Volume 6: Innovative Solutions for Energy Transitions: Part V

Analyses on Residential Energy Demand and Environmental Emission Characteristics in Urban China Lijun Wang*, Donglan Zha, Dequn Zhou

Abstract

The characteristics of residential energy consumption and environmental emission in urban China was focused in this paper. For that, consumer expenditure items of urban residents (1997~2015) was reclassified into five categories i.e., Food, Residential energy use, Housing and household appliances, Transport and communication, Other goods and services. The expenditure consumer price indexes of new categories were calculated. We reclassified industrial sectors of Chinese environmentally extended input-output (CEEIO) accordingly. An Almost Ideal Demand System (AIDS) was employed to calculate price and expenditure elasticity of residential energy demand. The Economic Input-Output Environmental Life Cycle Assessment (EEIO-LCA) method was introduced to estimate cumulative energy consumption and environmental emissions per monetary unit considering the whole life cycle perspective. We found that during the period of 1997~2015, for each 1% increase in household income, there would be a 1.13% increase in energy use. The uncompensated demand price elasticity was -0.2096, while the compensated was -0.2565. The cumulative energy consumption and environmental emission intensities of each sectors show continued steady decline trends. Specifically, For each 10000 yuan of expenditures, energy consumption, CO2, nitrogen oxides, SO2, smoke and dust emission decreased from 2.9848tce, 26.2843t, 0.1005t, 0.0962t and 0.0677t in 1997 to 1.6161tce, 8.192t, 0.0182t, 0.0172t and 0.0087t in 2015 respectively, which declined at an average annual rate of 18.49%、32.2%、43.66%、43.42%、49.54% respectively. It means that the energy and environmental efficiency in Chinese urban residential sector has been improved dramatically for nearly two decades.

Keywords Demand analysis; Almost Ideal Demand System; Economic Input-Output Environmental Life Cycle Assessment; Cumulative environmental emission intensity