Abstract

The United Nations’ Sustainable Development Goal (SDG) number seven expressly calls for universal access to affordable and sustainable energy. Energy sustainability will require a reduction in energy consumption, including embedded energy consumption in sectoral demand and supply chains. However, few studies have estimated the amount of coal, petroleum, and gas (fossil fuel) embedded in demand-and-supply chains (FFEDS). Furthermore, the inter-and intra-sectoral energy linkages are understudied. This study quantifies China’s FFEDS, the world’s largest energy consumer. According to the findings, the highest levels of coal, natural gas, and petroleum consumption (CNGPC) are embedded in the construction sector’s input demand. “Electricity and steam production and supply” total intermediate exports (internal plus inter-sectoral) stimulated the highest coal consumption. “Crude petroleum products and natural gas products” and “railway freight transport” aggregate supplies induced the highest volume of natural gas and petroleum consumption. Compared to intra-sectoral demand, inter-sectoral demand stimulated significantly larger CNGPCs. In contrast, CNGPC’s inter- and inter-sectoral supplies were nearly identical. Modifying current carbon taxation and credit mechanisms to include energy embedded in demand and supply can help to achieve SDG 7.

Highlights

  • Coal, petroleum, and natural gas have fueled economies for nearly150 years and provide more than 80% of the world’s energy [1]

  • “Crude petroleum products and natural gas products” and “railway freight transport” aggregate supplies induced the highest volume of natural gas and petroleum consumption

  • Petroleum accounted for approximately 39% of global energy consumption in 2014; coal accounted for 28%; natural gas accounted for 22% [2]

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Summary

Introduction

Petroleum, and natural gas (fossil fuels) have fueled economies for nearly. 150 years and provide more than 80% of the world’s energy [1]. Petroleum accounted for approximately 39% of global energy consumption in 2014; coal accounted for 28%; natural gas accounted for 22% [2]. The share of fossil fuels remained stable in 2019, with petroleum accounting for nearly 33.1%, coal accounting for 27%, and gas accounting for 24.3%, accounting for almost 84.4% of total global energy consumption [3]. COVID-19 compelled a large number of countries to cut their energy consumption. The world’s largest energy consumer (24% in 2020), was the only country that recovered quickly from the crisis [4]. In 2020, the country’s energy consumption had increased by

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