How to Move China toward a Green-Energy Economy: From a Sector Perspective

Jie-fang Dong, Qiang Wang, Chun Deng, Xing-min Wang and Xiao-lei Zhang
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Jie-fang Dong: State Key Laboratory of Desert and Oasis Ecology, Xinjiang Institute of Ecology and Geography, Chinese Academy of Sciences, Urumqi 830011, China
Qiang Wang: State Key Laboratory of Desert and Oasis Ecology, Xinjiang Institute of Ecology and Geography, Chinese Academy of Sciences, Urumqi 830011, China
Chun Deng: Department of Economics and Management, Yuncheng University, Yuncheng 044000, China
Xing-min Wang: State Key Laboratory of Desert and Oasis Ecology, Xinjiang Institute of Ecology and Geography, Chinese Academy of Sciences, Urumqi 830011, China
Xiao-lei Zhang: State Key Laboratory of Desert and Oasis Ecology, Xinjiang Institute of Ecology and Geography, Chinese Academy of Sciences, Urumqi 830011, China

Sustainability, 2016, vol. 8, issue 4, 1-18

Abstract: With China’s rapid economic growth, energy-related CO 2 emissions have experienced a dramatic increase. Quantification of energy-related CO 2 emissions that occur in China is of serious concern for the policy makers to make efficient environmental policies without damaging the economic growth. Examining 33 productive sectors in China, this paper combined the extended “Kaya identity” and “IPAT model” with the Log-Mean Divisia Index Method (LMDI) to analyze the contribution of various factors driving of energy-related CO 2 emissions in China during 1995–2009. Empirical results show that the main obstacle that hinders China’s transition to a green energy economy is the economic structure characterized by high carbon emissions. In contrast, the increased proportion of renewable energy sources (RES) and the improvement of energy efficiency play a more important role in reducing carbon emissions. Moreover, the power sector has a pivotal position in CO 2 emissions reduction, primarily because of the expansion of electricity consumption. These findings suggest that policies and measures should be considered for various industrial sectors to maximize the energy efficiency potential. In addition, optimizing the industrial structure is more urgent than adjusting the energy structure for China.

Keywords: CO 2 emissions; LMDI I; production sector; green-energy economy; China (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2016
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (15)

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