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Energy efficiency barriers in commercial and industrial firms in Ukraine: An empirical analysis

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  • Hochman, Gal
  • Timilsina, Govinda R.

Abstract

Improvement in energy efficiency is one of the main options to reduce energy demand and greenhouse gas emissions. However, large-scale deployment of energy-efficient technologies is constrained by several factors. Employing a survey of 509 industrial and commercial firms throughout Ukraine and a generalized ordered logit model, we quantified the economic, behavioral, and institutional barriers that may impede the deployment of energy-efficient technologies. Our analysis shows that behavioral barriers resulted from lack of information, knowledge, and awareness are major impediments to the adoption of energy-efficient technologies in Ukraine, and that financial barriers may further impede investments in these technologies especially for small firms. This suggests that carefully targeted information provisions and energy audits will enhance Ukrainian firms' investments in energy-efficient technologies to save energy consumption, improve productivity, and reduce carbon emissions from the productive sectors.

Suggested Citation

  • Hochman, Gal & Timilsina, Govinda R., 2017. "Energy efficiency barriers in commercial and industrial firms in Ukraine: An empirical analysis," Energy Economics, Elsevier, vol. 63(C), pages 22-30.
  • Handle: RePEc:eee:eneeco:v:63:y:2017:i:c:p:22-30
    DOI: 10.1016/j.eneco.2017.01.013
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    References listed on IDEAS

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    Cited by:

    1. Löschel, Andreas & Lutz, Benjamin Johannes & Massier, Philipp, 2017. "Credit constraints, energy management practices, and investments in energy saving technologies: German manufacturing in close-up," CAWM Discussion Papers 98, University of Münster, Center of Applied Economic Research Münster (CAWM).

    More about this item

    Keywords

    Energy-efficiency; Barriers to energy efficiency; Discrete choice models; Generalized ordered logit model; Ukraine;

    JEL classification:

    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • O3 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights
    • Q40 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - General

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