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Coal,oil, or clean energy: Which contributes most to the low energy efficiency in China?
Affiliation:1. General Education Center, Kainan University, No. 1 Kainan Road, Luzhu Shiang, Taoyuan, Taiwan;2. Department of Public Finance, National Chengchi University, No. 64, ZhiNan Road Sec. 2, Taipei 116, Taiwan;3. School of Economics, Henan University, Jin Ming Avenue, Kaifeng 475004, China;1. School of Economics, Henan University, Kaifeng, China;2. Department of Economics, University of International Business and Economics, Beijing 100029,China;3. School of Economics, Henan University, Kaifeng, China;1. School of Economics, Henan University, Kaifeng, Henan 475004, China;2. Department of Economics, Lehigh University, Bethlehem, PA 18015, USA
Abstract:The lack of energy efficiency in China is always of interest. This paper builds a total-factor energy efficiency framework which contains coal energy, oil energy, and clean energy, which emits fewer pollutants into the atmosphere when used. We study the “China Statistical Yearbook” and the “China Energy Statistical Yearbook” to identify which type of energy contributes most to low energy efficiency in China. Our conclusion is that the total-factor energy efficiency (TFEE) in China has been at a relatively low level without any significant improvement from 1998 to 2010. The efficiencies of coal and oil energy have improved moderately, while there is no obvious improvement in the efficiency of clean energy. Despite the moderately improved efficiency of coal energy, its relatively low level contributes most to the overall energy inefficiency because it is the main fuel used in China. Further, the lack of improvements in the efficiency of clean energy makes it another area of policy interest.
Keywords:Total-factor energy efficiency  Low efficiency in China  Coal energy  Oil energy  Clean energy
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