Can China achieve its CO 2 emission reduction targets in agriculture sector? Evidence from technological efficiency anal
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ORIGINAL PAPER
Can China achieve its CO2 emission reduction targets in agriculture sector? Evidence from technological efficiency analysis R. L. Fei1 · W. H. You2 · H. L. Wang1 Received: 25 December 2019 / Revised: 14 March 2020 / Accepted: 22 April 2020 © Islamic Azad University (IAU) 2020
Abstract The objective of this paper is to conduct a comparative analysis of the real and potential CO2 emission intensity in China’s agricultural sector. In order to perform this goal, this paper combines the concept of the meta-frontier efficiency and the directional distance function to process empirical work. This methodology allows for the incorporation of technological heterogeneities into the efficiency analysis and implementation results of increment in desirable outputs and reduction in undesirable outputs. Empirical results indicate that the average total-factor C O2 emission efficiency is 0.481 and has a slight downward trend over the studied period, which is lower than that of the whole industry in China. CO2 emission efficiency and the technology gap ratios among different regions in China’s agricultural sector show different space–time characteristics. A comparative analysis is applied in this study to verify the relationship between the actual and potential C O2 intensities, whose average values are, respectively, 0.1972 and 0.0816 Mtc/billion yuan RMB. Research shows that there exists huge space for CO2 intensity reduction. Meanwhile, the major contributor to the potential CO2 intensity reduction varies across different regions, as managerial failure for most provinces in the eastern and central regions and technology gap in the western regions. Keywords CO2 emission efficiency · Directional distance function · Meta-frontier technological heterogeneities · The potential CO2 intensity reduction
Introduction Global climate change and environmental pollution are worsening because of the reckless use of the conventional fossil fuels (Nicoletti et al. 2015; Asafu-Adjaye et al. 2016; Tajbakhsh and Hassini 2018; Monasterolo and Raberto 2019; Yildiz et al. 2019). Environmental regulations and laws have been strengthened and amended to show the concern for the environment issues all over the world. In this aspect, the targets of energy management and carbon accounting are set for energy saving and C O2 emission reduction as a key obligatory element in many countries and areas (Fernando and Hor 2017; Finnerty et al. 2018; Editorial responsibility: J. Aravind. * W. H. You [email protected] 1
School of Economics, Wuhan University of Technology, Wuhan, 430070, People’s Republic of China
School of Economics and Management, Fuzhou University, Fuzhou 350116, People’s Republic of China
2
Haidar et al. 2018; Ibrahim 2018; Azad et al. 2019; Haley et al. 2020). As an example, China has declared a low-carbon and green development path to reduce energy consumption and CO2 emission per unit of GDP in the 12th 5-year plan. It proposed that China would cut its CO2 emissions per unit of GDP by 40–50% below 2005 lev
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