Analysis of the Efficiency of Provincial Electricity Substitution in China Based on a Three-Stage DEA Model

Dongxiao Niu, Tian Gao, Zhengsen Ji, Yujing Liu and Gengqi Wu
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Dongxiao Niu: School of Economics and Management, North China Electric Power University, Beijing 102206, China
Tian Gao: School of Economics and Management, North China Electric Power University, Beijing 102206, China
Zhengsen Ji: School of Economics and Management, North China Electric Power University, Beijing 102206, China
Yujing Liu: School of Economics and Management, North China Electric Power University, Beijing 102206, China
Gengqi Wu: School of Economics and Management, North China Electric Power University, Beijing 102206, China

Energies, 2021, vol. 14, issue 20, 1-17

Abstract: An electricity substitution strategy that replaces fossil fuels such as coal and oil with electricity in end-use energy consumption, can effectively contribute to an energy transition and the early achievement of carbon peaking and carbon neutrality targets. As the benefits of electricity substitution are not synchronized across China’s regions, this paper uses a three-stage data envelopment analysis (DEA) model to measure the efficiency of electric energy substitution in 30 provinces of China in 2017. The results show that both environmental factors and random errors have significant effects on energy efficiency. After eliminating these influences, the efficiency of electrical energy substitution among regions presented the following pattern: “high in the east and low in the west”. According to the evaluation results, this paper proposes corresponding suggestions for the development of electrical energy substitution.

Keywords: electricity substitution; three-stage data envelopment analysis; efficiency analysis (search for similar items in EconPapers)
JEL-codes: Q Q0 Q4 Q40 Q41 Q42 Q43 Q47 Q48 Q49 (search for similar items in EconPapers)
Date: 2021
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