Changes in industrial electricity consumption in china from 1998 to 2007
Electricity consumption in the industrial sector experienced a dramatic increase between 1998 and 2007, accounting for approximately 75% of China's total electricity consumption. This study analyzes the potential factors influencing the growth of electricity consumption in China's industrial sector over the past decade using a logarithmic mean Divisia index I decomposition method. Results show that activity effect and shift effect (caused by the change in the electricity's share of industrial energy use) are the major factors responsible for the rise in electricity consumption between 1998 and 2007. It is found that structural change also contributed to the increase in electricity consumption, it had only a small effect. In contrast, the technological effect is responsible for a decrease in electricity consumption during this period. The influences of technological effects and shift effects followed approximately an inverse-U-shaped and U-shaped curve, respectively. Furthermore, the results show that the main contributors to incremental electricity consumption among industrial subsectors were manufacturing of raw chemical material and products, manufacturing of non-metal mineral products, smelting and pressing of ferrous and non-ferrous metals, and production and supply of electric power and heat power. These sectors should take priority for industrial restructuring in order to implement policies for energy and electricity savings.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Fisher-Vanden, Karen & Jefferson, Gary H. & Liu, Hongmei & Tao, Quan, 2004. "What is driving China's decline in energy intensity?," Resource and Energy Economics, Elsevier, vol. 26(1), pages 77-97, March.
- Richard F. Garbaccio & Mun S. Ho & Dale W. Jorgenson, 1999. "Why Has the Energy-Output Ratio Fallen in China?," The Energy Journal, International Association for Energy Economics, vol. 0(Number 3), pages 63-91.
- Sinton, Jonathan E. & Fridley, David G., 2000. "What goes up: recent trends in China's energy consumption," Energy Policy, Elsevier, vol. 28(10), pages 671-687, August.
- Liu, Lan-Cui & Fan, Ying & Wu, Gang & Wei, Yi-Ming, 2007. "Using LMDI method to analyze the change of China's industrial CO2 emissions from final fuel use: An empirical analysis," Energy Policy, Elsevier, vol. 35(11), pages 5892-5900, November.
- Ang, B.W. & Liu, F.L., 2001. "A new energy decomposition method: perfect in decomposition and consistent in aggregation," Energy, Elsevier, vol. 26(6), pages 537-548.
- X. Q. Liu & B. W. Ang & H.L. Ong, 1992. "The Application of the Divisia Index to the Decomposition of Changes in Industrial Energy Consumption," The Energy Journal, International Association for Energy Economics, vol. 0(Number 4), pages 161-178.
- Yuan, Jiahai & Zhao, Changhong & Yu, Shunkun & Hu, Zhaoguang, 2007. "Electricity consumption and economic growth in China: Cointegration and co-feature analysis," Energy Economics, Elsevier, vol. 29(6), pages 1179-1191, November.
- B. W. Ang & Ki-Hong Choi, 1997. "Decomposition of Aggregate Energy and Gas Emission Intensities for Industry: A Refined Divisia Index Method," The Energy Journal, International Association for Energy Economics, vol. 0(Number 3), pages 59-73.
- Ang, B. W., 2005. "The LMDI approach to decomposition analysis: a practical guide," Energy Policy, Elsevier, vol. 33(7), pages 867-871, May.
- Ma, Chunbo & Stern, David I., 2008.
"China's changing energy intensity trend: A decomposition analysis,"
Elsevier, vol. 30(3), pages 1037-1053, May.
- Chunbo Ma & David I. Stern, 2006. "China's Changing Energy Intensity Trend: A Decomposition Analysis," Rensselaer Working Papers in Economics 0615, Rensselaer Polytechnic Institute, Department of Economics.
- Ang, B.W. & Zhang, F.Q., 2000. "A survey of index decomposition analysis in energy and environmental studies," Energy, Elsevier, vol. 25(12), pages 1149-1176.
- Steenhof, Paul A., 2006. "Decomposition of electricity demand in China's industrial sector," Energy Economics, Elsevier, vol. 28(3), pages 370-384, May.
- Zhang, ZhongXiang, 2003. "Why did the energy intensity fall in China's industrial sector in the 1990s? The relative importance of structural change and intensity change," Energy Economics, Elsevier, vol. 25(6), pages 625-638, November.
- Zhang, ZhongXiang, 2001. "Why did the energy intensity fall in China's industrial sector in the 1990s? the relative importance of structural change and intensity change," MPRA Paper 13149, University Library of Munich, Germany.
- Sinton, Jonathan E & Levine, Mark D & Qingyi, Wang, 1998. "Energy efficiency in China: accomplishments and challenges," Energy Policy, Elsevier, vol. 26(11), pages 813-829, September.
- Lin, Jiang & Zhou, Nan & Levine, Mark & Fridley, David, 2008. "Taking out 1 billion tons of CO2: The magic of China's 11th Five-Year Plan?," Energy Policy, Elsevier, vol. 36(3), pages 954-970, March.
- Ang, B.W. & Liu, Na, 2007. "Handling zero values in the logarithmic mean Divisia index decomposition approach," Energy Policy, Elsevier, vol. 35(1), pages 238-246, January.
- Sinton, Jonathan E. & Levine, Mark D., 1994. "Changing energy intensity in Chinese industry : The relatively importance of structural shift and intensity change," Energy Policy, Elsevier, vol. 22(3), pages 239-255, March.
- Rutger Hoekstra & Jeroen van den Bergh, 2002. "Structural Decomposition Analysis of Physical Flows in the Economy," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 23(3), pages 357-378, November.
- Zha, Donglan & Zhou, Dequn & Ding, Ning, 2009. "The contribution degree of sub-sectors to structure effect and intensity effects on industry energy intensity in China from 1993 to 2003," Renewable and Sustainable Energy Reviews, Elsevier, vol. 13(4), pages 895-902, May.
- Fan, Ying & Liu, Lan-Cui & Wu, Gang & Tsai, Hsien-Tang & Wei, Yi-Ming, 2007. "Changes in carbon intensity in China: Empirical findings from 1980-2003," Ecological Economics, Elsevier, vol. 62(3-4), pages 683-691, May. Full references (including those not matched with items on IDEAS)