Policy Effects of Green Bond Issuance by the Three Gorges Group: From the Perspective of Financing Constraints

Abstract

Green bonds have emerged as a pivotal tool in the global transition to sustainable development, bridging the financing gap for low-carbon projects while aligning corporate strategies with environmental goals. This paper takes the Three Gorges Group (TGG)—a leading Chinese energy enterprise—as a single case study to explore the policy effects of its green bond issuance (2019–2021) from the perspective of financing constraints. By integrating case analysis, quantitative data verification, and literature review, this study dissects the multi-dimensional impacts of green bonds on TGG’s information disclosure, internal control, corporate governance, and capital structure, and reveals the mechanism through which green bonds alleviate financing constraints for large energy firms. The findings show that TGG’s green bond issuance not only reduced its financing costs (with coupon rates 2.50%–4.40%, lower than conventional bonds of similar rating) but also enhanced its environmental reputation and governance efficiency. This research enriches the microlevel empirical evidence of green bond policy effects and provides practical references for enterprises to leverage green financial tools to mitigate financing constraints.