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Technology heterogeneity in European industries' energy efficiency performance. The role of climate, greenhouse gases, path dependence and energy mix

Kostantinos Kounetas () and Eirini Stergiou

MPRA Paper from University Library of Munich, Germany

Abstract: Assessment of industrial-level energy efficiency development is a critical research topic that has infiltrated in the global battle against climate change. A balanced panel of fourteen European industries from twenty-four countries for the period 1995-2011 is introduced into a metafrontier framework. Reflecting the divergent views on the importance of desirable and undesirable outcomes in the pursuit of energy efficiency, the proposed approach estimate industrial performance by prioritizing either economic or environmental criterion incorporating technological heterogeneity. It is found that small-scale economies exhibit persistent high energy efficiency scores. Regarding energy efficiency determinants, path dependence phenomena have a strong presence, climate characteristics occurs, while energy mix displays linear but also non-linear relationships. Finally, regardless of the method employed, there is a strong evidence of conditional and unconditional convergence.

Keywords: European industries; Energy efficiency; Technology heterogeneity; Directional distance function; Energy mix; Path dependence; Convergence. (search for similar items in EconPapers)
JEL-codes: D24 D29 Q40 Q49 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-eff, nep-ene, nep-env, nep-reg and nep-tid
Date: 2019-01-03
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