Factors Influencing Energy Intensity in Four Chinese Industries

Energy intensity has declined significantly in four Chinese industries -- pulp and paper; cement; iron and steel; and aluminum. While previous studies have identified technological change within an industry to be an important influence on energy in...

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Main Authors: Fisher-Vanden, Karen, Hu, Yong, Jefferson, Gary, Rock, Michael, Toman, Michael
Format: Policy Research Working Paper
Language:English
Published: World Bank, Washington, D.C. 2013
Subjects:
Online Access:http://documents.worldbank.org/curated/en/2013/07/18055822/factors-influencing-energy-intensity-four-chinese-industries
http://hdl.handle.net/10986/15912
id okr-10986-15912
recordtype oai_dc
spelling okr-10986-159122021-04-23T14:03:26Z Factors Influencing Energy Intensity in Four Chinese Industries Fisher-Vanden, Karen Hu, Yong Jefferson, Gary Rock, Michael Toman, Michael ABSORPTIVE CAPACITY ALUMINUM INDUSTRY APPROACH BUILDING MATERIALS CAPABILITIES CEMENT CEMENT INDUSTRY CEMENT PLANTS CEMENT PRODUCTION COAL DEMAND FOR ENERGY ECONOMIC DEVELOPMENT EFFICIENCY IMPROVEMENT EMISSION EMISSION REDUCTION ENERGY CONSERVATION ENERGY CONSUMPTION ENERGY COSTS ENERGY ECONOMICS ENERGY EFFICIENCY ENERGY EFFICIENCY IMPROVEMENTS ENERGY INPUT ENERGY INTENSITY ENERGY MANAGEMENT ENERGY POLICY ENERGY PRICE ENERGY PRICING ENERGY SAVINGS ENERGY USAGE ENERGY USE ENVIRONMENT PROTECTION ENVIRONMENTAL ENGINEERING ENVIRONMENTAL PROTECTION ENVIRONMENTAL PROTECTION AGENCY FOREIGN DIRECT INVESTMENT FUEL FUEL SUBSTITUTION GAS GENERATION GLOBALIZATION GOVERNMENT POLICIES GROSS DOMESTIC PRODUCT HEAT HIGHER ENERGY PRICES IMPROVEMENTS IN ENERGY EFFICIENCY INDUSTRIAL DEVELOPMENT INDUSTRIAL ECONOMY INDUSTRIAL SECTOR INDUSTRIAL STRUCTURE INNOVATION INTERNATIONAL COMPETITION IRON MANAGERIAL SKILLS MANUFACTURING MARKET ECONOMY MARKET PRICES MATERIAL MEDIUM ENTERPRISE OPEN ACCESS OUTDATED TECHNOLOGIES OUTSOURCING PAPER INDUSTRY POLLUTION POLLUTION PREVENTION POWER PRICE ELASTICITY PRIMARY ENERGY PRIMARY ENERGY CONSUMPTION PRODUCT INNOVATION PRODUCTION PROCESS PRODUCTION PROCESSES PRODUCTIVITY R&D RAW MATERIALS RESULT RESULTS TECHNOLOGY DEVELOPMENT TECHNOLOGY TRANSFER TIME PERIOD WASTE WASTEWATER WEB WORLD TRADE Energy intensity has declined significantly in four Chinese industries -- pulp and paper; cement; iron and steel; and aluminum. While previous studies have identified technological change within an industry to be an important influence on energy intensity, few have examined how industry-specific policies and market factors also affect industry-level intensity. This paper employs unique firm-level data from China's most energy-intensive large and medium-size industrial enterprises in each of these four industries over a six-year period from 1999 to 2004. It empirically examines how China's energy-saving programs, liberalization of domestic markets, openness to the world economy, and other policies, contribute to the decline in energy intensity in these industries. The results suggest that rising energy costs are a significant contributor to the decline in