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Carbon pricing for low carbon technology diffusion: A survey analysis of China's cement industry

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  • Liu, Xianbing
  • Fan, Yongbin
  • Li, Chen

Abstract

This study estimates the effect of using carbon pricing to promote the diffusion of low carbon technologies based on data collected from 78 cement companies in China. The analysis confirms that they are familiar with major energy saving and low carbon technologies in the sector and have made efforts in energy saving, but are lagging in terms of carbon management. An average payback time of 3.3 years is confirmed as the threshold for cement companies to determine technology investment. The adoptions of target technologies in this survey are at different stages; WHR (waste heat recovery power generation) systems have been largely diffused and the effect of carbon pricing is highly marginal for further adoption. On the other hand, levying a moderate carbon price, i.e., 60 Yuan/t-CO2, may accelerate the diffusion of EMOS (energy management and optimisation systems), recently introduced in China's cement industry. This research goes some way to clarifying the diffusion of low carbon technologies and provides implications for climate countermeasures for the target sector in China.

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  • Liu, Xianbing & Fan, Yongbin & Li, Chen, 2016. "Carbon pricing for low carbon technology diffusion: A survey analysis of China's cement industry," Energy, Elsevier, vol. 106(C), pages 73-86.
    • Handle: RePEc:eee:energy:v:106:y:2016:i:c:p:73-86
    DOI: 10.1016/j.energy.2016.03.044
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    7. Liu, Xianbing & Fan, Yongbin & Wang, Can, 2017. "An estimation of the effect of carbon pricing for CO2 mitigation in China’s cement industry," Applied Energy, Elsevier, vol. 185(P1), pages 671-686.
    8. Zeng, Yongchao & Shi, Yingying & Shahbaz, Muhammad & Liu, Qin, 2024. "Scenario-based policy representative exploration: A novel approach to analyzing policy portfolios and its application to low-carbon energy diffusion," Energy, Elsevier, vol. 296(C).
    9. Wang, Chunyan & Wang, Ranran & Hertwich, Edgar & Liu, Yi, 2017. "A technology-based analysis of the water-energy-emission nexus of China’s steel industry," Resources, Conservation & Recycling, Elsevier, vol. 124(C), pages 116-128.
    10. Junxiao Wei & Kuang Cen & Yuanbo Geng, 2019. "Evaluation and mitigation of cement CO2 emissions: projection of emission scenarios toward 2030 in China and proposal of the roadmap to a low-carbon world by 2050," Mitigation and Adaptation Strategies for Global Change, Springer, vol. 24(2), pages 301-328, February.
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    13. Yang, Lin & Li, Fengyu & Zhang, Xian, 2016. "Chinese companies’ awareness and perceptions of the Emissions Trading Scheme (ETS): Evidence from a national survey in China," Energy Policy, Elsevier, vol. 98(C), pages 254-265.

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