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Will energy efficiency improvements reduce energy consumption? Perspective of rebound effect and evidence from beijing

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  • Kong, Li
  • Mu, Xianzhong
  • Hu, Guangwen
  • Tu, Chuang

Abstract

Improving energy efficiency is one of the most effective ways to reduce energy waste and achieve carbon neutrality, but it may also bring the energy rebound effect and thus fail to achieve the desired energy conservations. In this paper, we examine the energy rebound effect of Beijing at the level of overall economy, industry and sector based on the Cobb-Douglas production function and the idea of Solow residual, so as to clarify the true impact of technological progress on energy-saving target. Results suggest that: (1) The overall economy of Beijing shows partial rebound effect in most years and appears backfire effect in some years, but the degree of the rebound effect has been gradually mitigated; (2) The energy rebound degree of the tertiary industry is higher than that of the secondary industry on the whole, but the rebound effect of the secondary industry fluctuates more obviously; (3) Energy savings at the sector level is also not ideal, and in most cases, sectors with low energy efficiency have a higher rebound effect than sectors with high energy efficiency. Based on these results, suggestions are provided to alleviate the energy rebound effect of Beijing.

Suggested Citation

  • Kong, Li & Mu, Xianzhong & Hu, Guangwen & Tu, Chuang, 2023. "Will energy efficiency improvements reduce energy consumption? Perspective of rebound effect and evidence from beijing," Energy, Elsevier, vol. 263(PA).
    • Handle: RePEc:eee:energy:v:263:y:2023:i:pa:s0360544222025518
    DOI: 10.1016/j.energy.2022.125665
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