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Industrial energy demand and energy efficiency - Evidence from Sweden
Umeå University, Faculty of Social Sciences, Centre for Regional Science (CERUM). CERE, Centre for Environmental and Resource Economics, Umeå University and Swedish University of Agricultural Sciences (SLU), Umeå, Sweden.
2016 (English)In: Resources and Energy Economics, ISSN 0928-7655, E-ISSN 1873-0221, Vol. 43, 130-152 p.Article in journal (Refereed) PublishedText
Abstract [en]

This paper estimates firm level energy demand and energy efficiency for 14 sectors in Swedish manufacturing using stochastic frontier analysis (SFA). We derive sector level energy demand frontiers that account for firm specific heterogeneity. Results show that there is potential to improve energy efficiency for fuel and electricity use in all sectors; energy intensity is not an appropriate proxy for energy efficiency; the EU ETS had a modest or no effect on Swedish firms' efficient use of energy during the first trading phase and the beginning of the second, indicating that the carbon permit price was too low to generate the necessary incentives for energy efficiency investments.

Place, publisher, year, edition, pages
2016. Vol. 43, 130-152 p.
Keyword [en]
Energy demand, Energy efficiency, Manufacturing industry, Stochastic frontier analysis, True random fects
National Category
Energy Systems
URN: urn:nbn:se:umu:diva-118415DOI: 10.1016/j.reseneeco.2016.01.003ISI: 000370896400008OAI: diva2:917989
Available from: 2016-04-08 Created: 2016-03-18 Last updated: 2016-04-08Bibliographically approved

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Marklund, Per-Olov
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Centre for Regional Science (CERUM)
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