Inequalities in Regional Level Domestic CO2 Emissions and Energy Use: A Case Study of Iran

Abstract

An increasing amount of CO2 emissions from the household sector of Iran led us to analyze the inequality and understand the possible driving force behind the CO2 emissions. The study of inequality provides information to policy-makers to point policies in the right direction. By considering the differences in the socio-economic factors of provinces, the study aims to analyze the inequality in CO2 emissions and different kinds of energy consumption, including oil, gas and electricity, for the household sector of Iran’s provinces between 2000 and 2017. For this aim, the Theil index and Kaya factor, as a simple and common method, were considered to evaluate the inequality in both CO2 emissions and energy consumption, and determine the driving factor behind CO2 emissions. According to the results, inequality in oil and natural gas consumption were increasing, electricity was almost constant; however, CO2 emissions experienced a decreasing trend for the study period. The Theil index changed from 0.4 to 0.65 for oil, from 0.18 to 0.22 for natural gas, from 0.17 to 0.15 for electricity, and from 0.2 to 0.14 for CO2 emissions between 2001 and 2017. In addition, the results of the inequality study indicated that most of the inequalities belong to within-group inequalities in energy consumption and CO2 emissions. The results of the Kaya factor indicate that the second factor, energy efficiency, with a 0.21 value was the main driving factor of inequalities in CO2 emissions; however, the first factor, energy consumption, can be a potential factor for inequality in the following years, as it increased from 0.00 to 0.11 between 2001 and 2017. It seems that by removing the energy subsidy policy in 2010 and 2013, low-standard and energy-wasting old vehicles were the most effective factors of energy inefficiency in the household sector, which need more accurate policy-making.