IDEAS home Printed from https://ideas.repec.org/a/eee/enepol/v183y2023ics0301421523003907.html
   My bibliography  Save this article

The effect of urban renewal on residential energy consumption expenditure--the example of shantytown renovation

Author

Listed:
  • Li, Jiapeng
  • Zuo, Xuguang
  • Sun, Chuanwang

Abstract

Building sustainable cities should guarantee affordable energy. The high cost of energy consumption remains a problem in the process of renewing cities. By using the difference-in-differences method, this paper examines the effect of shantytown renovation, an urban renewal initiative, on residential energy consumption expenditure. The results show that: (1) shantytown renovation significantly reduced residential energy consumption expenditure, and the result still held after a series of robust tests. (2) Shantytown renovation reduced the share of residential energy consumption expenditure in total consumption and subsistence consumption expenditure. (3) Household consumption expenditure per capita was a potential channel through which shantytown renovation affected residential energy consumption expenditure as well as its share. (4) Through analyzing the differences in urban-rural divide, household registration, and consumption levels among households, shantytown renovation significantly reduced residential energy consumption expenditure and its share among urban households, non-mobile households, and households with medium consumption levels. (5) Shantytown renovation had a significantly negative effect on the proportion of residential energy consumption expenditure in subsistence consumption expenditure among households with low consumption levels. The findings of this study offer guidance for raising new cities while more effectively protecting the energy needs of the public, to reach the UN Sustainable Development Goals regarding cities and energy.

