External regulatory and normative pressures from both the Chinese central environmental protection inspection (CEPI) program and public participation can act together to influence corporate environmental governance behavior. This research uses the multiperiod Difference-In-Differences method to test the compound impact of CEPI and public participation on corporate environmental governance strategies and investigate the underlying influence mechanisms. The results show that CEPI and public participation have a positive compound effect on the corporate “source-control” strategy. A reasonable reduction in pollution charges and increased environmental subsidies are essential to stimulate the green innovation potential of heavily polluting firms. Our research helps clarify the game relationship between the central and the local governments and analyzes how the relationship between the government, the public, and corporates affects environmental governance, thereby advancing principal-agent theory and expanding the current research on institutional pressures and corporate environmental governance.

As China pursues its dual carbon goals—peaking carbon emissions by 2030 and achieving carbon neutrality by 2060, the energy sector is central to the country’s climate strategy. This study investigates the impact of Environmental, Social, and Governance (ESG) performance on firm value in China’s energy sector, an industry critical to national carbon emissions and energy consumption. Using a panel dataset of 20,225 firm-year observations from A-share listed firms between 2016 and 2023, we apply regression models to assess how ESG performance affects firm value, with controls for industry characteristics and policy effects. The results show that ESG performance significantly enhances firm value, especially among non-state-owned firms and those in high-pollution industries. ESG performance also facilitates access to green bond financing, providing firms with enhanced capital for green investments, thereby boosting market value. Furthermore, we find that firms in regions with higher green development attention benefit more from ESG practices, with local carbon trading policies playing a key role in improving firm competitiveness and market performance. This study provides critical insights into how ESG strategies and carbon governance policies influence firm performance in the energy sector. The findings offer practical implications for policymakers aiming to support low-carbon industrial transformation and for firms seeking to integrate sustainability into their long-term strategic planning. These insights are crucial for driving the successful implementation of China’s dual carbon strategy.

As global efforts accelerate towards low-carbon transportation, power batteries from new energy vehicles (NEVs) have become critical resources, presenting both opportunities and environmental challenges. These batteries contain significant quantities of critical metals—such as nickel, cobalt, and lithium—that are crucial for the energy transition but face substantial supply risks. Megacities like Shanghai, leaders in NEV adoption, increasingly serve as significant reservoirs of these valuable materials. Maximizing the recovery of these metals from retired NEV batteries is therefore essential for enhancing resource security, minimizing environmental impacts, and promoting urban sustainability. This study employs a dynamic material flow model to estimate the demand and retirement volumes of critical metals in NEV power batteries in Shanghai from 2014 to 2050. Rather than assessing specific recycling technologies, this research evaluates the broader strategic, environmental, and economic benefits of recycling. Key findings include the following: (1) Annual peak demand for critical metals will range from approximately 0.3 to 34 thousand tons, with domestic cobalt production expected to be inadequate beyond 2029 under high-intensity adoption scenarios. (2) By 2050, the volume of discarded critical metals will surpass the demand for newly mined resources, reaching annual volumes of up to 29 thousand tons. The cumulative recoverable quantities from 2014 to 2050 are projected to range between 0.7 and 227 thousand tons for nickel, 2 and 43 thousand tons for cobalt, and 0.6 and 24 thousand tons for lithium. (3) Recycling these critical metals significantly reduces dependency on primary extraction, lowers greenhouse gas emissions, prevents secondary pollution, and ensures economic sustainability. The study concludes with targeted policy recommendations to facilitate efficient and large-scale recovery of critical metals from NEV batteries in Shanghai. Harnessing this urban resource stream can reinforce China’s strategic metal supply chain and support the city’s sustainable, circular, and low-carbon development goals.