A new energy decomposition method: perfect in decomposition and consistent in aggregation

B.W. Ang () and F.L. Liu

Energy, 2001, vol. 26, issue 6, 537-548

Abstract: A new energy decomposition method, called the Log-Mean Divisia Index Method I (LMDI I), is presented. It has the desirable properties of perfect decomposition and consistency in aggregation. Perfect decomposition ensures that the decomposition results obtained do not contain a residual term. Consistency in aggregation allows estimates for sub-groups to be aggregated in a consistent manner. The formulation of the new method and the usefulness of aggregation consistency in energy decomposition studies are described. Two case studies on energy-related CO2 emissions are presented.

Date: 2001
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Persistent link: https://EconPapers.repec.org/RePEc:eee:energy:v:26:y:2001:i:6:p:537-548

DOI: 10.1016/S0360-5442(01)00022-6

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