Efficacy of China’s low-carbon agricultural pilot policy: a company-farmer analysis from the middle and lower yangtze river basin, China

China’s central government introduced the low-carbon agricultural pilot (LCAP) policy to curb carbon emissions and foster sustainable growth. While most research has centered on macro-level impacts (provinces and cities), this study uniquely examines the LCAP policy’s influence on agricultural compa...

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Main Authors: Lei Jia, Yuan Meng, Hanzhong Liang
Format: Article
Language:English
Published: Frontiers Media S.A. 2025-05-01
Series:Frontiers in Environmental Science
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Online Access:https://www.frontiersin.org/articles/10.3389/fenvs.2025.1581752/full
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author Lei Jia
Yuan Meng
Hanzhong Liang
author_facet Lei Jia
Yuan Meng
Hanzhong Liang
author_sort Lei Jia
collection DOAJ
description China’s central government introduced the low-carbon agricultural pilot (LCAP) policy to curb carbon emissions and foster sustainable growth. While most research has centered on macro-level impacts (provinces and cities), this study uniquely examines the LCAP policy’s influence on agricultural companies’ environmental expenditures and farmers’ net income. Given the LCAP’s weak-constraining nature, its effectiveness at the company and farmer level remains intriguing. We apply the Propensity Score Matching–Difference in Differences (PSM-DID) method, which excels in mitigating sample selection bias, focusing on the 2011–2020 LCAP phase involving 34 listed companies in China’s agriculture and food sectors. Further, we analyzed data from 410 rice farmers in Hubei, Zhejiang, and Shanghai, assessing the LCAP’s effects on their income. Results reveal that companies in LCAP cities decrease their environmental spending by 0.91 points (1% significance). On the farming front, non-participation leads to a potential 28-thousand-yuan income reduction. Organic fertilizers, compost, and recycling cultivation waste prove impactful, promoting income and ecological sustainability. However, the effectiveness of high-cost, long-payback energy-saving machinery subsidies appears limited under current implementation conditions. These findings suggest a potential misalignment between policy design and implementation outcomes, highlighting the challenges associated with non-mandatory environmental policies such as the LCAP in achieving their intended objectives.
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spelling doaj-art-a210d45817af48f8bbf08e2dc146a1352025-08-20T02:56:08ZengFrontiers Media S.A.Frontiers in Environmental Science2296-665X2025-05-011310.3389/fenvs.2025.15817521581752Efficacy of China’s low-carbon agricultural pilot policy: a company-farmer analysis from the middle and lower yangtze river basin, ChinaLei Jia0Yuan Meng1Hanzhong Liang2Institute of Information of Agricultural Science and Technology, Shanghai Academy of Agricultural Sciences, Shanghai, ChinaNakatsugawa Works, Mitsubishi Electric Corporation, Gifu, JapanKirin Central Research Institute, Kirin Holdings Company, Ltd., Fujisawa-shi, Kanagawa, JapanChina’s central government introduced the low-carbon agricultural pilot (LCAP) policy to curb carbon emissions and foster sustainable growth. While most research has centered on macro-level impacts (provinces and cities), this study uniquely examines the LCAP policy’s influence on agricultural companies’ environmental expenditures and farmers’ net income. Given the LCAP’s weak-constraining nature, its effectiveness at the company and farmer level remains intriguing. We apply the Propensity Score Matching–Difference in Differences (PSM-DID) method, which excels in mitigating sample selection bias, focusing on the 2011–2020 LCAP phase involving 34 listed companies in China’s agriculture and food sectors. Further, we analyzed data from 410 rice farmers in Hubei, Zhejiang, and Shanghai, assessing the LCAP’s effects on their income. Results reveal that companies in LCAP cities decrease their environmental spending by 0.91 points (1% significance). On the farming front, non-participation leads to a potential 28-thousand-yuan income reduction. Organic fertilizers, compost, and recycling cultivation waste prove impactful, promoting income and ecological sustainability. However, the effectiveness of high-cost, long-payback energy-saving machinery subsidies appears limited under current implementation conditions. These findings suggest a potential misalignment between policy design and implementation outcomes, highlighting the challenges associated with non-mandatory environmental policies such as the LCAP in achieving their intended objectives.https://www.frontiersin.org/articles/10.3389/fenvs.2025.1581752/fulllow-carbon agricultural pilot policyenvironmental expendituresfarmers’ net incomepropensity score matching -difference in differencesChina’s agriculture and food industriespolicy-implementation gap
spellingShingle Lei Jia
Yuan Meng
Hanzhong Liang
Efficacy of China’s low-carbon agricultural pilot policy: a company-farmer analysis from the middle and lower yangtze river basin, China
Frontiers in Environmental Science
low-carbon agricultural pilot policy
environmental expenditures
farmers’ net income
propensity score matching -difference in differences
China’s agriculture and food industries
policy-implementation gap
title Efficacy of China’s low-carbon agricultural pilot policy: a company-farmer analysis from the middle and lower yangtze river basin, China
title_full Efficacy of China’s low-carbon agricultural pilot policy: a company-farmer analysis from the middle and lower yangtze river basin, China
title_fullStr Efficacy of China’s low-carbon agricultural pilot policy: a company-farmer analysis from the middle and lower yangtze river basin, China
title_full_unstemmed Efficacy of China’s low-carbon agricultural pilot policy: a company-farmer analysis from the middle and lower yangtze river basin, China
title_short Efficacy of China’s low-carbon agricultural pilot policy: a company-farmer analysis from the middle and lower yangtze river basin, China
title_sort efficacy of china s low carbon agricultural pilot policy a company farmer analysis from the middle and lower yangtze river basin china
topic low-carbon agricultural pilot policy
environmental expenditures
farmers’ net income
propensity score matching -difference in differences
China’s agriculture and food industries
policy-implementation gap
url https://www.frontiersin.org/articles/10.3389/fenvs.2025.1581752/full
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AT hanzhongliang efficacyofchinaslowcarbonagriculturalpilotpolicyacompanyfarmeranalysisfromthemiddleandloweryangtzeriverbasinchina