETS) and the Renewable Energy Directive (RED), to comparatively test the empirical relevance of sequencing for single policies – in addition to sequencing across policies, which has been the focus of sequencing theory so far – and to uncover specific mechanisms. Our results confirm that sequencing, based on triggering positive and controlling negative feedback, is relevant both within and across policies. Policy choices that may facilitate ratcheting-up include tools to control costs, the possibility to centralise and harmonise in a multi-level governance context, options for compensation of reluctant actors, and the encouragement of learning processes. [ABSTRACT FROM AUTHOR]

As the largest carbon emitter, China has launched the emissions trading scheme (ETS) in 2013. Since then, whether ETS in China really help reduce carbon emissions has become a hot-button issue. By far, scholars tend to offer the macro-level empirical evidence, and the conclusions are at best mixed. Therefore, we try to reveal the effect of China's ETS from the micro level by focusing on the policy executors, herein the pilot firms. Based on the data of listed firms from 2009 to 2017, we employ the Propensity Score Matching–Difference in Differences method (PSM-DID) to estimate the causal effect of ETS. The results suggest that ETS has come into play to a certain extent (a reduction of 129.588 million tons' carbon emissions), but the effect attenuates over time. Meanwhile, the effect is more pronounced among small-scale firms and non-state-owned firms, as well as those pilot regions adopting systems of ex-post allowance allocation. Therefore, in the process of the national ETS, ex-post allowance allocation should be widely promoted, and more attentions should be given to effectively stimulating the emission reduction capacity of large-scale firms and state-owned firms. • China's pilot ETS achieves 129.588 million tons' carbon emissions reduction. • The emission reduction effect of China's ETS attenuates over time. • The policy effect is more pronounced among small-scale firms and non-state-owned firms. • Ex-post allowance allocation promotes corporate emissions reduction. [ABSTRACT FROM AUTHOR]

• Diversity is a gradual property for cataloging homogeneous / heterogeneous cases. • Diversity is a productive, structural component to consider for policy making. • Carbon pricing policy needs to take diversity into account ex-ante in its design. • Mathematical optimization theorems cannot prove uniform pricing is superior. • Bottom-up, specific financial incentives substitute for top-down, uniform carbon pricing. Real economies and societies are diverse. Applied economics responds to diversity by a variety in technologies, institutions, products, policies, for meeting the demands of differentiated actors. Nevertheless, neoclassical economics states that climate change can be regulated most efficiently by installing a global uniform carbon price. This position is based on many assumptions, such as full substitutability, negligible transaction costs, and boundless scale economies. However, diversity is relevant for designing well functioning carbon pricing policies. Diversity is a gradual property for cataloging homogeneous and heterogeneous cases. When categories are incompatible, substitutability is problematic, and transaction costs are high, respecting diversity is beneficial, not costly. Negating heterogeneity (strong diversity) by applying uniform approaches triggers subsequent remedial ad-hoc policies to anyhow address relevant differences. Ex-ante consideration of diversity prevents the flaws of remedial policies. By opting for diverse, case specific financial incentives, economics would well partner with other social sciences in search for realistic, effective, efficient and just climate policies. The global uniform carbon price is a theoretical concept, unlikely to ever be realized, hence escaping decisive assessment of its actual performance. We suggest a substitute indicator for UNFCCC monitoring of countries' efforts to financially incentivize climate actions. [ABSTRACT FROM AUTHOR]

Pollution control is vital for human beings to create a harmonious living environment, and it is an important challenge for all countries worldwide. The emissions trading applicability in the market maker system can play an important role in the process of pollution control. To evaluate the effectiveness of the quotation trading system, it is necessary to develop a system strategy for market makers in emissions trading. In this paper, first the mechanism of the formation of the best offer to market makers is studied based on the construction of the three players' dynamic game model. Then, we construct the system cost model of the market maker quotation transaction by comparing the system costs of the market maker. Finally, this paper provides a set of incentives and constraints to guarantee the quotation trading of market makers, including policy recommendations for the implementation of the quotation trading system of market makers etc. [ABSTRACT FROM AUTHOR]

