IDEAS home Printed from https://ideas.repec.org/a/eee/renene/v136y2019icp317-330.html
   My bibliography  Save this article

Spatial spillover effect of non-fossil fuel power generation on carbon dioxide emissions across China's provinces

Author

Listed:
  • Wang, Yongpei
  • Li, Jun

Abstract

This paper focused on carbon emission reduction effect of non-fossil fuel power generation on electricity sector in China using the panel data of 30 provinces over the period 1991–2015. The empirical results of both dynamic, non-dynamic spatial panel analysis and the GS2SLS method aimed at eliminating endogeneity indicate that the increased share of non-fossil fuel power generation indeed reduce the CO2 emissions from electricity sector. However, although the spatial direct effects are positive driver for reduction of electricity-related CO2 emissions in each spatial weight matrix, on the contrary, the spatial indirect effects show that the rise of local share of non-fossil fuel power generation increases the CO2 emissions from electricity sector of other regions. This so-called “beggar-thy-neighbor” effect in the process of implementing clean-oriented energy strategy reflects an urgent need of mutually beneficial coordination mechanism between regions so as to bring maximum environmental benefits of installed clean power for the whole country.

Suggested Citation

  • Wang, Yongpei & Li, Jun, 2019. "Spatial spillover effect of non-fossil fuel power generation on carbon dioxide emissions across China's provinces," Renewable Energy, Elsevier, vol. 136(C), pages 317-330.
  • Handle: RePEc:eee:renene:v:136:y:2019:i:c:p:317-330
    DOI: 10.1016/j.renene.2019.01.012
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0960148119300126
    Download Restriction: Full text for ScienceDirect subscribers only

