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The resource curse in energy-rich regions: Evidence from China's ultra-high voltage transmission

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  • He, Ruofan
  • Wan, Panbing
  • Yang, Mian

Abstract

Coordinating the energy mix transition with environmental protection is essential for reducing climate risks. Long-term fossil fuel exploitation and utilization result in increasing ecological risks in energy-rich regions. While ultra-high voltage (UHV) transmission is considered a key tool for promoting long-distance energy consumption, its ecological impact has received little attention. Using city-level panel data from 2005 to 2019 in China, this study examines the impact of UHV transmission on eco-environmental quality in energy-rich regions. The empirical results show that UHV transmission reduces eco-environmental quality in energy-rich regions. This effect is particularly pronounced in regions with more abundant fossil energy sources, underdeveloped economies, and weak environmental regulations. Mechanism analysis finds that UHV transmission promotes the expansion of power generation in energy-rich regions, followed by lagging industrial structure, weakening eco-environmental governance and intensifying resource exploitation. These findings suggest that increasing the utilization of renewable energy and strengthening environmental regulation are essential for achieving sustainable development in energy-rich regions.

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  • He, Ruofan & Wan, Panbing & Yang, Mian, 2024. "The resource curse in energy-rich regions: Evidence from China's ultra-high voltage transmission," Energy, Elsevier, vol. 304(C).
    • Handle: RePEc:eee:energy:v:304:y:2024:i:c:s0360544224019273
    DOI: 10.1016/j.energy.2024.132153
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    Keywords

    Ultra-high voltage transmission; Energy-rich regions; Eco-environmental quality; Resource curse; Renewable energy;
    All these keywords.

    JEL classification:

    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • O22 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Project Analysis

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