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Measuring the Resource Productivity of Crude Oil: A Chemical Network and its Application

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  • Yanan Ren
  • Xiaojie Liu
  • Litao Liu
  • Lei Shi

Abstract

The resource productivity (RP) of crude oil is an important indicator to measure the utilization efficiency of a petroleum resource. In this article, we proposed a methodology to calculate the RP of crude oil from a complex network perspective. We constructed a chemical network comprising 578 chemicals and divided all chemicals into six hierarchical levels according to their processing steps. We put forward two indicators to represent two calculation methods: resource productivity based on material flow analysis and resource productivity based on carbon flow analysis (RPCF). To clarify the differences in the meanings of these two indicators, we extracted the para‐xylene (PX) production chain, which is composed of crude oil, PX, pure terephthalic acid, and polyethylene terephthalate, from the network as an example. Finally, we adopted the RPCF indicator. We calculated that the average RPCFs of the six hierarchical levels of crude oil in China from 1992 to 1999 are 145, 219, 601, 929, 1,474, and 4,076 US$/(tonnes carbon). The results show that there is a value‐added effect in the extension of petrochemical industrial chains. Among the derivatives of crude oil, the RPCFs of chemicals are obviously higher than those of oils. Countries, regions, industrial parks, and chemical companies can improve RP by extending and choosing chemical production chains and combinations thereof. We can also use the calculation methodology to compare RP of other sources of carbon like carbon dioxide and biomass with that of crude oil, and promote the development of circular economy in energy and chemical production.

Suggested Citation

  • Yanan Ren & Xiaojie Liu & Litao Liu & Lei Shi, 2018. "Measuring the Resource Productivity of Crude Oil: A Chemical Network and its Application," Journal of Industrial Ecology, Yale University, vol. 22(6), pages 1331-1338, December.
  • Handle: RePEc:bla:inecol:v:22:y:2018:i:6:p:1331-1338
    DOI: 10.1111/jiec.12729
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    References listed on IDEAS

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    1. Dahlstrom, Kristina & Ekins, Paul, 2006. "Combining economic and environmental dimensions: Value chain analysis of UK iron and steel flows," Ecological Economics, Elsevier, vol. 58(3), pages 507-519, June.
    2. Jianbai Huang & Chuan Liu & Daguo Lü & Xiaoping Li, 2015. "Industry regulation, competition, and the dynamics of productivity growth: evidence from China’s iron and steel industry," Zbornik radova Ekonomskog fakulteta u Rijeci/Proceedings of Rijeka Faculty of Economics, University of Rijeka, Faculty of Economics and Business, vol. 33(2), pages 299-324.
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