SIGNATURE WORK
CONFERENCE & EXHIBITION 2024

This project explores the impact of China’s National Carbon Emission Trading System (ETS) policies on carbon emissions of listed companies. This study was divided into three parts using the Difference in Differences (DID) method and multiple linear regression analysis. The first part analyzes the impact of ETS policy implementation on the total carbon emissions of listed companies, revealing a significant decrease in carbon emissions after policy implementation. The second part extends to economic activities and market trading in the carbon market, exploring the relationship between price fluctuations, trading volume, market structure, time, and trading types. The third part evaluates the optimal balance of carbon market operation on the environment and economy through a cost-benefit analysis framework. The research results indicate that the ETS policy effectively promotes the reduction of carbon emissions, although the reduction did not reach the statistically significant threshold. In addition, through data analysis, the long-term potential of enterprises in emission reduction and the importance of participating in the carbon market have been revealed. The study emphasizes the need to improve data transparency and accuracy, stimulate the motivation of enterprises to participate in the carbon market, and optimize the carbon market mechanism.