<p>Climate change has emerged as a global concern shared by nations worldwide. As the nation that leads the world in both energy consumption and carbon emissions, China sees its industrial sector dominate the nation’s fossil fuel use, with its coal consumption alone making up 95.78% of the national total. As most prior research on China’s energy efficiency overlooks the influence of regional industrial relocation, this study addresses the gap by incorporating the share of industrial output in GDP as an exogenous variable into a dynamic DEA framework for provincial assessment. Findings show that the relationship between energy efficiency and industrial share varies across regions, being negative in the east but positive in the central and western parts of the country. A key measure to enhance energy performance would be for the eastern provinces to relocate their industrial sectors. This requires that the central and western provinces prioritize green and sustainable development as a key criterion when introducing new industries.</p>

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China’s energy efficiency improvement by considering the impact of industrial transfer and applying a modified meta dynamic non-radial directional distance function

  • Xiangyu Teng,
  • Hong Jin,
  • Fan-peng Liu,
  • Tzu-han Chang,
  • Yung-ho Chiu

摘要

Climate change has emerged as a global concern shared by nations worldwide. As the nation that leads the world in both energy consumption and carbon emissions, China sees its industrial sector dominate the nation’s fossil fuel use, with its coal consumption alone making up 95.78% of the national total. As most prior research on China’s energy efficiency overlooks the influence of regional industrial relocation, this study addresses the gap by incorporating the share of industrial output in GDP as an exogenous variable into a dynamic DEA framework for provincial assessment. Findings show that the relationship between energy efficiency and industrial share varies across regions, being negative in the east but positive in the central and western parts of the country. A key measure to enhance energy performance would be for the eastern provinces to relocate their industrial sectors. This requires that the central and western provinces prioritize green and sustainable development as a key criterion when introducing new industries.