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How to enhance China's total-factor energy efficiency via digital-real economy integration: New evidence from dynamic QCA analysis

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  • Zhong, Kaijun
  • Lei, Yalin
  • Zhao, Jun
  • Jiang, Yong

Abstract

In response to global climate challenges and China's regional energy efficiency disparities, this study identifies how digital-real economy integration (DRI) enhances total-factor energy efficiency (TFEE) through a novel dynamic qualitative comparative analysis (QCA) of 30 Chinese provinces (2012−2022). The findings reveal three key conclusions. First, while no single condition is strictly necessary for achieving high TFEE, the importance of digital infrastructure and digital finance has increased significantly. Digital infrastructure enhances energy efficiency by optimizing resource allocation and promoting industrial synergy, whereas digital finance contributes through green credit and capital optimization. Second, three primary DRI pathways for improving TFEE are identified: the digital industry-driven pattern, for regions with strong digital foundations but insufficient industrial agglomeration; the industrial synergy optimization pattern, for developed eastern regions; and the technology–capital–space interaction pattern, for areas with advanced green finance and concentrated industries. Third, Kruskal–Wallis rank–sum tests reveal that regional structural differences strongly influence digitalization and TFEE. Eastern regions lead due to policy support, resource allocation, industrial modernization, and talent advantages, whereas central and western regions face challenges such as weaker infrastructure, limited policy support, and slower digital transformation, resulting in unbalanced regional development.

Suggested Citation

  • Zhong, Kaijun & Lei, Yalin & Zhao, Jun & Jiang, Yong, 2025. "How to enhance China's total-factor energy efficiency via digital-real economy integration: New evidence from dynamic QCA analysis," Energy Economics, Elsevier, vol. 148(C).
    • Handle: RePEc:eee:eneeco:v:148:y:2025:i:c:s014098832500516x
    DOI: 10.1016/j.eneco.2025.108689
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    JEL classification:

    • C67 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Input-Output Models
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • Q41 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Demand and Supply; Prices
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

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