Analysis Of China’s Regional Total Factor Energy Efficiency Which Based On Environmental Pollution

The Eighteenth report of the Chinese Communist Party put forwarda scientific development concept＂Promote green development, cycledevelopment, low-carbon development＂＂Build a beautiful China＂.Build a beautiful China can’t achieve without the support of a hugeenergy consumption. Energy had a profound impact on the economicdevelopment of every country. In China, the pressure on economicdevelopment and environmental protection which caused by extensiveenergy consumption habits is becoming more and more serious. In orderto change this situation, we need to have a deep research on the energyefficiency. In order to analyze the characteristics and the convergence ofthe regional total factor energy efficiency, this paper calculate the totalfactor energy efficiency of29administrative regions in China for theperiod1995-2010with the super-efficiency DEA model. Then make aempirical study on the factor which affect the energy efficiency. Finallyaccording to the results of the analysis, I put forward a number ofrecommendations to improve energy efficiency. In the calculation of totalfactor energy efficiency, not only take capital, labor and energyconsumption into account, but also consider environmental pollution as anon-consensual output indicators included in the super-efficiency DEAmodel. The total factor energy efficiency which estimated by this methodis more in line with the actual situation. The result show that the characteristics of the regional total factor energy efficiency is that＂Theeastern area is high, the central area and the western area is low＂.The convergence of the regional energy efficiency showed that thenarrowing trend of the internal gap in eastern part is not obvious. Thoughthe internal provinces did not reach the same energy efficiency level, theyall move to their own energy efficiency level. Within the central area, thegap between different provinces is wide, and they also move to their ownenergy efficiency level. The western area’s convergence trend is notobvious, and they tend to converged to a common level of energyefficiency.The result of the panel data model showed that energy price,industrial structure and the total factor energy efficiency have asignificant positive correlation. The regression coefficient oftechnological progress and total factor energy efficiency is significant buthas a little effect in the eastern part. For central and western area,technological progress has no significant impact on the total factor energyefficiency. The opening up factor has a negative effect on eastern area andpositive impact on central and western area.Finally, based on the results of the data analysis, this paper putforward the corresponding policy. First of all, focus on the central andwestern area which have low energy efficiency but also have large roomfor improvement. Secondly, improve the energy price in an appropriate range is conducive to the improvement of the energy efficiency, and thenspeed up the adjustment and optimization of the industrial structure.Finally, regions should learn advanced technology and managementmethods from other areas positively.