Developing low-carbon and efficient power systems is critical for energy security in the global warming context.We address this issue by focusing on the productivity impact of a decarbonization policy in China’s ther...Developing low-carbon and efficient power systems is critical for energy security in the global warming context.We address this issue by focusing on the productivity impact of a decarbonization policy in China’s thermal power sector—namely,the“Constructing Large Units and Restricting Small Ones”(CLRS)initiative.Utilizing a resource misallocation model,we construct a new theoretical framework to distinguish between technical and allocative efficiency and analyze productivity using plant-level data.The results indicate that the CLRS policy has significantly improved the allocative and technical efficiency of China’s coal-fired power sector,thereby ensuring power security.The closure of outdated and highly distorted small coal-fired units,which have been replaced by technologically advanced large units,primarily drives the enhanced efficiency.The policy’s effects are most pronounced in large-scale power plants and those with high coal combustion efficiency.Furthermore,a comparison of power plants’productivity distribution before and after policy implementation reveals that the CLRS policy not only enhances capital productivity in the coal-fired power sector but also increases rational labor allocation.Our findings have important policy implications for developing countries vis-à-vis building efficient and stable power systems amid climate change.展开更多
基金supported by the Chengdu Philosophy and Social Science Planning Project[Grant No.2022C05]National Natural Science Foundation of China[Grant No.71904158].
文摘Developing low-carbon and efficient power systems is critical for energy security in the global warming context.We address this issue by focusing on the productivity impact of a decarbonization policy in China’s thermal power sector—namely,the“Constructing Large Units and Restricting Small Ones”(CLRS)initiative.Utilizing a resource misallocation model,we construct a new theoretical framework to distinguish between technical and allocative efficiency and analyze productivity using plant-level data.The results indicate that the CLRS policy has significantly improved the allocative and technical efficiency of China’s coal-fired power sector,thereby ensuring power security.The closure of outdated and highly distorted small coal-fired units,which have been replaced by technologically advanced large units,primarily drives the enhanced efficiency.The policy’s effects are most pronounced in large-scale power plants and those with high coal combustion efficiency.Furthermore,a comparison of power plants’productivity distribution before and after policy implementation reveals that the CLRS policy not only enhances capital productivity in the coal-fired power sector but also increases rational labor allocation.Our findings have important policy implications for developing countries vis-à-vis building efficient and stable power systems amid climate change.
