Abstract
ABSTRACTThis paper analyzed the energy consumption and CO2 emission from 18 industrial sectors, and also evaluated the direct and indirect energy consumption and CO2 emission of changes in the final demand of South Africa’s (SA) economy. To accomplish this goal, the input-output linkage and multiplier methods have been applied to investigate the interconnectedness of the 18 sectors’ input-output tables for the years 1995, 2000, 2005, 2010 and 2012, and to measure their total impact of energy commodity input coefficients and CO2 emissions output coefficients for the year 2012. Results revealed that the electricity sector has a weak linkage with others sectors, which means it is mostly independent of other sectors. In another words, it does not induce and enable economic growth. Moreover, two sectors, such as Chemical and Petrochemical Industries and Basic Metals, were found as key sectors in SA’s economy in 1995, 2000 and 2012. In 2005 and 2010, only Chemical and Petrochemical Industries was the most important sector in SA. Additionally, Commercial and Public Services was the strongest forward linkage sector in SA. Our findings also showed that the electricity sector was the main direct monetary energy consumer and CO2 emitter, and therefore the most dominant source in terms of energy and CO2 intensities among all the 18 sectors in SA. Furthermore, our investigation of the direct and indirect effects on energy consumption and CO2 emissions indicated that both total of direct energy consumption and CO2 emissions were higher than both total indirect energy consumption and CO2 emissions. Finally, some potential suggestions on reducing the energy consumption and CO2 emissions deduced from this study are discussed.
Highlights
Energy plays a critical role in facilitating development in a country
Results revealed that the electricity sector has a weak linkage with others sectors, which means it is mostly independent of other sectors
The purpose of this study is to examine the interconnectedness of the electricity generation sectors for 18 sectors of South Africa (SA) based upon input-output tables for the years 1995, 2000, 2005, 2010 and 2012, and to measure their total impact of energy commodity input coefficients and CO2 emissions output coefficients for the year 2012
Summary
Energy plays a critical role in facilitating development in a country. Electricity is a form of energy which is essential in our daily life and is commercialized in other industry sectors. South Africa’s industrial sector represented almost 30% of its gross domestic product (GDP, constant 2010) in 2014 (World Bank, 2017). South Africa is the most developed and industrialized country in Africa. Its economy relies heavily on its energy sector, which is dominated by a huge supply of coal. Coal combustion is generally more carbonintensive than the burning of natural gas or petroleum for electricity. During the period 1990–2014, SA’ s GDP, energy consumption and CO2 emissions increased as shown on Fig. 1. The GDP rose to 412.10 billion USD from 223.04 billion USD, with an average annual growth of 2.61%
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