Abstract
Guizhou Province has abundant forest resources, and it has great economic value and social benefits to explore the practical path of forestry carbon sequestration. Based on the current situation of forestry carbon sequestration development in Guizhou Province, this paper innovatively integrates forestry carbon sequestration indicators into the existing Environmental, Social and Governance(ESG) evaluation system using an evolutionary game model. It analyzes the factors restricting forestry carbon sequestration and explores the influencing factors of forestry carbon sequestration benefit sharing bodies in Guizhou. Through regression analysis, the paper discusses the impact of enterprise ESG scores, government subsidy amounts, and forestry carbon sequestration costs on forestry carbon sequestration purchase volume. The research results show that enterprise ESG scores and government subsidy amounts have a significant positive impact on enterprise forestry carbon sequestration purchase volume, while forestry carbon sequestration costs have a significant negative impact. The results have passed the robustness test in different industries. The simulation analysis results show that the stable point of the evolutionary game is (1,0,1) and (1,1,0), which verifies that the ESG rating system with forestry carbon sequestration integration can promote enterprises to purchase more forestry carbon sequestration, i.e., the effectiveness of forestry carbon sequestration in activating the ESG rating system mechanism. Based on the research conclusions, the paper puts forward policy implications: the government should accelerate the construction of localized ESG rating systems, improve enterprise information disclosure and supervision, increase subsidies and reduce forestry carbon sequestration costs, and optimize carbon quota design.