Suggested Citation

  • Li, Jiapeng & Zuo, Xuguang & Sun, Chuanwang, 2023. "The effect of urban renewal on residential energy consumption expenditure--the example of shantytown renovation," Energy Policy, Elsevier, vol. 183(C).
    • Handle: RePEc:eee:enepol:v:183:y:2023:i:c:s0301421523003907
    DOI: 10.1016/j.enpol.2023.113805
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0301421523003907
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.enpol.2023.113805?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Herrerias, M.J. & Aller, Carlos & Ordóñez, Javier, 2017. "Residential energy consumption: A convergence analysis across Chinese regions," Energy Economics, Elsevier, vol. 62(C), pages 371-381.
    2. Sun, Chuanwang, 2015. "An empirical case study about the reform of tiered pricing for household electricity in China," Applied Energy, Elsevier, vol. 160(C), pages 383-389.
    3. Zhang, Sheng-Hao & Yang, Jun & Feng, Chao, 2023. "Can internet development alleviate energy poverty? Evidence from China," Energy Policy, Elsevier, vol. 173(C).
    4. Ren, Zhiyuan & Zhu, Yuhan & Jin, Canyang & Xu, Aiting, 2023. "Social capital and energy poverty: Empirical evidence from China," Energy, Elsevier, vol. 267(C).
    5. Jia, Zhijie, 2023. "The hidden benefit: Emission trading scheme and business performance of downstream enterprises," Energy Economics, Elsevier, vol. 117(C).
    6. Yu, Biying & Yang, Xiaojuan & Zhao, Qingyu & Tan, Jinxiao, 2020. "Causal Effect of Time-Use Behavior on Residential Energy Consumption in China," Ecological Economics, Elsevier, vol. 175(C).
    7. Shi, Ying & Hartley, Daniel & Mazumder, Bhash & Rajan, Aastha, 2022. "The effects of the Great Migration on urban renewal," Journal of Public Economics, Elsevier, vol. 209(C).
    8. Wang, Ailun & Si, Lulu & Hu, Shuo, 2023. "Can the penalty mechanism of mandatory environmental regulations promote green innovation? Evidence from China's enterprise data," Energy Economics, Elsevier, vol. 125(C).
    9. Luan, Bingjiang & Zou, Hong & Huang, Junbing, 2023. "Digital divide and household energy poverty in China," Energy Economics, Elsevier, vol. 119(C).
    10. Su, Xing & Qian, Zhu, 2022. "Neoliberal financial governance and its transformation under real estate boom and bust: The case of Ordos City, China," Land Use Policy, Elsevier, vol. 112(C).
    11. Xie, Lunyu & Yan, Haosheng & Zhang, Shuhan & Wei, Chu, 2020. "Does urbanization increase residential energy use? Evidence from the Chinese residential energy consumption survey 2012," China Economic Review, Elsevier, vol. 59(C).
    12. Yongbo Ge & Yuexiao Zhu & Wenqiang Zhang & Xiaoran Kong, 2023. "Can Infrastructure Development Alleviate Multidimensional Poverty? €” Evidence From China," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 68(04), pages 1393-1426, June.
    13. Gebara, C.H. & Laurent, A., 2023. "National SDG-7 performance assessment to support achieving sustainable energy for all within planetary limits," Renewable and Sustainable Energy Reviews, Elsevier, vol. 173(C).
    14. Yang, Yingchun & Liu, Jianghua & Lin, Yingying & Li, Qiongyuan, 2019. "The impact of urbanization on China’s residential energy consumption," Structural Change and Economic Dynamics, Elsevier, vol. 49(C), pages 170-182.
    15. Wang, Qiang & Lin, Jian & Zhou, Kan & Fan, Jie & Kwan, Mei-Po, 2020. "Does urbanization lead to less residential energy consumption? A comparative study of 136 countries," Energy, Elsevier, vol. 202(C).
    16. Jia, Zhijie & Wen, Shiyan & Liu, Yu, 2022. "China's urban-rural inequality caused by carbon neutrality: A perspective from carbon footprint and decomposed social welfare," Energy Economics, Elsevier, vol. 113(C).
    17. Sun, Chuanwang & Ouyang, Xiaoling, 2016. "Price and expenditure elasticities of residential energy demand during urbanization: An empirical analysis based on the household-level survey data in China," Energy Policy, Elsevier, vol. 88(C), pages 56-63.
    18. Baye, Fentaw & Wegayehu, Fisseha & Mulugeta, Solomon, 2020. "Drivers of informal settlements at the peri-urban areas of Woldia: Assessment on the demographic and socio-economic trigger factors," Land Use Policy, Elsevier, vol. 95(C).
    19. Fan, Jing-Li & Zhang, Yue-Jun & Wang, Bing, 2017. "The impact of urbanization on residential energy consumption in China: An aggregated and disaggregated analysis," Renewable and Sustainable Energy Reviews, Elsevier, vol. 75(C), pages 220-233.
    20. Hosan, Shahadat & Rahman, Md Matiar & Karmaker, Shamal Chandra & Chapman, Andrew J. & Saha, Bidyut Baran, 2023. "Remittances and multidimensional energy poverty: Evidence from a household survey in Bangladesh," Energy, Elsevier, vol. 262(PA).
    21. Wang, Yuanping & Hou, Lingchun & Cai, Weiguang & Zhou, Zhaoyin & Bian, Jing, 2023. "Exploring the drivers and influencing mechanisms of urban household electricity consumption in China - Based on longitudinal data at the provincial level," Energy, Elsevier, vol. 273(C).
    22. Wang, Xiaolei & Wei, Chunxin & Wang, Yanhua, 2022. "Does the current tiered electricity pricing structure still restrain electricity consumption in China's residential sector?," Energy Policy, Elsevier, vol. 165(C).
    23. Lin, Boqiang & Zhu, Penghu, 2021. "Measurement of the direct rebound effect of residential electricity consumption: An empirical study based on the China family panel studies," Applied Energy, Elsevier, vol. 301(C).