    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. Lin, Boqiang & Wang, Xiaolei, 2015. "Carbon emissions from energy intensive industry in China: Evidence from the iron & steel industry," Renewable and Sustainable Energy Reviews, Elsevier, vol. 47(C), pages 746-754.
    2. Yu, Jihai & de Jong, Robert & Lee, Lung-fei, 2008. "Quasi-maximum likelihood estimators for spatial dynamic panel data with fixed effects when both n and T are large," Journal of Econometrics, Elsevier, vol. 146(1), pages 118-134, September.
    3. Niu, Shuwen & Liu, Yiyue & Ding, Yongxia & Qu, Wei, 2016. "China׳s energy systems transformation and emissions peak," Renewable and Sustainable Energy Reviews, Elsevier, vol. 58(C), pages 782-795.
    4. Goh, Tian & Ang, B.W. & Xu, X.Y., 2018. "Quantifying drivers of CO2 emissions from electricity generation – Current practices and future extensions," Applied Energy, Elsevier, vol. 231(C), pages 1191-1204.
    5. Lee, Lung-fei & Yu, Jihai, 2010. "Estimation of spatial autoregressive panel data models with fixed effects," Journal of Econometrics, Elsevier, vol. 154(2), pages 165-185, February.
    6. Pfeiffer, Alexander & Millar, Richard & Hepburn, Cameron & Beinhocker, Eric, 2016. "The ‘2°C capital stock’ for electricity generation: Committed cumulative carbon emissions from the electricity generation sector and the transition to a green economy," Applied Energy, Elsevier, vol. 179(C), pages 1395-1408.
    7. Jin, Taeyoung & Kim, Jinsoo, 2018. "What is better for mitigating carbon emissions – Renewable energy or nuclear energy? A panel data analysis," Renewable and Sustainable Energy Reviews, Elsevier, vol. 91(C), pages 464-471.
    8. Li, Wei & Sun, Wen & Li, Guomin & Jin, Baihui & Wu, Wen & Cui, Pengfei & Zhao, Guohao, 2018. "Transmission mechanism between energy prices and carbon emissions using geographically weighted regression," Energy Policy, Elsevier, vol. 115(C), pages 434-442.
    9. Hammond, G.P. & Norman, J.B., 2012. "Decomposition analysis of energy-related carbon emissions from UK manufacturing," Energy, Elsevier, vol. 41(1), pages 220-227.
    10. Wang, Qiang & Jiang, Xue-ting & Li, Rongrong, 2017. "Comparative decoupling analysis of energy-related carbon emission from electric output of electricity sector in Shandong Province, China," Energy, Elsevier, vol. 127(C), pages 78-88.
    11. Jaforullah, Mohammad & King, Alan, 2015. "Does the use of renewable energy sources mitigate CO2 emissions? A reassessment of the US evidence," Energy Economics, Elsevier, vol. 49(C), pages 711-717.
    12. Yi, Hongtao, 2015. "Clean-energy policies and electricity sector carbon emissions in the U.S. states," Utilities Policy, Elsevier, vol. 34(C), pages 19-29.
    13. Yuan, Jiahai & Lei, Qi & Xiong, Minpeng & Guo, Jingsheng & Hu, Zheng, 2016. "The prospective of coal power in China: Will it reach a plateau in the coming decade?," Energy Policy, Elsevier, vol. 98(C), pages 495-504.
    14. Bai, Chong-En & Qian, Yingyi, 2010. "Infrastructure development in China: The cases of electricity, highways, and railways," Journal of Comparative Economics, Elsevier, vol. 38(1), pages 34-51, March.
    15. Sun, Chuanwang & Ding, Dan & Yang, Mian, 2017. "Estimating the complete CO2 emissions and the carbon intensity in India: From the carbon transfer perspective," Energy Policy, Elsevier, vol. 109(C), pages 418-427.
    16. Raymond W. Goldsmith, 1951. "A Perpetual Inventory of National Wealth," NBER Chapters, in: Studies in Income and Wealth, Volume 14, pages 5-73, National Bureau of Economic Research, Inc.
    17. Iwata, Hiroki & Okada, Keisuke & Samreth, Sovannroeun, 2010. "Empirical study on the environmental Kuznets curve for CO2 in France: The role of nuclear energy," Energy Policy, Elsevier, vol. 38(8), pages 4057-4063, August.
    18. Li, Huanan & Wei, Yi-Ming & Mi, Zhifu, 2015. "China’s carbon flow: 2008–2012," Energy Policy, Elsevier, vol. 80(C), pages 45-53.
    19. Tang, Baojun & Li, Ru & Yu, Biying & An, Runying & Wei, Yi-Ming, 2018. "How to peak carbon emissions in China's power sector: A regional perspective," Energy Policy, Elsevier, vol. 120(C), pages 365-381.
