Comprehensive Evaluation of Energy Intensity Change for 1997- 2012 Based on Input-output Analysis: Evidence from Beijing

Abstract

As the capital of China, Beijing is regarded as a major metropolis in the world. Study of the variation in temporal energy intensity generated by the driving forces in Beijing can provide guidance for policy decisions on energy consumption in global metropolises. In this paper, we established Beijing energy-input-output tables from 1997 to 2012 in 2002 constant price. Based on the tables we use the structural decomposition analysis (SDA) to decompose energy intensity into five determining factors: Energy input coefficient, technology coefficient (Leontief inverse coefficient), final demands structure by product, final demands by category and final energy consumption coefficient. The results show that (1) During 1997 and 2012, Beijing energy intensity had continued to decline, and the energy input coefficient and final demands by category are the main factor help to decrease the energy intensity. (2) Energy input coefficient plays a vitally important role to energy intensity decrease, which may be due to the increase of the proportion of the tertiary industry. (3) The change of final demands structure by product is a driving force to make energy intensity rising except for 2002-2007, and technology coefficient (Leontief inverse) has impact on energy intensity increase except for 2007-2012. (4) The effect of final energy consumption coefficient is gradually weakened role on energy intensity. This study showed how the “top-down” IO-SDA methodology was implemented on a city scale. Policy implications from this study would be helpful for addressing energy consumption in global capital cities and metropolises.