A Study on the Relationship between ESG Evaluation and Corporate Value of Companies Allocated in the Emissions Trading Scheme

This research analyzed the impact of Korea's carbon emission trading system, a policy tool for net-zero carbon emissions, on corporate value. We selected 214 listed companies from 2011 to 2022, assigned to the management period and the 1-3 planning periods of the emission trading system, as samples. Using financial data and ESG ratings, we empirically analyzed their impact on corporate value, but found no significant effect from each planning period of the emission trading system. However, we found a positive correlation between high ESG ratings and increased corporate value, suggesting that the impact on corporate value may vary depending on the planning period and further research is needed. In a simplified form, the study analyzed the impact of the carbon emission trading system on corporate value and found that companies with higher ESG ratings tended to have increased value. However, the impact of each planning period of the trading system on corporate value was unclear, indicating that the effects may vary by planning period and further research is necessary.