wAbstract
@This article investigates the impact of China's differential
electricity pricing policy on power sector CO2
emissions using the logarithmic mean divisia index method. The
differential pricing policy, intended to reduce energy intensity
in manufacturing, is being implemented in eight electricity-intensive
industries. The study finds that, during 2004-2009, the policy
accounted for a drop of roughly 115 TWh in electricity use, which
amounted to a reduction of 82 million tons of CO2
emissions. The policy has been most effective in reducing electricity
use in the nonferrous metal smelting and rolling industry, and
least effective in the ferrous metal smelting and rolling industry.
Because the differential pricing policy has had significantly
different effects across industries, improving the policy's design
and implementation going forward will require a more detailed
understanding and analysis of how it can be better tailored to
individual industries.
Keywords: Differential pricing policy; CO2
emissions; Power sectorx
1. Introduction
2. Background
@2.1. Electricity consumption in China
@2.2. Differential electricity pricing
@2.3. Review of LMDI decomposition analysis
3. Methods
4. Impact of the differential pricing policy
5. Conclusions and policy recommendations
Acknowledgments
References