In recent years, global efforts to address climate change and environmental degradation have placed increasing emphasis on the sustainable management of energy resources. A significant development in this realm is the implementation of national new areas—specialized urban zones designed to act as hubs for innovation, economic growth, and sustainable development. A new empirical study sheds light on the pivotal role these advanced policy zones play in enhancing green total-factor energy efficiency (GTFEE) within their host cities, offering key insights into the mechanisms and regional variability of their impact.
The research employs a sophisticated gradual difference-in-differences methodological framework that enables a nuanced analysis of the temporal evolution and causality associated with establishing national new areas across various Chinese cities. The findings reveal a substantial 6.58% improvement in GTFEE linked to the construction of these zones, demonstrating that the benefits extend for at least six years, with peak effects observed in the sixth year post-establishment. This longevity underscores the enduring influence of national new areas as catalysts for green and low-carbon transitions in urban energy systems.
Delving deeper into the dynamics behind this energy efficiency enhancement, the study distinguishes two primary pathways: technological effects and structural effects. Notably, structural change emerges as the dominant driver, accounting for approximately 26.46% of the improvement in energy efficiency. This suggests that shifts in industrial composition, such as the increased share of the tertiary sector and the advancement of strategic emerging industries, are critical for optimizing energy utilization. Technological innovation, while contributing a smaller portion of 2.5%, remains a vital component by fostering advancements in energy-saving technologies and promoting more efficient industrial practices.
The spatial heterogeneity in the policy’s effectiveness is striking. National new areas situated in eastern China—characterized by a more advanced economic landscape and superior technological infrastructure—exhibit significantly stronger GTFEE gains compared to their counterparts in central, western, and northeastern regions. Similarly, cities in the northern zone outperform southern ones in terms of energy efficiency improvements. This geographic disparity highlights the interplay between pre-existing economic and technological capabilities and the successful implementation of green energy policies.
Moreover, the configuration of these national new areas matters profoundly. The research highlights that single-city layout new districts outperform dual-city layouts in enhancing energy efficiency. These findings suggest that centralized urban planning and resource consolidation within a single city can create more favorable conditions for fostering innovation and structural economic transformation, leading to better environmental outcomes.
Capitalizing on these findings, the study offers nuanced policy implications. Foremost among them is the need for a refined spatial strategy in deploying national new areas, expanding pilot projects to adjacent regions to catalyze spillover effects in energy efficiency. Recognizing the current spatial concentration of these zones, the authors recommend prioritizing applications for new areas in core metropolitan hubs such as Wuhan, Zhengzhou, and Hefei. Such strategic targeting could leverage urban agglomeration benefits and accelerate regional green transitions.
Given the centrality of technological progress and structural transformation in driving GTFEE gains, policy frameworks must emphasize strengthening innovation ecosystems. This entails increasing research and development investment, cultivating talent pools specialized in energy technology, and fostering a robust institutional environment that incentivizes sustainable technological breakthroughs. Alongside this is the imperative to actively promote industrial upgrading, particularly by expanding the scope of producer services and emerging sectors within the tertiary industry—a crucial lever in decoding the complex nexus between economic development and environmental sustainability.
The study’s recognition of regional heterogeneity in GTFEE improvements necessitates a differentiated approach to policy design. Advanced economies like those in eastern China possess distinct capacities and constraints compared to less developed central and western zones. Tailoring technological strategies and industrial policy pathways to these regional realities can enhance outcomes, ensuring that innovations are both contextually relevant and impactful.
Intriguingly, the research advocates for cross-learning and knowledge transfer between different new area layouts. Successful elements from high-performing single-city national new areas, especially those related to talent inflow, institutional innovation, and energy technology advancement, could be adapted and implemented in dual-city layouts to elevate their green energy efficiency.
While the analysis presents robust macro-level insights, it acknowledges its limitations and paves the way for future inquiry. Current findings derive from city-level datasets; hence, micro-level investigations incorporating firm-level data could elucidate the mechanisms through which individual enterprises contribute to city-wide GTFEE improvements. Such granular understanding would inform more targeted interventions tailored to industry-specific dynamics.
Institutional innovation is identified as a key yet underexplored mediator in the energy efficiency equation. The study calls for the development of quantitative indicators to capture institutional innovation—through textual quantification and other advanced methodologies—to thoroughly assess how governance structures and policy experiments influence the green energy trajectories of national new areas.
This research marks a critical step toward unraveling the complex, multidimensional impacts of advanced policy zones on sustainable urban energy systems. By integrating empirical rigor with practical policy insights, it offers a blueprint for harmonizing economic growth with environmental stewardship—a challenge at the heart of contemporary urban development worldwide.
The demonstrated long-term and regionally differentiated benefits of national new areas underscore their potential as instruments for accelerating China’s—and potentially other countries’—transition toward low-carbon, energy-efficient urban economies. Policymakers are urged to leverage these findings in refining spatial planning, supporting technological innovation, and fostering structural economic upgrading as synergistic pathways to green energy futures.
In this era of urgent climate action, the lessons drawn from China’s national new areas could serve as a global reference, evidencing how purposeful urban policy design can catalyze transformative changes in energy utilization. The study’s innovative methodological approach further enriches the empirical landscape, providing a valuable template for assessing the sustainability impacts of policy interventions across different contexts.
By bridging the gap between macro-level urban development and environmental efficiency, this study advances the discourse on sustainable urbanization, offering a scientifically grounded and policy-relevant perspective that may inspire similar initiatives around the world. As global cities grapple with the dual challenges of growth and sustainability, the role of advanced policy zones as engines of green energy efficiency remains an area ripe for continued exploration and strategic innovation.
Subject of Research: The impact of national new areas on green total-factor energy efficiency (GTFEE) in Chinese cities.
Article Title: Does green total-factor energy efficiency benefit from advanced policy zones? Evidence from national new areas in China.
Article References:
Peng, T., Tang, J., Wang, L. et al. Does green total-factor energy efficiency benefit from advanced policy zones? Evidence from national new areas in China. Humanit Soc Sci Commun 12, 1825 (2025). https://doi.org/10.1057/s41599-025-06107-w
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