We　examine　the　energy　transition　effect　of　Shanghai　crude　oil　futures　(SC).　Using　Chinese　renewable　energy　firmlevel　data　between　2014q1　and　2021q3,　we　show　that　SC　can　alleviate　the　inhibitory　effect　of　global　oil　price　fluctuations　on　energy　transition.　We　further　explore　three　potential　underlying　mechanisms　through　which　the　energy　transition　effect　of　SC:　reducing　the　impact　of　global　oil　price　volatility　on　firms＇　business　risk,　financialized　investment,　and　debt　cost.　We　find　the　energy　transition　effect　of　SC　is　more　pronounced　in　samples　with　low-risk　resistance.　Our　paper　sheds　new　light　on　the　real　effects　of　SC　on　energy　transition.