ROLE OF POLICY DESIGN AND IMPLEMENTATION IN ENERGY TRANSITION TO A SUSTAINABLE ENERGY SYSTEM

Abstract

The transition towards sustainable energy systems is a thorny question for many governments worldwide. This thesis, in a three-essay format, investigates the design and implementation of policy instruments that are conducive to the energy transition in China. The first essay maps out the evolution of a policy mix for the sustainable energy transition in China. The second examines the co-benefit effect of carbon pricing on air pollution abatement through panel data regressions. Finally, the carbon price dynamics of emission trading scheme pilots were examined through time-series analyses. The thesis presents that a complex policy mix supports China's energy transition that not only promotes technology development but also destabilizes the lock into incumbent coal-based systems by integrating concerns of air pollution and climate change. The thesis has implications for the next phase of the energy transition in China and sheds light on energy transitions in other developing countries.