Policy Coordination for Sustainable Development: Evidence From Low‐Carbon Energy Transitions

Abstract

China's low‐carbon transition depends not only on policy adoption, but also on how distinct instruments govern industrial behavior. Using panel data for 30 provinces from 2004 to 2023, this study examines whether the formal provincial adoption of circular economy, energy conservation, and comprehensive resource utilization policies is associated with lower CO 2 emissions. The analysis combines two‐way fixed effects with FMOLS, DOLS, and KRLS robustness checks. It also distinguishes the policy logics embedded in the Circular Economy Promotion Law, the Energy Conservation Law, and resource‐utilization regulations. Results show that formal adoption of all three policy domains is associated with lower emissions, with circular economy policy showing the strongest association. Its broader impact stems from material‐flow restructuring, industrial symbiosis, and waste reduction. The policy indicators capture institutional entry rather than implementation intensity. Energy conservation works mainly through standards and compliance pressure, while resource utilization operates through recovery incentives and input substitution. The findings show that SDG 7, SDG 12, and SDG 13 require coordinated and region‐sensitive policy design.