    20. Moutinho, Victor & Robaina, Margarita, 2016. "Is the share of renewable energy sources determining the CO2 kWh and income relation in electricity generation?," Renewable and Sustainable Energy Reviews, Elsevier, vol. 65(C), pages 902-914.
    21. Wang, Junfeng & He, Shutong & Qiu, Ye & Liu, Nan & Li, Yongjian & Dong, Zhanfeng, 2018. "Investigating driving forces of aggregate carbon intensity of electricity generation in China," Energy Policy, Elsevier, vol. 113(C), pages 249-257.
    22. Ang, B.W. & Goh, Tian, 2016. "Carbon intensity of electricity in ASEAN: Drivers, performance and outlook," Energy Policy, Elsevier, vol. 98(C), pages 170-179.
    23. Ali, H. & Sanjaya, S. & Suryadi, B. & Weller, S.R., 2017. "Analysing CO2 emissions from Singapore's electricity generation sector: Strategies for 2020 and beyond," Energy, Elsevier, vol. 124(C), pages 553-564.
    24. Inglesi-Lotz, Roula & Dogan, Eyup, 2018. "The role of renewable versus non-renewable energy to the level of CO2 emissions a panel analysis of sub- Saharan Africa’s Βig 10 electricity generators," Renewable Energy, Elsevier, vol. 123(C), pages 36-43.
    25. Malla, Sunil, 2009. "CO2 emissions from electricity generation in seven Asia-Pacific and North American countries: A decomposition analysis," Energy Policy, Elsevier, vol. 37(1), pages 1-9, January.
    26. Ryu, Hanee & Dorjragchaa, Shonkhor & Kim, Yeonbae & Kim, Kyunam, 2014. "Electricity-generation mix considering energy security and carbon emission mitigation: Case of Korea and Mongolia," Energy, Elsevier, vol. 64(C), pages 1071-1079.
    27. Marques, António Cardoso & Fuinhas, José Alberto & Nunes, André Roque, 2016. "Electricity generation mix and economic growth: What role is being played by nuclear sources and carbon dioxide emissions in France?," Energy Policy, Elsevier, vol. 92(C), pages 7-19.
    28. Zhou, Kaile & Yang, Shanlin & Shen, Chao & Ding, Shuai & Sun, Chaoping, 2015. "Energy conservation and emission reduction of China’s electric power industry," Renewable and Sustainable Energy Reviews, Elsevier, vol. 45(C), pages 10-19.
    29. Daví-Arderius, Daniel & Sanin, María-Eugenia & Trujillo-Baute, Elisa, 2017. "CO2 content of electricity losses," Energy Policy, Elsevier, vol. 104(C), pages 439-445.
    30. Balsalobre-Lorente, Daniel & Shahbaz, Muhammad & Roubaud, David & Farhani, Sahbi, 2018. "How economic growth, renewable electricity and natural resources contribute to CO2 emissions?," Energy Policy, Elsevier, vol. 113(C), pages 356-367.
    31. Zhao, Xiaoli & Ma, Qian & Yang, Rui, 2013. "Factors influencing CO2 emissions in China's power industry: Co-integration analysis," Energy Policy, Elsevier, vol. 57(C), pages 89-98.
    32. Yang, Lisha & Lin, Boqiang, 2016. "Carbon dioxide-emission in China׳s power industry: Evidence and policy implications," Renewable and Sustainable Energy Reviews, Elsevier, vol. 60(C), pages 258-267.
    33. Jiang, Suqin & Chen, Zun & Shan, Li & Chen, Xinyu & Wang, Haikun, 2017. "Committed CO2 emissions of China's coal-fired power generators from 1993 to 2013," Energy Policy, Elsevier, vol. 104(C), pages 295-302.
    34. Mota, Rui Pedro & Dias, João, 2006. "Determinants of CO2 emissions in open economies: testing the environmental Kuznets curve hypothesis (1970-2000)," MPRA Paper 13342, University Library of Munich, Germany.
    35. Liddle, Brantley & Sadorsky, Perry, 2017. "How much does increasing non-fossil fuels in electricity generation reduce carbon dioxide emissions?," Applied Energy, Elsevier, vol. 197(C), pages 212-221.
    36. Woo, C.K. & Shiu, A. & Liu, Y. & Luo, X. & Zarnikau, J., 2018. "Consumption effects of an electricity decarbonization policy: Hong Kong," Energy, Elsevier, vol. 144(C), pages 887-902.
    37. Bekhet, Hussain Ali & Othman, Nor Salwati, 2018. "The role of renewable energy to validate dynamic interaction between CO2 emissions and GDP toward sustainable development in Malaysia," Energy Economics, Elsevier, vol. 72(C), pages 47-61.
    38. Shafiei, Sahar & Salim, Ruhul A., 2014. "Non-renewable and renewable energy consumption and CO2 emissions in OECD countries: A comparative analysis," Energy Policy, Elsevier, vol. 66(C), pages 547-556.
