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Energy Efficiency of China’s Iron and Steel Industry from the Perspective of Technology Heterogeneity

Author

Listed:
  • Xiaoling Wang

    (School of Economics and Management, University of Science and Technology Beijing, Beijing 100083, China)

  • Feng He

    (School of Economics and Management, University of Science and Technology Beijing, Beijing 100083, China)

  • Linfeng Zhang

    (Department of development and science and technology, China Iron and Steel Association, Beijing 100711, China)

  • Lili Chen

    (School of Economics and Management, Tsinghua University, Beijing 100084; China)

Abstract

This paper investigates energy efficiency with the presence of undeniable outputs, efficiency gaps across regions, and determinants of inefficiency of the Chinese Iron and Steel (IS) industry by combining hybrid measure technology and the meta-frontier approach. Empirical results obtained from analyses based on panel data spanning 2010–2015 reveal the necessity of green transition of the IS industry. Simultaneously addressing power supply, environmental impacts, and value creation of energy is still one of the most formidable challenges facing the IS industry nowadays. Moreover, distinct spatial heterogeneity in technology exists extensively across the regions. Energy efficiency of the IS industry in the eastern region performed the best, whereas the central and western areas fell behind due to the intension of managerial failure and expansion of the technology gap. Based on the findings, general and regional-specific policy implications and suggestions are posited.

Suggested Citation

  • Xiaoling Wang & Feng He & Linfeng Zhang & Lili Chen, 2018. "Energy Efficiency of China’s Iron and Steel Industry from the Perspective of Technology Heterogeneity," Energies, MDPI, vol. 11(5), pages 1-11, May.
    • Handle: RePEc:gam:jeners:v:11:y:2018:i:5:p:1247-:d:146155
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    References listed on IDEAS

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    6. Song, Yi & Huang, Jian-Bai & Feng, Chao, 2018. "Decomposition of energy-related CO2 emissions in China's iron and steel industry: A comprehensive decomposition framework," Resources Policy, Elsevier, vol. 59(C), pages 103-116.
    7. Li, Hai-ling & Zhu, Xue-hong & Chen, Jin-yu & Jiang, Fei-tao, 2019. "Environmental regulations, environmental governance efficiency and the green transformation of China's iron and steel enterprises," Ecological Economics, Elsevier, vol. 165(C), pages 1-1.
    8. Feng, Chao & Huang, Jian-Bai & Wang, Miao, 2018. "Analysis of green total-factor productivity in China's regional metal industry: A meta-frontier approach," Resources Policy, Elsevier, vol. 58(C), pages 219-229.
    9. Lei Li & Ruizeng Zhao & Feihua Huang, 2023. "Environmental Performance of China’s Industrial System Considering Technological Heterogeneity and Interaction," Sustainability, MDPI, vol. 15(4), pages 1-17, February.
    10. Kim, Nam Hyok & He, Feng & Kwon, O Chol, 2023. "Combining common-weights DEA window with the Malmquist index: A case of China’s iron and steel industry," Socio-Economic Planning Sciences, Elsevier, vol. 87(PB).
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