Performance linkage in renewable energy supply chain: A comparative analysis with coal power and the entire industry

Establishing an efficient renewable energy supply chain is crucial for mitigating climate change, contingent upon policy influence and market complementarity. Accordingly, this study 1) Draws on the characteristics of "market mechanism" and "price regulation" within China's renewable energy industry to compare the supply chain with the entire industry and the coal power industry, laying the groundwork for an analytical framework to assess performance linkage. 2) Examines the role of markets and policies in moderating performance linkage within the renewable energy supply chain based on cash flow inflow and final commodity pricing. Empirical findings indicate that: 1) China's renewable energy supply chain exhibits weaker market circulation mechanisms than the overall industry, but it has not yet shown zero-sum game characteristics akin to the coal power supply chain. 2) Cash flow inflow and final commodity pricing are identified as pivotal factors enabling China's renewable energy industry to circumvent zero-sum games while still lacking a robust positive cycle. This research aids policymakers in dynamically assessing market-based circulation levels within the renewable energy supply chain and facilitates quantifying price regulation and market funding roles in updating industrial policies.