The Game Strategies of Energy-Intensive Enterprises' Participation in the National Carbon Emission Trading Market Considering Regional Characteristics

Abstract

Against the backdrop of China's "carbon peaking and carbon neutrality" goal, carbon emissions trading is crucial for regional carbon reduction. The purpose of this study is to analyze the strategic choices of local governments and energy - intensive enterprises in the national carbon emission trading market (ETM). An evolutionary game model is con-structed, with the Kaya identity extended and incorporated to account for regional characteristics. Based on China's regional economic development and ETM operation, parameter values are set and numerical simulation is used. The results show that the participation of energy-intensive enterprises and policy-making of local governments are influenced by multiple factors. It concludes that this model can offer insights for promoting the entry of energy - intensive enterprises into the national ETM and there are directions for further research.