energy intensity in all four industries. China's industrial policies targeting scale economies -- for example, "grasping the large, letting go off the small" -- also seem to have contributed to reductions in energy intensity in these four industries. However, the results also suggest that trade openness and technology development led to declines in energy intensity in only one or two of these industries. Finally, the analysis finds that energy intensities vary among firms with different ownership types and regional locations. 2013-09-27T18:44:20Z 2013-09-27T18:44:20Z 2013-07 http://documents.worldbank.org/curated/en/2013/07/18055822/factors-influencing-energy-intensity-four-chinese-industries http://hdl.handle.net/10986/15912 English Policy Research Working Paper;No.6551 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, D.C. Publications & Research :: Policy Research Working Paper Publications & Research East Asia and Pacific China
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
topic ABSORPTIVE CAPACITY
ALUMINUM INDUSTRY
APPROACH
BUILDING MATERIALS
CAPABILITIES
CEMENT
CEMENT INDUSTRY
CEMENT PLANTS
CEMENT PRODUCTION
COAL
DEMAND FOR ENERGY
ECONOMIC DEVELOPMENT
EFFICIENCY IMPROVEMENT
EMISSION
EMISSION REDUCTION
ENERGY CONSERVATION
ENERGY CONSUMPTION
ENERGY COSTS
ENERGY ECONOMICS
ENERGY EFFICIENCY
ENERGY EFFICIENCY IMPROVEMENTS
ENERGY INPUT
ENERGY INTENSITY
ENERGY MANAGEMENT
ENERGY POLICY
ENERGY PRICE
ENERGY PRICING
ENERGY SAVINGS
ENERGY USAGE
ENERGY USE
ENVIRONMENT PROTECTION
ENVIRONMENTAL ENGINEERING
ENVIRONMENTAL PROTECTION
ENVIRONMENTAL PROTECTION AGENCY
FOREIGN DIRECT INVESTMENT
FUEL
FUEL SUBSTITUTION
GAS
GENERATION
GLOBALIZATION
GOVERNMENT POLICIES
GROSS DOMESTIC PRODUCT
HEAT
HIGHER ENERGY PRICES
IMPROVEMENTS IN ENERGY EFFICIENCY
INDUSTRIAL DEVELOPMENT
INDUSTRIAL ECONOMY
INDUSTRIAL SECTOR
INDUSTRIAL STRUCTURE
INNOVATION
INTERNATIONAL COMPETITION
IRON
MANAGERIAL SKILLS
MANUFACTURING
MARKET ECONOMY
MARKET PRICES
MATERIAL
MEDIUM ENTERPRISE
OPEN ACCESS
OUTDATED TECHNOLOGIES
OUTSOURCING
PAPER INDUSTRY
POLLUTION
POLLUTION PREVENTION
POWER
PRICE ELASTICITY
PRIMARY ENERGY
PRIMARY ENERGY CONSUMPTION
PRODUCT INNOVATION
PRODUCTION PROCESS
PRODUCTION PROCESSES
PRODUCTIVITY
R&D
RAW MATERIALS
RESULT
RESULTS
TECHNOLOGY DEVELOPMENT
TECHNOLOGY TRANSFER
TIME PERIOD
WASTE
WASTEWATER
WEB
WORLD TRADE
spellingShingle ABSORPTIVE CAPACITY
ALUMINUM INDUSTRY
APPROACH
BUILDING MATERIALS
CAPABILITIES
CEMENT
CEMENT INDUSTRY
CEMENT PLANTS
CEMENT PRODUCTION
COAL
DEMAND FOR ENERGY
ECONOMIC DEVELOPMENT
EFFICIENCY IMPROVEMENT
EMISSION
EMISSION REDUCTION
ENERGY CONSERVATION
ENERGY CONSUMPTION
ENERGY COSTS
ENERGY ECONOMICS
ENERGY EFFICIENCY
ENERGY EFFICIENCY IMPROVEMENTS
ENERGY INPUT
ENERGY INTENSITY
ENERGY MANAGEMENT
ENERGY POLICY
ENERGY PRICE
ENERGY PRICING
ENERGY SAVINGS
ENERGY USAGE
ENERGY USE
ENVIRONMENT PROTECTION
ENVIRONMENTAL ENGINEERING
ENVIRONMENTAL PROTECTION
ENVIRONMENTAL PROTECTION AGENCY
FOREIGN DIRECT INVESTMENT
FUEL
FUEL SUBSTITUTION
GAS
GENERATION
GLOBALIZATION
GOVERNMENT POLICIES
GROSS DOMESTIC PRODUCT
HEAT
HIGHER ENERGY PRICES
IMPROVEMENTS IN ENERGY EFFICIENCY
INDUSTRIAL DEVELOPMENT
INDUSTRIAL ECONOMY
