Advancing Carbon Governance in China: Integrating Internet Finance and Electric Vehicles Through the Ant Forest Model

Achieving carbon neutrality in China requires robust mechanisms to monitor and incentivize low-carbon behaviors at both individual and organizational levels. The carbon account has emerged as a promising solution, recording users’ carbon-reducing actions and offering integration potential with national carbon markets. However, China’s carbon account system is still in its early stages, facing issues such as a lack of standardization, limited fairness, and inconsistent implementation across regions. This study examines the developmental trajectory and future potential of China’s carbon accounting system, utilizing Ant Forest, a pioneering initiative by Ant Financial, as a case study. Based on survey data, we explored three key questions: (a) What strategies can effectively guide the system’s development? (b) How can carbon credits be transformed into meaningful incentives to boost user participation? (c) How can the electric vehicle (EV) industry be integrated into the carbon account framework? We proposed a collaborative model connecting EV manufacturers with Internet-based green financial platforms like Ant Forest. The findings align with China’s 14th Five-Year Plan and provide actionable insights for policymakers. This study contributes to carbon governance literature by highlighting how fintech innovations can promote sustainable consumer behavior and support China’s transition toward a low-carbon economy. JEL Classification Q55, Q56, G21, M31, O13