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Constructing slacks-based composite indicator of sustainable energy development for China: A meta-frontier nonparametric approach

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  • Wang, H.
  • Zhou, P.
  • Wang, Qunwei

Abstract

This paper proposes a meta-frontier nonparametric approach to construct the slacks-based composite indicator considering heterogeneity. The meta-frontier approach is useful to control and study the impact of potential heterogeneity in constructing composite indicator. In virtue of the Malmquist index, we further study tracking the evolvement of the constructed meta-frontier slacks-based composite indicator over time, and quantifying the driving forces behind the change. The proposed approach has been applied to assess China's regional sustainable energy utilization capacity during 2005–2010. Our empirical results show that all the three regions, i.e. the eastern, central and western, in China experience deterioration in sustainable energy development level. The best practice gap change and technology gap change are identified as the main contributors to the declining trend. Hence, improving the general production technology and enhancing technology diffusion among regions can help to promote China's overall sustainable energy development level. At the provincial level, Beijing is found to maintain a good balance in improving efficiency and absorbing advanced technology, while other provinces show diverse performance during this time period. More results and discussions are presented in this paper.

Suggested Citation

  • Wang, H. & Zhou, P. & Wang, Qunwei, 2016. "Constructing slacks-based composite indicator of sustainable energy development for China: A meta-frontier nonparametric approach," Energy, Elsevier, vol. 101(C), pages 218-228.
    • Handle: RePEc:eee:energy:v:101:y:2016:i:c:p:218-228
    DOI: 10.1016/j.energy.2016.02.039
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    2. Mohsin, M. & Zhou, P. & Iqbal, N. & Shah, S.A.A., 2018. "Assessing oil supply security of South Asia," Energy, Elsevier, vol. 155(C), pages 438-447.
    3. Gianluca Gucciardi, 2022. "Measuring the relative development and integration of EU countries’ capital markets using composite indicators and cluster analysis," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 158(4), pages 1043-1083, November.
    4. Gunnarsdottir, I. & Davidsdottir, B. & Worrell, E. & Sigurgeirsdottir, S., 2020. "Review of indicators for sustainable energy development," Renewable and Sustainable Energy Reviews, Elsevier, vol. 133(C).
    5. Yu, Junqing & Zhou, Kaile & Yang, Shanlin, 2019. "Regional heterogeneity of China's energy efficiency in “new normal”: A meta-frontier Super-SBM analysis," Energy Policy, Elsevier, vol. 134(C).
    6. Sun, Jiasen & Li, Guo & Wang, Zhaohua, 2018. "Optimizing China’s energy consumption structure under energy and carbon constraints," Structural Change and Economic Dynamics, Elsevier, vol. 47(C), pages 57-72.
    7. Liu, Haomin & Zhang, Zaixu & Zhang, Tao & Wang, Liyang, 2020. "Revisiting China’s provincial energy efficiency and its influencing factors," Energy, Elsevier, vol. 208(C).
    8. Jiayang Chen & Ying Kong & Shunyong Yin & Jianjun Xia, 2022. "A Comparative Method for Assessment of Sustainable Energy Development across Regions: An Analysis of 30 Provinces in China," Energies, MDPI, vol. 15(15), pages 1-19, August.
    9. Wang, H. & Ang, B.W. & Wang, Q.W. & Zhou, P., 2017. "Measuring energy performance with sectoral heterogeneity: A non-parametric frontier approach," Energy Economics, Elsevier, vol. 62(C), pages 70-78.
    10. Lizhan Cao & Zhongying Qi & Junxia Ren, 2017. "China’s Industrial Total-Factor Energy Productivity Growth at Sub-Industry Level: A Two-Step Stochastic Metafrontier Malmquist Index Approach," Sustainability, MDPI, vol. 9(8), pages 1-22, August.
    11. Angeliki N. Menegaki, 2021. "Towards a Global Energy-Sustainable Economy Nexus; Summing up Evidence from Recent Empirical Work," Energies, MDPI, vol. 14(16), pages 1-16, August.

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