The changes in coal intensity of electricity generation in Chinese coal-fired power plants

• Published in: Energy economics Vol. 80; pp. 491 - 501
• Main Authors: Wang, Chunhua, Cao, Xiaoyong, Mao, Jie, Qin, Ping
• Format: Journal Article
• Language: English
• Published: Kidlington Elsevier B.V 01.05.2019; Elsevier Science Ltd
• Subjects: Changes; China; Coal; Coal intensity; Coal-fired power plants; Decomposition; Electric power generation; Electricity; Electricity generation; Energy economics; Heterogeneity; Power plants; Technological progress; Decomposition; Q40; Coal intensity; Electricity generation; China; C14
• ISSN: 0140-9883; 1873-6181
• DOI: 10.1016/j.eneco.2019.01.032

In recent years, the coal intensity of electricity generation and its change rate over time has varied significantly across coal-fired power plants in China. This paper decomposes the coal intensity change into four components: technological catch-up, technological progress, change in capital-coal ratio, and change in labor-coal ratio. We find that technological catch-up is the most important factor in decreasing mean coal intensity in the plants between 2009 and 2012. It is also the main driver of heterogeneity in coal intensity changes across different groups of the plants. •This paper decomposes the coal intensity change in coal-fired power plants into components.•The components are: technological catch-up, technological progress, and changes in capital-coal ratio and labor-coal ratio.•Technological catch-up is the most important factor in decreasing mean coal intensity in the plants between 2009 and 2012.•It is also the main driver of heterogeneity in coal intensity changes across different groups of the plants.