Study On The Relationship Between Fossil Energy Consumption,Carbon Emissions And Economic Growth In China

In the current global economic situation, with the increase of the pressure of global climate change and the more attention to the climate problem, all countries make low-carbon economy as the goal of economic development in the future. China is the second-largest energy consumer in the world which energy consumption is only after the US. China has become the world’s largest carbon emitter, its carbon emissions exceeded the United States since2006. China not only faces the prominent problem of energy, but also faces the huge international pressure of decrease carbon dioxide emissions in current and future. The two problems of energy and carbon emission are unavoidable in the process of economic development, in this circumstance, how to coordinate the relationship between energy consumption,carbon emissions and economic growth is particularly important in China’s development path of low-carbon economy.Energy has been supporting the human economy and life to operate normally, with the continuous development of human society, energy is becoming more and more important in the development of national economy. However, the energy shortage will directly affect a country’s production and life activities. Our country’s economy has been in the stage of rapid growth since reform and opening-up, has made remarkable achievements, people’s living standard has been improved. But with the high economic growth and rising living standards, the problems of high consumption of energy, the high pollution of environment and the damage of ecology appear. Fossil energy occupies the dominant position in the energy consumption of our country, its consumption accounts for more than90%of the total energy consumption.The disposable depletion and non-renewable characteristic determines the excessive exploitation and utilization will lead to its depletion sooner or later. Problems of environment pollution and ecological damage are increasingly serious in the process of fossil energy production and consumption. So to speak the energy and environment’s constraints effects on economic growth is more and more obvious, which influence the ability of the long-term development of economy. So to realize the sustainable development strategy,we should spare no effort to solve the problem of energy. Whether our country can realize the economic and social sustainable development or not has become the urgent matter.Global warming will not only affect the natural ecological system and increase the extreme weather,but also affect the sustainable development of social economy.The cause of the global warming is a huge amount of greenhouse gas emissions. Greenhouse gases are mainly caused by burning fossil fuels, carbon dioxide is the main component of greenhouse gases. At present, the great carbon dioxide emissions have led to the emergence of the greenhouse effect, and led to the damage of global ecological environment. Fossil energy occupies the dominant position in the energy consumption of our country, therefore, with the growth of economy and the increase of fossil energy consumption, carbon emissions are increasing. While many countries claim China should reduce carbon emissions, in the face of such international pressure, China’s five-year plan for2011to2015increases the carbon intensity constraint targets on the basis of reducing energy intensity targets. That is by the end of2015,the carbon intensity will lower17%than2010. In previous global climate conference in Copenhagen in2009, Chinese government has made a promise to lower40%-50%carbon emissions per unit of GDP in2020than in2005. The key to realize this promise is to focus on the relationship between energy, carbon emissions and economic growth.On the one hand,the article clarify the present situation of the fossil energy consumption and carbon emissions in our country from the aspect of theoretical reality to analyze its constraints to the sustainability of China’s economic growth. Then the article analyzes the relationship between fossil energy consumption, carbon emissions and economic growth from the empirical aspect. Firstly, taking the fossil energy as a kind of production factor and introducing it to the Cobb-Dauglas production function. Secondly, it analyzes the co-integration relationship between fossil energy consumption and carbon emissions with Engle-Granger test. Thirdly, it verifies the Kuznets hypothesis to resolve the problem of whether carbon dioxide emissions will increase inevitably along with economic growth or not. Finally,it prioritizes the degree of association of factors affecting carbon emissions by use of grey correlation analysis to provide reference direction for policy.