THE IMPACT OF CHINA'S CARBON PLEDGE ON THE COUNTRY'S HYDROPOWER PRODUCTION: EVIDENCE FROM THE STOCK MARKET.

This article examines the impact of China's "dual carbon" climate goals—aiming to peak carbon emissions by 2030 and achieve carbon neutrality by 2060—on the country's hydropower industry. Focusing on eight Chinese hydropower companies listed on the stock market, the study employs the Quandt–Andrews test to identify structural breaks in their stock price data from 2020 to 2022. The results reveal statistically significant structural changes in stock performance occurring shortly after the government's formal announcement of the climate goals, suggesting a substantial influence of these policies on the hydropower sector. Given China's reliance on coal and its large hydropower reserves, the findings highlight hydropower's critical role in the nation's transition to a low-carbon energy system.