Can low-carbon city pilot policy in China induce renewable energy technology innovation? An empirical study based on patent analysis

This study explores the effects of China’s Low-Carbon City Pilot Policy (LCCPP) on innovation in renewable energy technologies, focusing on solar, wind, and hydro energy. Using data from A-share listed companies between 2007 and 2021, a multi-period Difference-in-Differences (DID) analysis reveals that the policy significantly enhances innovation in solar and wind energy technologies, but has little effect on hydro energy. By distinguishing patent data by means of energy type, this research provides a clearer understanding of LCCPP’s specific influence on technological advancement. The findings underscore the policy’s role in promoting renewable energy development, particularly in solar and wind, which aligns with China’s sustainability goals. These insights also offer valuable guidance for other nations aiming to foster green innovation through targeted policies.