Evaluation of carbon emission efficiency and spatial relevance in the thermal power industry: evidence from China

The power sector has been the industry that generates the most carbon emissions in China, with its share of emissions reaching 50% at its peak, causing serious environmental problems. Therefore, the power sector is the core and key part to achieve the overall national goal of reducing emissions. In this study, the Undesirable-SBM (Slack-Based Measure) model was used to assess the carbon emission efficiency of the thermal power sector in China by province in the period from 2010 to 2019. Further, the index decomposition is carried out based on the construction of the global carbon emission efficiency index in conjunction with the Malmquist index, and the causes and sensitivities of carbon emission efficiency changes are explored by technical efficiency changes and technical progress changes. Finally, the spatial correlation of carbon emission efficiency in thermal power industry is diagnosed by combining Moran index. The results show that the overall average carbon emission efficiency of China's provincial thermal power industry is low, with some regional differences, showing a decreasing order of east-west and central regions, and the carbon emission efficiency of thermal power industry has significant spatial correlation between regions, with positive spillover effects on neighboring provinces, and strengthening over time. The carbon emission efficiency itself is lower in the central and western regions, and it is easier to achieve a larger improvement, and the positive impact of technological changes on efficiency changes is stronger. Therefore, inter-regional technical cooperation can help improve carbon efficiency.

Automated summary

The power sector in China has been responsible for generating the most carbon emissions, reaching a peak share of 50% and causing severe environmental problems. This study assesses the carbon emission efficiency of the thermal power sector in China's provinces from 2010 to 2019 using the Undesirable-SBM model. The results reveal regional differences in carbon emission efficiency and emphasize the importance of inter-regional technical cooperation to improve efficiency.