Reducing carbon emissions by encouraging enterprises to cooperate in energy conservation: Allocating carbon emission quotas based on the double vortex model

Abstract

The allocation of carbon emission quotas plays a pivotal role in shaping the energy-saving behaviors of enterprises. However, existing methods on carbon emission quotas allocation often lack mechanisms to promote collaboration among enterprises or to link emission reductions with cooperative energy conservation efforts. This study proposed a novel double vortex model for allocating carbon emission quotas, aimed at fostering cooperation between enterprises and enhancing their energy-saving performance. The double vortex model groups enterprises with similar characteristics into collaborative vortexes, using economic incentives to drive collective carbon reduction. Unlike conventional models, this approach emphasizes cooperative corporate behavior, allowing for a dynamic evaluation of energy conservation and emission reduction efforts. The textile sector in Guangdong Province, China is selected as a case study to assess changes in carbon quotas before and after implementing the model. Results show that enterprises with lower emission intensity receive higher quota allocations, while those with higher emissions experience reductions, promoting energy-saving cooperation. This model addresses two key research gaps: optimizing carbon quota allocation through cooperative mechanisms and introducing government-backed economic incentives in carbon markets. By integrating cooperative game theory, the model adjusts quotas based on the performance of other enterprises, encouraging sustained, city-wide energy-saving improvements. The findings aid in the development of targeted strategies for improving energy conservation in enterprises and provide new insights for optimizing carbon quota allocation and the operation of national carbon markets.