The Research About The Impact Of Environmental Regulation On Low-carbon Technology Innovation

With the rapid development of global economy, Low-carbon economy tends to bea new trend due to the increasing concentration on global warming and energyproblem. As the country with the largest amounts of carbon emissions in the world,China, especially, should be aware of the great significance of low-carbon economy.However, there is still a wide gap between China and developed countries onlow-carbon technology which is the key element of Low-carbon economy. Thus,driving enterprises to make low-carbon technology innovation through environmentalregulation policies should be an appropriate solution. The effects of differentenvironmental regulation policies on low-carbon technology innovation should alsobe aware: over-strict environmental regulation policies make it hard for enterprises torecover the cost on low-carbon technology innovation which blocks low-carbontechnology innovation; over-flexible environmental regulation policies would fail tostimulate enterprise innovation. To conclude, making effective environmentalregulation policies on the basis of discussing the effect of environmental regulationon low-carbon technology innovation is of great significance.Firstly,from the environmental regulation intensity and effect analysis the currentstatus of China environmental regulation. Secondly, analyzes low carbontechnological innovation problem. Further analysis on the effect of environmen talregulation on low-carbon technology innovation and related model are given. Paneldata of30provinces in2002-2011are used in the model to do FGLS estimate on theeffect of environmental regulation on low-carbon technology and analysis by regionsis also given. Results show:(1)different levels of environmental regulation havedifferent impacts on low-carbon technology innovation; the effect of environmentalregulation on low-carbon technology innovation remains uncertain, in short-term,which may be negative; but in the long-term, environmental regulation wouldcontribute to low-carbon technology innovation.(2)the effect of environmentalregulation on low-carbon technology differs by regions and the positive effect incentral and western regions is weaker than that in eastern regions. Based on thetheoretical and empirical analysis, this paper gives suggestions:1.effectiveenvironmental regulation policies including appropriate implementation.2.multipleforms should be made.3.other measures like improving IPR system, promoting education level should also be made to match environmental regulation system.