China officially launched seven state pilot ETS programs starting in 2013 and initiated a national ETS in 2017 respectively. The many accumulated experiences from the pilot programs include such findings as the importance of setting realistic targets balancing the needs for carbon reductions with those of economic growth and pollution control and the need for legislation specifying the actions to be taken, provisions for disclosure, allowance allocations, offsets, infrastructure building, monitoring reporting and verification, and adoption of a compliance mechanism. Deficiencies in the pilot programs are evaluated, such as those derived from lack of a national legal basis and unified rules for the carbon market, an excess of free allocation of allowances, a lack of liquidity of the market, lenient punishment for non-compliance, and absence of a sound monitoring and regulatory mechanism. The requisites for sound market-based programs are described, with particular emphasis on the need for a comprehensive legal basis on which programs can be built. The pluses and minuses of cap and trade market-based programs versus carbon taxes are explored in depth, including the possibilities of combining the two systems. Various bottom up and top down approaches are explored and the key elements of success and failure. [ABSTRACT FROM AUTHOR]

Australian climate change policy has been applied haphazardly to Australia's electricity markets for almost two decades. Federal and state level emissions trading frameworks have been introduced and subsequently repealed. Several studies have pointed to the significant costs imposed by such policy discontinuity. This article demonstrates that the use of production subsidies has also resulted in a 'disorderly' transition and has broken the link between the financial incentives for decarbonisation activities and the physical needs of the electricity system. We evaluate the various options for correcting this by introducing a stable, long-term climate change policy that integrates efficiently with electricity policy objectives. By applying a broad assessment framework, we are able to establish that a market mechanism aimed at pricing the externality implied by an independently set carbon budget is the most efficient policy response. [ABSTRACT FROM AUTHOR]

• This article traces the development of a Chinese emission trading scheme. • It shows how the role, membership, and structure of an expert network change over time. • Earlier processes required elite learning and closed interactions among actors. • Later processes enabled broad-base participation and privileged practice-based knowledge. • Findings inform discussions on the organization of knowledge-based networks and institutions. Knowledge-based experts contribute to climate change policy change. However, the issue of how the role, membership, and structure of expert networks change over a policy cycle remains poorly explained, undermining the case for recognizing a dynamic and inclusive evidence base containing power. This article traces the development of a Chinese emission trading scheme and analyses the changing conditions for knowledge production, acquisition and delivery to shed light on governance. In-depth interviews with 62 experts and other actors were conducted and analyzed using a framework comprising three policy sub-processes, three drivers of change, and five groups of actors. Between 2012 and 2017, the emission trading scheme experienced three stages of development. The initial planning process utilized strategic, system-level inputs from elite experts, learning from applied research and international experience. Emerging priorities arising from policy implementation and diffusion strengthened the role of those who are well versed in the practice and/or industry and enabled broad-base participation. The study enhances our understanding of expert involvement as a continuous, dynamic, and adaptive process amenable to the developmental needs of policy. Findings can inform discussions on the implications of shifting policy priorities and needs for knowledge-producing organizations and for broadening the evidence base of policy. [ABSTRACT FROM AUTHOR]

In the global context of intensive energy resource consumption and substantial greenhouse gas emissions, as the energy sector with the highest share of carbon emissions, the power generation industry is destined to play a central role in China's efforts to promote energy conservation and emission reduction. With the emergence of local carbon pilot projects and the implementation of a national carbon market, key emission units in the power industry, in addition to the electricity market business, also need to fulfill and pay carbon emission rights on schedule. The power generation rights are a market-based mechanism for clean energy units to replace conventional energy units in electricity generation, which can promote carbon emission reduction by incorporating the actual carbon emissions from conventional energy units. This paper establishes an optimized social welfare model that incorporates the interdependency between the thermal power generation unit market and the electric carbon market. It is based on the social welfare model of power generation rights and the initial allocation of carbon emission rights for the units, while considering the cost increase of excess emission under monthly forecasted power generation by the thermal power units. Taking a certain hydropower province as the simulation object, it was verified that the optimized model has a higher transaction rate of power generation rights, greater social welfare, and no reduction in unit revenue. • A groundbreaking linkage between power generation rights trading and carbon emissions trading is introduced. • A novel market optimization objective function is presented to enhance social welfare and encourage participation. • An innovative matching method is proposed to boost the transaction rate in power generation rights trading. • The proposed model is corroborated through a real case study in southwestern China. [ABSTRACT FROM AUTHOR]

