Research On Carbon Asset Pledge Financing Model Based On Carbon Allowances

With the increasingly severe environmental issues and the growing problem of climate change caused by greenhouse gas emissions,China has gradually explored the establishment of its own carbon emissions trading market by drawing on international carbon trading experiences.At the end of 2017,the national unified carbon emissions trading market was officially launched,and the carbon asset collateral financing model was one of the products of the carbon emissions trading market.As the main product of the carbon emissions trading market,carbon assets have ideal financing application conditions due to their value,price,and property rights attributes,opening up a new path for enterprise financing by converting their stock assets into flow assets.As a new financing model,it better utilizes the carbon assets held by enterprises,improves the utilization efficiency of assets,and broadens the financing channels for enterprises.This article uses literature research,case study,event study,entropy method,etc.to analyze the motives,strategies,and effects of Hubei Yihua’s implementation of the carbon asset collateral financing model,aiming to provide reference for other enterprises.Through this study,it is helpful for Chinese enterprises to pay attention to carbon assets,expand financing channels,enhance their ability to resist risks,and create value for enterprises.This study focuses on Hubei Yihua,a leading enterprise in the field of carbon asset pledge financing,and analyzes its implementation of the carbon asset pledge financing model based on carbon finance theory,property rights theory,capital structure theory,and self-liquidating trade finance theory.In the background analysis,it is argued that carbon asset pledge financing has become an inevitable trend in the low-carbon economy,and based on this,the research purpose and significance are introduced.The literature of domestic and foreign scholars is reviewed to summarize the innovative points and feasibility of this study.Firstly,on the basis of introducing the situation of Hubei Yihua itself,the study analyzes its financing process in detail,including the pre-stage foundation,program overview,and implementation process,as well as the results after adopting this financing model,which lays the foundation for the subsequent research.Secondly,the study analyzes the reasons for Hubei Yihua’s adoption of the carbon asset pledge financing model for financing,namely to ease the financial difficulties of the enterprise,broaden existing financing methods,and reduce financing costs.Based on this,the study analyzes the strategy of Hubei Yihua’s implementation of this pledge financing model,which involves obtaining carbon assets through energy conservation and emission reduction,improving the risk management mechanism of carbon asset financing,and choosing appropriate carbon asset pledge financing methods.In addition,the short-term market response and financing efficiency of Hubei Yihua’s implementation of the carbon asset pledge financing model for financing are evaluated based on event study and entropy methods.The analysis shows that Hubei Yihua’s short-term market response improved after implementing carbon asset pledge financing,and the enterprise’s risk resistance ability,fund utilization efficiency,and financing efficiency all improved,with the most significant effect being the enhancement of risk resistance ability.Finally,the study draws inspiration and suggestions from the case of Hubei Yihua.The study attempts to summarize the reasons,strategies,and effects of enterprises adopting the carbon asset pledge model through the case of Hubei Yihua,providing reference and suggestions for future practices of carbon asset pledge financing by other enterprises.