Government audit digitalization and corporate energy efficiency for climate mitigation

This study examines the role of government audit digitalization as a climate mitigation strategy by assessing its impact on corporate energy efficiency. Using China's “Golden Audit Project (Phase III)” as a quasi-natural experiment, we employ a staggered difference-in-differences framework to analyze data from 3645 A-share listed companies between 2015 and 2023. The results show that audit digitalization significantly improves corporate energy efficiency through enhanced information transparency, optimized resource allocation, and increased green innovation. The effects are stronger among state-owned enterprises, firms in less-polluting industries, and those operating in competitive markets. These findings underscore the potential of digital governance reforms to strengthen energy efficiency and support climate mitigation efforts in both urban and corporate contexts.