Industrial agglomeration and firm energy intensity: How important is spatial proximity?

Wang, J; Sun, F; Lv, K; Wang, L

Industrial agglomeration and firm energy intensity: How important is spatial proximity?

Wang, J

Sun, F Lv, K Wang, L

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Publisher:: Elsevier
Publication Type:: Journal Article
Citation:: Energy Economics, 2022, 112, pp. 106155
Issue Date:: 2022-08-01

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Field	Value	Language
dc.contributor.author	Wang, J https://orcid.org/0000-0001-6128-1254
dc.contributor.author	Sun, F
dc.contributor.author	Lv, K
dc.contributor.author	Wang, L
dc.date.accessioned	2023-07-06T11:46:50Z
dc.date.available	2023-07-06T11:46:50Z
dc.date.issued	2022-08-01
dc.identifier.citation	Energy Economics, 2022, 112, pp. 106155
dc.identifier.issn	0140-9883
dc.identifier.uri	http://hdl.handle.net/10453/171272
dc.description.abstract	Understanding the underlying determinants of energy intensity in countries with intensive energy consumption, such as China, is essential for addressing carbon emissions and global climate change. This study investigates the impact of spatial agglomeration on manufacturers' energy consumption behaviour using large-scale firm-level data compiled from complementary data sources in China. We create a circle around each firm instead of measuring agglomeration by aggregating economic activities in a predetermined administrative unit. In this way, we accurately capture the geographic range of concentration within a specific radius. We find that refined spatial agglomeration plays a mitigating role in shaping a firm's energy intensity. Meanwhile, agglomeration economies quickly attenuate with distance when we extend the radius. Heterogeneity analysis suggests that manufacturers' energy efficiency presents a diversified pattern across ownership and trade status. These results have important implications for researchers to understand energy efficiency heterogeneity and are beneficial for policymakers.
dc.language	en
dc.publisher	Elsevier
dc.relation	National Natural Science Foundation of China71973093
dc.relation.ispartof	Energy Economics
dc.relation.isbasedon	10.1016/j.eneco.2022.106155
dc.rights	info:eu-repo/semantics/closedAccess
dc.subject	0906 Electrical and Electronic Engineering, 0913 Mechanical Engineering, 1402 Applied Economics
dc.subject.classification	Energy
dc.subject.classification	3502 Banking, finance and investment
dc.subject.classification	3801 Applied economics
dc.subject.classification	3802 Econometrics
dc.title	Industrial agglomeration and firm energy intensity: How important is spatial proximity?
dc.type	Journal Article
utslib.citation.volume	112
utslib.for	0906 Electrical and Electronic Engineering
utslib.for	0913 Mechanical Engineering
utslib.for	1402 Applied Economics
pubs.organisational-group	/University of Technology Sydney
pubs.organisational-group	/University of Technology Sydney/DVC (International)
utslib.copyright.status	closed_access	*
dc.date.updated	2023-07-06T11:46:48Z
pubs.publication-status	Published
pubs.volume	112

Abstract:

Understanding the underlying determinants of energy intensity in countries with intensive energy consumption, such as China, is essential for addressing carbon emissions and global climate change. This study investigates the impact of spatial agglomeration on manufacturers' energy consumption behaviour using large-scale firm-level data compiled from complementary data sources in China. We create a circle around each firm instead of measuring agglomeration by aggregating economic activities in a predetermined administrative unit. In this way, we accurately capture the geographic range of concentration within a specific radius. We find that refined spatial agglomeration plays a mitigating role in shaping a firm's energy intensity. Meanwhile, agglomeration economies quickly attenuate with distance when we extend the radius. Heterogeneity analysis suggests that manufacturers' energy efficiency presents a diversified pattern across ownership and trade status. These results have important implications for researchers to understand energy efficiency heterogeneity and are beneficial for policymakers.

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http://hdl.handle.net/10453/171272