Factors driving aggregate service sector energy intensities in Asia and Eastern Europe: A LMDI analysis

Jianda Wang, Kangyin Dong (), Gal Hochman and Govinda R. Timilsina

Energy Policy, 2023, vol. 172, issue C

Abstract: The economywide energy intensities in the service sectors are declining in many countries worldwide. We identify the drivers of the declining trends by employing the Logarithmic Mean Divisia Index (LMDI) on annual data from 16 countries in the Asia and Eastern Europe for the 2000–2014 period. We find that the change in fuel mix has little contribution to driving the economywide energy intensity of the service sector down during the study horizon. Instead, the change in energy intensity contributes to a decrease in economywide energy intensity of service sectors in most countries except the Czech Republic, Estonia, Latvia, and Turkey. Moreover, since energy intensity is inseparable from economic development, changes in economic structure are an essential determinant of the economywide energy intensity of service sectors. This work also analyzes the sectoral attribution and energy feedstocks attribution of economywide energy intensity of the service sectors.

Keywords: Economywide energy intensity; Service sectors; Countries in Asia and Eastern Europe; Logarithmic mean divisia index (LMDI) method; Contribution analysis (search for similar items in EconPapers)
JEL-codes: C43 O13 O14 Q43 Q57 (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:enepol:v:172:y:2023:i:c:s0301421522005341

DOI: 10.1016/j.enpol.2022.113315

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