Research On The Impact Of Financial Capital Deepening On Energy Transition

Since the reform and opening up,China’s GDP growth has averaged nearly 10%annually,and its energy production and consumption have increased substantially.Now China has become the largest energy consumer in the world.The report of the Nineteenth National Congress once again mentioned that "we should strengthen energy and environmental protection industry,clean production industry,clean energy industry,promote energy production and consumption revolution,and build a clean,low-carbon,safe and efficient energy system".Therefore,energy transformation is urgent.As the core of the economy,finance has the functions of financing and resource allocation.China’s energy transformation development needs a lot of financial capital support.However,a large amount of financial capital support may bring cost burden to power utilities and individuals,which will have a certain threshold effect on economic growth.Therefore,the impact of financial capital deepening on energy transformation has become a problem worthy of study and attention.This paper is divided into five parts: the first part is literature review,which systematically combs the domestic and foreign literature on the theory and empirical methods of financial capital and energy transformation,which is the literature basis of this paper;the second part is related theory discussion,which defines the basic concepts of financial capital,financial capital deepening,energy transformation,and analyzes the path of financial capital deepening affecting energy transformation.The third part is the analysis of the actual situation of financial capital deepening and energy transformation in China;the fourth part is the empirical analysis,taking the provincial panel data from 2006 to 2016 as the sample,measuring the level of financial capital deepening from the two dimensions of bank capital deepening and securities capital deepening,and empirically testing the effect of financial capital deepening on energy transformation.Influence.In the fifth part,based on the conclusions of the study,some policy suggestions are put forward in order to promote energy transformation.The conclusions of this paper are as follows: Firstly,financial capital is to achieve energy transformation by acting on new energy enterprises and new energy projects.It mainly relies on direct financial capital and indirect financial capital tosolve the financing constraints of new energy enterprises and new energy projects.Secondly,the deepening of financial capital affects energy transformation by giving full play to the leading role of market mechanism,the guidance and regulation role of government mechanism,and the supplementary role of social mechanism,all of which are indispensable.Thirdly,China’s financial support system still needs to be improved,and there are bottlenecks in energy transformation technology.Fourth,on the whole,the deepening of financial capital in China has a more obvious impact on energy transformation.The deepening of financial capital has a significant positive effect on the production of oil and new energy,and a significant negative effect on coal and natural gas.Moreover,the deepening of financial capital lags behind the energy transformation.The innovations of this paper are as follows: Firstly,the theoretical analysis of the impact of financial capital deepening on energy transformation is carried out from the perspectives of direct financial capital deepening and indirect financial capital deepening,market mechanism,government mechanism and social mechanism.Compared with previous studies,this paper is more detailed and comprehensive in theoretical analysis and innovative in research content.Secondly,considering the endogenous nature of the model,this paper uses static panel and dynamic panel for the first time to process the data of 30 provinces from 2006 to 2016 to study the impact of financial capital deepening on energy transformation.There are some innovations in research methods.