• The risk of data misreporting of regulated firms is quantified under the context of ETS. • An anomaly detection method using machine learning techniques that applies to ETS is developed. • The dataset of power sector from China's national ETS is analyzed and potential anomalies are detected efficiently. • A cost-efficient verification method for the regulators is proposed. • A feasible solution for intelligent data quality management is proposed. Data quality is the cornerstone of any emissions trading system (ETS), although developing an effective assurance mechanism is a considerable challenge. To evaluate potential data quality issues of regulated firms and develop a cost-efficient data verification scheme for the authorities, this study uses domain knowledge and data-driven approaches to identify firms with high data quality risks. Using a unique dataset from China's national ETS, each sample obtains an ensemble outlier score generated by several supervised and unsupervised machine learning techniques, and limited inspection resources are allocated to the facilities with higher scores. Our results show that the models make good predictions where potential misreports are found among the predicted high-risk samples, and 70 % of tampered datapoints are detected in the robust test. The method presented here helps in efficiently verifying firms' self-report emissions and proposes a feasible solution for intelligent data quality management under ETS context. [ABSTRACT FROM AUTHOR]

Waste management contributes in various fields for global development. A multi-objective waste management (MOWM) problem is devised in an area that generates commercial, industrial and residential waste items. The target is to reduce the negative impact of waste items on social, economical and environmental sites by completing a closed-loop MOWM through a vehicle routing problem under time window restriction. This MOWM problem is optimizing the objectives including maximum profit, minimum carbon emission under carbon cap-and-trade policy, and minimum work load deviation to maintain the sustainability. Here, neutrosophic hesitant fuzzy (NHF) environment is preferred to overcome the hesitancy of MOWM problem. A new ranking approach is initiated for defuzzifying NHF data. The appropriateness of the formulated model is justified by evaluating two realistic applications. To derive the Pareto-optimal solution of the proposed MOWM problem, two fuzzy techniques, namely, neutrosophic linear programming and neutrosophic hesitant fuzzy programming, and one non-fuzzy technique global criterion method are utilized in NHF environment. The obtained Pareto-optimal solutions are compared by TOPSIS for determining the final Pareto-optimal solution and to select a better approach among the proposed three approaches. Comparison analysis, sensitivity analysis, managerial insights and conclusions with future research scopes are outlined at the end. • Multi-objective waste management is studied by neutrosophic hesitant-fuzzy environment. • Vehicle routing problem is chosen for time management in MOWM. • Carbon cap- and -trade policy for carbon emission reduction is included in MOWM. • Pareto-optimal solutions are derived by proposed three approaches NHF, NLP and GCM. • TOPSIS approach is used to select a better Pareto-optimal solution of MOWM. [ABSTRACT FROM AUTHOR]

In the context of environmental and climate governance, the efficiency with which low-carbon policies reduce air pollution is vital for enhancing the effectiveness of environmental policy implementation. Using the emissions trading scheme (ETS), the most representative low-carbon policy in China, as an example, this study employs a panel data set of 250 Chinese cities for the period 2003–2016. Additionally, a spatial difference-in-differences (SDID) model is utilized to explore the ETS pilot policy's impact on sulfur dioxide (SO 2) emissions and haze pollution (PM 2.5 concentrations) and identify the mechanism underlying these effects. Our results show that the policy helps to reduce both types of air pollution, thereby having a significant collaborative-governance effect. Moreover, while the ETS pilot policy improves PM 2.5 concentrations in neighboring cities significantly, it fails to curb SO 2 emissions in these areas. The mechanism identification results point to a collaborative-governance effect of the policy via industrial structure upgrading, energy structure optimization, and green technology innovation. According to heterogeneity analysis, while the policy has a more evident impact on air pollution in central and western China, it does not exert a collaborative-governance effect on SO 2 emissions in non-key environmental protection and energy-oriented cities. • The collaborative-governance effect of the ETS pilot policy on air pollution is examined. • The mechanisms underlying the collaborative governance effect is uncovered. • The ETS pilot policy helps to reduce local SO 2 emissions and PM 2.5 concentrations. • The ETS pilot policy improves PM 2.5 concentrations in neighboring cities. • Improvements in industrial structure, energy structure, and green technology are the mechanisms. [ABSTRACT FROM AUTHOR]

