Research on the Contribution of Structure Adjustment on Carbon Dioxide Emissions Reduction based on LMDI Method

Abstract

With the big challenge from global climate change and energy crisis, and having observed the relationship between structure adjustment with the change of carbon dioxide emissions intensity, the author wants to ascertain the effect of industry and energy structure adjustment on the reduction of carbon dioxide emissions at Shijingshan district in Beijing, where the project of removing Shougang group and the “coal to gas” have been taken place at “11th five-year plan” period. Based on the use of the long-mean Divasia Index Decomposition method (LMDI), the carbon dioxide emissions intensity is decomposed into the contribution from four components: industry structure effect, industrial energy intensity effect, energy structure effect and emission coefficient effect. It is found that the contribution of industry and energy structure effect into the decrease of carbon dioxide emissions intensity is 53.98% and 26.84%, respectively. The result shows that the relocation of Shougang group and the “coal to gas” engineering have a great influence on reducing carbon dioxide emissions, the contribution of structure adjustment is significant. The structure adjustment is still the major contributor on carbon dioxide emissions reduction in the future.