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The ICT/electronics question: Structural change and the rebound effect

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  • Galvin, Ray

Abstract

ICT and related electronic appliances consumed 4% of global electrical energy in 2007, growing to 4.7% in 2012, with projections of continued increase in coming decades. This is despite an average annual increase in energy efficiency of about 30% in ICT/electronics throughout the last 5 decades. Mainstream studies of energy-related rebound effects have yet to produce a conceptual framework that adequately encapsulates a unique feature of ICT/electronics: its tendency to induce changes in social practice and socio-technical structures. This study attempts to fill this gap. Surveying rebound effect literature, it builds on studies which explore ‘transformational’ change caused by energy efficiency increases. It identifies structural changes in business, education, the military and households caused by energy efficiency increases in ICT/electronics, which lead to a proliferation of ICT/electronic devices and consequently increased energy consumption. It shows the cause-and-effect logic between energy efficiency and energy consumption in ICT/electronics, and tentatively estimates rebound effects ranging between 115% and 161% in eight diverse empirical examples. The history of ICT/electronics shows that energy efficiency increases inevitably lead to increases in energy consumption, hence firm controls on CO2e emission allowances may offer the best hope of curbing energy consumption and CO2e emissions in this sector.

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  • Galvin, Ray, 2015. "The ICT/electronics question: Structural change and the rebound effect," Ecological Economics, Elsevier, vol. 120(C), pages 23-31.
    • Handle: RePEc:eee:ecolec:v:120:y:2015:i:c:p:23-31
    DOI: 10.1016/j.ecolecon.2015.08.020
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    2. Lei Fan & Yunyun Zhang & Meilin Jin & Qiang Ma & Jing Zhao, 2022. "Does New Digital Infrastructure Promote the Transformation of the Energy Structure? The Perspective of China’s Energy Industry Chain," Energies, MDPI, vol. 15(23), pages 1-18, November.
    3. Galvin, Ray, 2020. "Who co-opted our energy efficiency gains? A sociology of macro-level rebound effects and US car makers," Energy Policy, Elsevier, vol. 142(C).
    4. Lange, Steffen & Pohl, Johanna & Santarius, Tilman, 2020. "Digitalization and energy consumption. Does ICT reduce energy demand?," Ecological Economics, Elsevier, vol. 176(C).
    5. Sun, Hongye & Kim, Giseung, 2021. "The composite impact of ICT industry on lowering carbon intensity: From the perspective of regional heterogeneity," Technology in Society, Elsevier, vol. 66(C).
    6. Bakry, Walid & Nghiem, Xuan-Hoa & Farouk, Sherine & Vo, Xuan Vinh, 2023. "Does it hurt or help? Revisiting the effects of ICT on economic growth and energy consumption: A nonlinear panel ARDL approach," Economic Analysis and Policy, Elsevier, vol. 78(C), pages 597-617.
    7. Galvin, Ray & Sunikka-Blank, Minna, 2016. "Quantification of (p)rebound effects in retrofit policies – Why does it matter?," Energy, Elsevier, vol. 95(C), pages 415-424.
    8. Fouquet, Roger & Hippe, Ralph, 2022. "Twin transitions of decarbonisation and digitalisation: a historical perspective on energy and information in European economies," LSE Research Online Documents on Economics 115544, London School of Economics and Political Science, LSE Library.
    9. Ruzzenenti, Franco & Basosi, Riccardo, 2017. "Modelling the rebound effect with network theory: An insight into the European freight transport sector," Energy, Elsevier, vol. 118(C), pages 272-283.
    10. Xu, Qiong & Zhong, Meirui & Li, Xin, 2022. "How does digitalization affect energy? International evidence," Energy Economics, Elsevier, vol. 107(C).
    11. Sun, Xianming & Xiao, Shiyi & Ren, Xiaohang & Xu, Bing, 2023. "Time-varying impact of information and communication technology on carbon emissions," Energy Economics, Elsevier, vol. 118(C).
    12. Lin, Boqiang & Huang, Chenchen, 2023. "Nonlinear relationship between digitization and energy efficiency: Evidence from transnational panel data," Energy, Elsevier, vol. 276(C).
    13. Ahmadova, Gozal & Delgado-Márquez, Blanca L. & Pedauga, Luis E. & Leyva-de la Hiz, Dante I., 2022. "Too good to be true: The inverted U-shaped relationship between home-country digitalization and environmental performance," Ecological Economics, Elsevier, vol. 196(C).
    14. Galvin, Ray, 2016. "Rebound effects from speed and acceleration in electric and internal combustion engine cars: An empirical and conceptual investigation," Applied Energy, Elsevier, vol. 172(C), pages 207-216.
    15. Wang, Jiangquan & Nghiem, Xuan-Hoa & Jabeen, Fauzia & Luqman, Adeel & Song, Malin, 2023. "Integrated development of digital and energy industries: Paving the way for carbon emission reduction," Technological Forecasting and Social Change, Elsevier, vol. 187(C).
    16. Louis-Gaëtan Giraudet & Antoine Missemer, 2023. "The History of Energy Efficiency in Economics: Breakpoints and Regularities," Post-Print halshs-02301636, HAL.
    17. Oliver Lange & Julian Plath & Timo F. Dziggel & David F. Karpa & Mattis Keil & Tom Becker & Wolf H. Rogowski, 2022. "A Transparency Checklist for Carbon Footprint Calculations Applied within a Systematic Review of Virtual Care Interventions," IJERPH, MDPI, vol. 19(12), pages 1-14, June.
    18. Zhou, Xiaoyong & Zhou, Dequn & Wang, Qunwei, 2018. "How does information and communication technology affect China's energy intensity? A three-tier structural decomposition analysis," Energy, Elsevier, vol. 151(C), pages 748-759.
    19. Xiaoxi Zhang & Machiko Shinozuka & Yuriko Tanaka & Yuko Kanamori & Toshihiko Masui, 2022. "How ICT can contribute to realize a sustainable society in the future: a CGE approach," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 24(4), pages 5614-5640, April.

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