• An anatomy identifies four main components of actual or proposed Emissions Trading Systems (ETS). • A different assemblage of options delivers different ETS exemplars. Two main exemplars are identified. • Contrary to current policy discourse, both ETS exemplars cannot co-exist. • The ETS anatomy offers insight and structure for thorough analysis and evaluation of existing ETS. An anatomy identifies four main components of actual or proposed Emissions Trading Systems (ETS): (1) Pursued policy goals with the ETS instrument; (2) Public authority allocations of permits to the regulated participants; (3) Carbon emissions price levels; and (4) Participants' abatement expenses dependent on the ready availability of affordable abatement techniques or of low-carbon innovation opportunities. These components cover a range of options. A different assemblage of options delivers different ETS exemplars. Two main exemplars are identified. The actual EU ETS is highly successful in meeting the goal of low financial burdens on EU industry, thereby precluding carbon leakage. The other exemplar opts for high carbon emissions prices in the EU to induce industrial innovations towards a low-carbon economy. Incumbent industrial interests oppose this exemplar. Contrary to current policy discourse and to wishful proposals, both ETS exemplars cannot co-exist. ETS anatomy offers insight and structure for thorough analysis and evaluation of existing ETS, resulting in context–specific and appropriate designs of the carbon trading systems. [ABSTRACT FROM AUTHOR]

• Comprehensive accounting for global CO 2 emissions flow and emission intensities in 49 regions and 200 sectors for 21 years. • Developed a powerful data visualization of CO2 emissions for all 49 regions. • China surpassed US, EU in direct and indirect emissions. • Infrastructure and export contribute to the rapid growth of China's. Indirect CO 2 emissions are gaining increasing interests in addition to direct CO 2 emissions, as policy makers become more aware of the possibilities for structural and technical change, sometimes resulting from policies, to move CO 2 emissions along supply chains. An analysis of the composition of emissions and carbon efficiency of production and their development over time may inform the formulation of demand-side and supply-side solutions for emission reduction over the entire life-cycle. In addition, understanding of emissions embodied in trade (EET) at intermediate and final stages is crucial for allocation of emission responsibilities in a fair manner. Hence, we account for global direct and indirect intermediate and final CO 2 emissions using the global, multiregional input-output model EXIOBASE 3.3. We present results for the flow of embodied carbon through the economies of 49 countries and regions using an interactive visualization and provide a comparative analysis of China, the US, and the EU. It shows that China has undergone rapid, continuous increase in both intermediate and final indirect CO 2 emissions compared to the other two economies from 1995 to 2015, to 26.1 Pg and 11.0 Pg respectively. Emission intensities in China are on average 3.7 times of the US and 2.4 times of the EU in the year 2015, implying the possibility of further reducing emission by efficiency improvement and fuel switching. CO 2 EETs of intermediate production by sectors in the three economies are also reported. [ABSTRACT FROM AUTHOR]

The article focuses on active transportation options including walking, transit and biking that helps in the reduction of carbon emissions, achieve health benefits and increase safety through the programs like National Complete Streets Coalition, and Safe Routes to School National Partnership.