    24. Lin, Boqiang & Wang, Yao, 2020. "Does energy poverty really exist in China? From the perspective of residential electricity consumption," Energy Policy, Elsevier, vol. 143(C).
    25. Wang, Na & Fu, Xiaodong & Wang, Shaobin, 2022. "Spatial-temporal variation and coupling analysis of residential energy consumption and economic growth in China," Applied Energy, Elsevier, vol. 309(C).
    26. He, Jianjian & Yang, Yi & Liao, Zhongju & Xu, Anqi & Fang, Kai, 2022. "Linking SDG 7 to assess the renewable energy footprint of nations by 2030," Applied Energy, Elsevier, vol. 317(C).
    27. Xia, Fan & Xing, Jianwei & Xu, Jintao & Pan, Xiaochuan, 2022. "The short-term impact of air pollution on medical expenditures: Evidence from Beijing," Journal of Environmental Economics and Management, Elsevier, vol. 114(C).
    28. Wang, Shaobin & Liu, Yonglin & Zhao, Chao & Pu, Haixia, 2019. "Residential energy consumption and its linkages with life expectancy in mainland China: A geographically weighted regression approach and energy-ladder-based perspective," Energy, Elsevier, vol. 177(C), pages 347-357.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Qiucheng Li & Jiang Hu & Bolin Yu, 2021. "Spatiotemporal Patterns and Influencing Mechanism of Urban Residential Energy Consumption in China," Energies, MDPI, vol. 14(13), pages 1-17, June.
    2. Moteng, Ghislain & Raghutla, Chandrashekar & Njangang, Henri & Nembot, Luc Ndeffo, 2023. "International sanctions and energy poverty in target developing countries," Energy Policy, Elsevier, vol. 179(C).
    3. Zihan Zhang & Enping Li & Guowei Zhang, 2023. "How Efficient China’s Tiered Pricing Is for Household Electricity: Evidence from Survey Data," Sustainability, MDPI, vol. 15(2), pages 1-17, January.
    4. Cheng, Zhonghua & Wang, Lan, 2023. "Can new urbanization improve urban total-factor energy efficiency in China?," Energy, Elsevier, vol. 266(C).
    5. Lin, Boqiang & Li, Zhensheng, 2021. "Does natural gas pricing reform establish an effective mechanism in China: A policy evaluation perspective," Applied Energy, Elsevier, vol. 282(PA).
    6. Wang, Shubin & Sun, Shaolong & Zhao, Erlong & Wang, Shouyang, 2021. "Urban and rural differences with regional assessment of household energy consumption in China," Energy, Elsevier, vol. 232(C).
    7. Wang, Xiaolei & Wei, Chunxin & Wang, Yanhua, 2022. "Does the current tiered electricity pricing structure still restrain electricity consumption in China's residential sector?," Energy Policy, Elsevier, vol. 165(C).
    8. Shi, Jian-hua & Han, Ying & Li, Xue-dong & Zhou, Jie-qi, 2022. "How does urbanization affect the direct rebound effect? Evidence from residential electricity consumption in China," Energy, Elsevier, vol. 239(PE).
    9. Wang, Na & Fu, Xiaodong & Wang, Shaobin, 2022. "Spatial-temporal variation and coupling analysis of residential energy consumption and economic growth in China," Applied Energy, Elsevier, vol. 309(C).
    10. Liu, Xiaorui & Sun, Tao & Feng, Qiang & Zhang, Di, 2020. "Dynamic nonlinear influence of urbanization on China’s electricity consumption: Evidence from dynamic economic growth threshold effect," Energy, Elsevier, vol. 196(C).
    11. Ackermann, Klaus & Awaworyi Churchill, Sefa & Smyth, Russell, 2023. "High-speed internet access and energy poverty," Energy Economics, Elsevier, vol. 127(PB).
    12. Huang, Guobin & Zhang, Jie & Yu, Jian & Shi, Xunpeng, 2020. "Impact of transportation infrastructure on industrial pollution in Chinese cities: A spatial econometric analysis," Energy Economics, Elsevier, vol. 92(C).
    13. Sen, Kanchan Kumar & Karmaker, Shamal Chandra & Hosan, Shahadat & Chapman, Andrew J. & Uddin, Md Kamal & Saha, Bidyut Baran, 2023. "Energy poverty alleviation through financial inclusion: Role of gender in Bangladesh," Energy, Elsevier, vol. 282(C).
    14. Wang, Na & Fu, Xiaodong & Wang, Shaobin & Yang, Hao & Li, Zhen, 2022. "Convergence characteristics and distribution patterns of residential electricity consumption in China: An urban-rural gap perspective," Energy, Elsevier, vol. 254(PB).
    15. Ren, Zhiyuan & Zhu, Yuhan & Jin, Canyang & Xu, Aiting, 2023. "Social capital and energy poverty: Empirical evidence from China," Energy, Elsevier, vol. 267(C).
    16. Zhu, Penghu & Lin, Boqiang, 2022. "Do the elderly consume more energy? Evidence from the retirement policy in urban China," Energy Policy, Elsevier, vol. 165(C).
    17. Gu, Jiafeng, 2023. "Energy poverty and government subsidies in China," Energy Policy, Elsevier, vol. 180(C).
    18. Shi, Xinjie, 2019. "Inequality of opportunity in energy consumption in China," Energy Policy, Elsevier, vol. 124(C), pages 371-382.
    19. Huiping Wang & Peiling Liu, 2023. "Spatial Correlation Network of Energy Consumption and Its Influencing Factors in the Yangtze River Delta Urban Agglomeration," Sustainability, MDPI, vol. 15(4), pages 1-20, February.
    20. Baxter Williams & Daniel Bishop & Patricio Gallardo & J. Geoffrey Chase, 2023. "Demand Side Management in Industrial, Commercial, and Residential Sectors: A Review of Constraints and Considerations," Energies, MDPI, vol. 16(13), pages 1-28, July.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:enepol:v:183:y:2023:i:c:s0301421523003907. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/enpol .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.