Electrical energy efficiency of China and its influencing factors

Due to the implementation of “electrical energy substitution” strategy in China, the proportion of electrical energy in terminal energy consumption is increasing. The improvement of electrical energy efficiency could increase overall energy efficiency. Thus, a special attention should be paid on electrical energy efficiency. An input-oriented epsilon-based measure-DEA (data envelopment analysis) model was used to measure electrical energy efficiency from the perspective of total factor, and the spatial-temporal variability of electrical energy efficiency was investigated. Results draw that the overall electrical energy efficiency is relatively low and shows a downward trend. The eastern region has the best scores of electrical energy efficiency, followed by the central region and then the western region. Furthermore, the main associated determinants were investigated by panel Tobit regression model. It was found that the effect of industrial structure and economic opening degree on electrical energy efficiency is positive on the whole country level, whereas the effect of government intervention and urbanization is negative. From a regional perspective, there are great differences in the effect of each influencing factors. Some corresponding policy recommendations are given.