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The uneven development of wind power in China: Determinants and the role of supporting policies

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  • Xia, Fang
  • Song, Feng

Abstract

We apply a partial adjustment model to investigate the driving factors of the regional disparity of China's wind power development. We have three major findings. First, similar to many industries, wind power shows an agglomeration effect, that is, existing installed capacity attracts new addition of capacity. Second, demand factors including both local demand, indicated by variables in the local economy, and demand outside the region, indicated by transmission capacity, do not significantly affect the location choice of wind power farms. Lastly, governmental supporting measures have heterogeneous effects on different regions. They are most effective in wind resource rich regions but have little impact in other regions.

Suggested Citation

  • Xia, Fang & Song, Feng, 2017. "The uneven development of wind power in China: Determinants and the role of supporting policies," Energy Economics, Elsevier, vol. 67(C), pages 278-286.
  • Handle: RePEc:eee:eneeco:v:67:y:2017:i:c:p:278-286
    DOI: 10.1016/j.eneco.2017.08.008
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    Cited by:

    1. Thomas Lauf & Kristina Ek & Erik Gawel & Paul Lehmann & Patrik Söderholm, 2020. "The regional heterogeneity of wind power deployment: an empirical investigation of land-use policies in Germany and Sweden," Journal of Environmental Planning and Management, Taylor & Francis Journals, vol. 63(4), pages 751-778, March.
    2. Lin, Boqiang & Chen, Yufang, 2019. "Impacts of policies on innovation in wind power technologies in China," Applied Energy, Elsevier, vol. 247(C), pages 682-691.
    3. Zhang, ZhongXiang, 2018. "Energy Price Reform in China," ESP: Energy Scenarios and Policy 273368, Fondazione Eni Enrico Mattei (FEEM).
    4. Xu, Bin & Lin, Boqiang, 2018. "Assessing the development of China's new energy industry," Energy Economics, Elsevier, vol. 70(C), pages 116-131.
    5. Xia, Fang & Lu, Xi & Song, Feng, 2020. "The role of feed-in tariff in the curtailment of wind power in China," Energy Economics, Elsevier, vol. 86(C).
    6. Song, Feng & Bi, De & Wei, Chu, 2019. "Market segmentation and wind curtailment: An empirical analysis," Energy Policy, Elsevier, vol. 132(C), pages 831-838.
    7. María-Jesús Gutiérrez-Pedrero & María J. Ruiz-Fuensanta & Miguel-Ángel Tarancón, 2020. "Regional Factors Driving the Deployment of Wind Energy in Spain," Energies, MDPI, Open Access Journal, vol. 13(14), pages 1-13, July.
    8. Zhang, Pan, 2019. "Do energy intensity targets matter for wind energy development? Identifying their heterogeneous effects in Chinese provinces with different wind resources," Renewable Energy, Elsevier, vol. 139(C), pages 968-975.

    More about this item

    Keywords

    Wind power; Agglomeration effect; Feed-in-tariff policy;

    JEL classification:

    • Q42 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Alternative Energy Sources
    • Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy
    • 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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