Abstract

Technology improvement related to energy conservation and energy mix low-carbonization is a critical approach for tackling global warming in China. Therefore, we attempt to identify the technology factors of China’s energy consumption change between 2007 and 2012, when China’s economy started slowing. This study proposes a new refined structural decomposition analysis (SDA) based on a hybrid multi-regional input–output (MRIO) model. The technology factors are expressed through the energy input level effect, energy composition effect, and non-energy input effect. We find that the energy level effect was the primary driver for energy reduction, saving 1205 million tonnes of standard coal equivalent (Mtce) of energy, while 520 Mtce was offset by energy composition and non-energy input effects. The sector analysis shows that the energy input level, energy composition, and non-energy input effects of electricity, the chemical industry, and metallurgy are noteworthy. In addition, the sector contribution to energy-use change, by province, related to the three effects, is also studied. From these results, we propose policy suggestions for further energy saving, in order to achieve China’s energy target through technology improvements by the higher priority contributors identified.

Highlights

  • Fossil energy consumption is one of the main reasons for global warming [1,2]

  • In doing the hybrid analysis, we focus on the primary fossil energy consumed in China

  • The total primary fossil energy consumed in China increased by 61%, from 2682 million tonnes of standard coal equivalent (Mtce) in 2007, to 4319 Mtce in 2012

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Summary

Introduction

Fossil energy consumption is one of the main reasons for global warming [1,2]. As a major greenhouse gas (GHG) emitter, China aims to keep energy consumption within six billion tonnes of standard coal equivalent by 2030 for GHG abatement. It has been announced that the commitment to the Paris Agreement of each country is not enough to achieve the 1.5 degree Celsius goal [4], which undoubtedly poses additional challenges to national climate policy. It is important to quantify the driving factors related to energy saving and energy mix low-carbonization in order to shed light on the achievement of the pursuit of a higher GHG reduction. The provincial contributions to the energy saving and energy mix change are worth estimating, for a policy tailored to each province

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