INDUSTRIAL SECTOR
INDUSTRIAL STRUCTURE
INNOVATION
INTERNATIONAL COMPETITION
IRON
MANAGERIAL SKILLS
MANUFACTURING
MARKET ECONOMY
MARKET PRICES
MATERIAL
MEDIUM ENTERPRISE
OPEN ACCESS
OUTDATED TECHNOLOGIES
OUTSOURCING
PAPER INDUSTRY
POLLUTION
POLLUTION PREVENTION
POWER
PRICE ELASTICITY
PRIMARY ENERGY
PRIMARY ENERGY CONSUMPTION
PRODUCT INNOVATION
PRODUCTION PROCESS
PRODUCTION PROCESSES
PRODUCTIVITY
R&D
RAW MATERIALS
RESULT
RESULTS
TECHNOLOGY DEVELOPMENT
TECHNOLOGY TRANSFER
TIME PERIOD
WASTE
WASTEWATER
WEB
WORLD TRADE
Fisher-Vanden, Karen
Hu, Yong
Jefferson, Gary
Rock, Michael
Toman, Michael
Factors Influencing Energy Intensity in Four Chinese Industries
geographic_facet East Asia and Pacific
China
relation Policy Research Working Paper;No.6551
description Energy intensity has declined significantly in four Chinese industries -- pulp and paper; cement; iron and steel; and aluminum. While previous studies have identified technological change within an industry to be an important influence on energy intensity, few have examined how industry-specific policies and market factors also affect industry-level intensity. This paper employs unique firm-level data from China's most energy-intensive large and medium-size industrial enterprises in each of these four industries over a six-year period from 1999 to 2004. It empirically examines how China's energy-saving programs, liberalization of domestic markets, openness to the world economy, and other policies, contribute to the decline in energy intensity in these industries. The results suggest that rising energy costs are a significant contributor to the decline in energy intensity in all four industries. China's industrial policies targeting scale economies -- for example, "grasping the large, letting go off the small" -- also seem to have contributed to reductions in energy intensity in these four industries. However, the results also suggest that trade openness and technology development led to declines in energy intensity in only one or two of these industries. Finally, the analysis finds that energy intensities vary among firms with different ownership types and regional locations.
format Publications & Research :: Policy Research Working Paper
author Fisher-Vanden, Karen
Hu, Yong
Jefferson, Gary
Rock, Michael
Toman, Michael
author_facet Fisher-Vanden, Karen
Hu, Yong
Jefferson, Gary
Rock, Michael
Toman, Michael
author_sort Fisher-Vanden, Karen
title Factors Influencing Energy Intensity in Four Chinese Industries
title_short Factors Influencing Energy Intensity in Four Chinese Industries
title_full Factors Influencing Energy Intensity in Four Chinese Industries
title_fullStr Factors Influencing Energy Intensity in Four Chinese Industries
title_full_unstemmed Factors Influencing Energy Intensity in Four Chinese Industries
title_sort factors influencing energy intensity in four chinese industries
publisher World Bank, Washington, D.C.
publishDate 2013
url http://documents.worldbank.org/curated/en/2013/07/18055822/factors-influencing-energy-intensity-four-chinese-industries
http://hdl.handle.net/10986/15912
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