    39. Liu, Nan & Ma, Zujun & Kang, Jidong, 2017. "A regional analysis of carbon intensities of electricity generation in China," Energy Economics, Elsevier, vol. 67(C), pages 268-277.
    40. Olugbenga A. Onafowora & Oluwole Owoye, 2015. "Structural Vector Auto Regression Analysis of the Dynamic Effects of Shocks in Renewable Electricity Generation on Economic Output and Carbon Dioxide Emissions: China, India and Japan," International Journal of Energy Economics and Policy, Econjournals, vol. 5(4), pages 1022-1032.
    41. Shao, Ling & Li, Yuan & Feng, Kuishuang & Meng, Jing & Shan, Yuli & Guan, Dabo, 2018. "Carbon emission imbalances and the structural paths of Chinese regions," Applied Energy, Elsevier, vol. 215(C), pages 396-404.
    42. Zhi-Fu Mi & Yi-Ming Wei & Bing Wang & Jing Meng & Zhu Liu & Yuli Shan & Jingru Liu & Dabo Guan, 2017. "Socioeconomic impact assessment of China's CO2 emissions peak prior to 2030," CEEP-BIT Working Papers 103, Center for Energy and Environmental Policy Research (CEEP), Beijing Institute of Technology.
    43. Khan, Muhammad Tariq Iqbal & Ali, Qamar & Ashfaq, Muhammad, 2018. "The nexus between greenhouse gas emission, electricity production, renewable energy and agriculture in Pakistan," Renewable Energy, Elsevier, vol. 118(C), pages 437-451.
    44. Ang, B.W. & Zhou, P. & Tay, L.P., 2011. "Potential for reducing global carbon emissions from electricity production--A benchmarking analysis," Energy Policy, Elsevier, vol. 39(5), pages 2482-2489, May.
    45. Ye, Bin & Jiang, JingJing & Li, Changsheng & Miao, Lixin & Tang, Jie, 2017. "Quantification and driving force analysis of provincial-level carbon emissions in China," Applied Energy, Elsevier, vol. 198(C), pages 223-238.
    46. Katsuya Ito, 2016. "CO2 emissions, renewable and non-renewable energy consumption, and economic growth: evidence from panel data for developed countries," Economics Bulletin, AccessEcon, vol. 36(1), pages 553-559.
    47. Harrison Fell & Daniel T. Kaffine, 2014. "A one-two punch: Joint effects of natural gas abundance and renewables on coal-fired power plants," Working Papers 2014-10, Colorado School of Mines, Division of Economics and Business.
    48. Steenhof, Paul A. & Weber, Chris J., 2011. "An assessment of factors impacting Canada's electricity sector's GHG emissions," Energy Policy, Elsevier, vol. 39(7), pages 4089-4096, July.
    49. Filippini, Massimo & Heimsch, Fabian, 2016. "The regional impact of a CO2 tax on gasoline demand: A spatial econometric approach," Resource and Energy Economics, Elsevier, vol. 46(C), pages 85-100.
    50. Maruyama, Naoko & Eckelman, Matthew J., 2009. "Long-term trends of electric efficiencies in electricity generation in developing countries," Energy Policy, Elsevier, vol. 37(5), pages 1678-1686, May.
    51. Marques, António Cardoso & Fuinhas, José Alberto & Pereira, Diogo André, 2018. "Have fossil fuels been substituted by renewables? An empirical assessment for 10 European countries," Energy Policy, Elsevier, vol. 116(C), pages 257-265.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Peng, Benhong & Wang, Yuanyuan & Wei, Guo, 2020. "Energy eco-efficiency: Is there any spatial correlation between different regions?," Energy Policy, Elsevier, vol. 140(C).
    2. Li, Yanmei & Cui, Yifei & Cai, Bofeng & Guo, Jingpeng & Cheng, Tianhai & Zheng, Fengjie, 2020. "Spatial characteristics of CO2 emissions and PM2.5 concentrations in China based on gridded data," Applied Energy, Elsevier, vol. 266(C).
    3. Wang, Yongpei & Yan, Weilong & Komonpipat, Supak, 2019. "How does the capacity utilization of thermal power generation affect pollutant emissions? Evidence from the panel data of China's provinces," Energy Policy, Elsevier, vol. 132(C), pages 440-451.

    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:renene:v:136:y:2019:i:c:p:317-330. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Haili He). General contact details of provider: http://www.journals.elsevier.com/renewable-energy .

    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 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.

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.