Promoting low-carbon development in Yangtze River Delta area in China through the lens of decarbonization of industrial gas producers: A case study based on evolutionary game and Lotka-Volterra models

Qing Lu and Huaxin Fang

Technological Forecasting and Social Change, 2024, vol. 207, issue C

Abstract: As the “blood of industry”, industrial gases are widely used in industrial sectors in the Yangtze River Delta (YRD) region. Thus, promoting the low-carbon transformation of industrial gas producers is an effective method to promote low-carbon development and alleviate the energy crisis in YRD region. By considering the comprehensive conditions of enterprises and the government's compensation mechanism, this paper details the game process between the government and enterprises and provides theoretical reference for subsidy policies. The results show that: There are five potential evolutionary stabilization strategies (ESS), with which the “autonomous transformation” can be achieved. In the process of promoting the autonomous transformation of enterprises, enterprises will face transformation cost (TC) pressure and scale expansion (SE) pressure. The TC (SE) pressure of large, medium and small enterprises increases (decreases) in turn. Before transformation, government subsidies need to be set according to the different pressures on enterprises. When enterprises begin transformation, the government subsidies should help enterprises to stabilize the final photovoltaic scale to achieve autonomous transformation. In order to control the trend of low-carbon development of the whole industrial gas industry, the government should focus on medium enterprises because of their strong plasticity.

Keywords: Low-carbon transformation; Industrial gas; Evolutionary game theory; Lotka-Volterra model (search for similar items in EconPapers)
Date: 2024
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Persistent link: https://EconPapers.repec.org/RePEc:eee:tefoso:v:207:y:2024:i:c:s0040162524003925

DOI: 10.1016/j.techfore.2024.123594

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