Highlights • Design a framework for modeling carbon emissions in China's power sector. • Employ a methodology that combines top-down, bottom-up and the integration of both. • Showcase on how to combine quotas design, quotas allocation, and abatement estimate. Abstract China has started its design of national emissions trading system (ETS), and power sector is included in its initial stage. In this paper, we propose a systematic framework to estimate total carbon emission quota required to meet the national GDP energy intensity target, and allocate the emission quota. The theoretical framework consists of three basic approaches - "top-down", "bottom-up" and "the integration" approaches, and assumes key parameters such as CO 2 emission intensity target, contribution of emission abatement from ETS, coverage range of ETS, and industry emissions standards. Based on actual data from 2011, we forecast development of China's thermal power industry into 2020 under different official planning scenarios. With the approaches proposed, we show on to adjust the emissions benchmarking at technology level for reaching expected contribution of emissions abatement from ETS. The proposed methodology is informative to ETS market regulators and power utilities. [ABSTRACT FROM AUTHOR]

Highlights • We provide an analysis of the local policy innovations for constructing pilot emission trading schemes in China. • We argue that these experimental measures played an important role to establish effective trading facilities and regulatory frameworks. • We investigate the role of these local policy innovations to meet the challenges of applying market instrument in China's unique political, economic, and industrial contexts. • We discussed how these local policy innovations can be learned for the construction of nationwide carbon market. Abstract Harnessing market instruments of climate governance, such as emission trading schemes (ETS) into an authoritarian and highly fragmented governance system like China can be challenging. It requires tremendous efforts from local states for policy experiments and innovations. This paper examines these local adaptive measures to develop pilot ETS around China. The key finding is that these local policy innovations have played an important role to kick off carbon trading activities effectively, by addressing a number of challenges such as highly imbalanced economic and political contexts, very limited emissions data and technological capacity, and low participants' awareness of ETS. The implications of such policy innovations to the construction of a nationwide ETS system are also discussed. Some of local policy innovations can be legitimised and adopted into the design of national carbon market, while others are more likely appreciated only at initial stage of market development at local level. [ABSTRACT FROM AUTHOR]

Abstract China and the United States respectively adopted desulfurization electricity price and emission trading to achieved the effective sulfur dioxide emissions reduction in thermal power industry. By the methodology of cost-benefit analysis and comparative analysis with the United States, this paper analyzed the coal-fired power plants' desulfurization cost, benefit, and social emission reduction cost of China's desulfurization electricity price policy. The main findings are, the results of cost-benefit analysis show that China's policy against the polluter pays principle, polluters can get benefit from this policy. Second, in terms of the cost of emission reduction, China's cost is very high with 5.52 billion U.S. dollars in 2000 while the USA only cost 0.5-2.0 billion US dollars. Also, compared with the decreasing social cost of the United States, the China desulfurization electricity price policy leads the social SO 2 reduction cost expanded and economic inefficiencies. The conclusion is, as the policy's objective has been achieved, the desulfurization electricity price policy in China should be cancelled. The way of reducing pollutants emission in the form of price subsidies cannot be extended to other pollutants or other industries emission control. [ABSTRACT FROM AUTHOR]

Abstract Excessive price fluctuations would affect the effectiveness of Emission Trading Scheme (ETS) and low-carbon investment. Therefore, the drivers of carbon prices need to be disentangled to analyze the price formation process, which is important for both policy makers and investors. By applying the Ensemble Empirical Mode Decomposition (EEMD) method, we decompose the historical carbon price data of the five ETS pilots in China into five groups of the independent Intrinsic Mode Function (IMF) sequences and the residue, respectively. Then, the IMFs and the residue in each pilot are reconstructed into a high frequency component, a low frequency component and a trend component, thus disentangling the effects of short-term market fluctuations, significant events, and the long-term trend. The main findings are as follows. First, the IMF with a period around one year is the most influential factor, which reflects that pilots are characterized by the yearly cycle. Second, significant events have greater impacts than short-term market fluctuations, and are the dominant driver in Shanghai and Beijing pilots. Third, the long-term trend plays a decisive role in Shenzhen, Guangdong and Hubei pilots. The price stabilization mechanism is critical to avoid a severe imbalance between demand and supply in the long run. Highlights • The drivers of carbon prices in China's ETS pilots are disentangled. • The IMF with a period around one year is the most influential factor. • Significant events have greater impacts than short-term market fluctuations. • Long-term trend plays a decisive role in Shenzhen, Guangdong and Hubei pilots. [ABSTRACT FROM AUTHOR]