Regional Disparities and Transformation of Energy Consumption in China Based on a Hybrid Input-Output Analysis

Abstract

Different regions in China have different energy consumption characteristics and changing trends. This paper focuses on analyzing trends in energy consumption changes along the timeline for 30 regions in China. Using the Hybrid Input-Output Model, this paper decomposes energy consumption in 30 regions in 2007, 2012 and 2016 into energy embedded of final consumption expenditure, gross capital formation, inflow and outflow. We use these four dimensions as coordinates to draw a regional radar map. According to the changing characteristics of the radar map, 30 regions are divided into three groups. By analyzing the reasons for the changes in three regions, we draw the following conclusions. For regions where energy consumption is mainly inflow, the economically developed regions have to form a low energy consumption environment while achieving economic growth. The economically underdeveloped regions need to carry out energy conservation and emission reduction as well as ensuring the level of economic development. For some outflow regions with moderately economic development, it is necessary to balance the economic development and energy consumption control according to regional characteristics. For resource-rich regions which are in the process of transformation from agriculture to industrialization, they have to maintain the rapid development speed and strengthen their infrastructure with less energy consumption of buildings.

Keywords

• regional energy consumption
• Hybrid Input-Output Analysis
• RAS method
• energy structure decomposition