The nexus of poverty energy in China's industrial productive efficiency and energy transition in digital economy

Abstract

This research explores the relationship between energy poverty, industrial efficiency, and the energy transition within China's digital economy from 2010 to 2022, spanning 30 provinces. Addressing the significant issue of energy poverty, where many lack access to affordable and reliable energy, the study seeks to understand its impact on industrial productivity and the broader imperative of energy transition in the face of rapid digitalization in China. Using panel data analysis, the research examines how energy poverty affects industrial production efficiency and evaluates its influence on China's ability to shift to cleaner energy sources within the digital economic framework. Findings highlight a complex interplay between energy poverty, industrial efficiency, and energy transition. It is revealed that energy poverty significantly impedes industrial productivity, with notable differences across provinces. Furthermore, the study finds a positive link between industrial efficiency and the speed of energy transition, indicating that enhancing industrial efficiency can aid in a smoother shift to cleaner energy sources. The digital economy is identified as a crucial factor in this process, providing innovative solutions to reduce energy poverty, improve productive efficiency, and accelerate the energy transition. The study emphasizes the importance of integrated strategies to tackle energy poverty, enhance industrial efficiency, and support the energy transition, particularly through the utilization of digital economy tools.