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208504 China: Energy Efficiency of Chinese Industry: A DEA analysis

Industry CO2 emissions account for over 80% of total emissions and nearly 70% of energy consumption of China. Improving energy efficiency in Chinese industry would therefore contribute significantly to CO2 emission reduction in China. This project will apply Data Envelopment Analysis (DEA) method to examine energy efficiency in Chinese industry.

This project is carried out in collaboration between the Department of Economics, University of Oslo, and Henan Institute of Science and Technology (HIST), China. A Chinese student will stay in Oslo from January to June 2011 to work as research assistant on this project. The student is in her last year in bachelor studies and already finished all the required courses for the bachelor's degree.

This project will contribute to knowledge building in the field of energy economics for the chinese partner and the carbon emission reduction in China. Henan province is the province with the largest population in China and with one of the lowest levels of energy efficiency. Hence , improvement of energy efficiency in Henan will be of large benefit for whole China. Also, HIST is one of the main universities in Henan. Knowledge building in analytical methods, such as DEA ,and energy economics in general will help to improve the policymaking in the whole province. Considering the large population in Henan, this cooperation with HIST will definitely create large value for the society.

Currently there are no research cooperation in the field of economics between Norway and Henan. This project would then be a pioneer in this respect. Based on the experiences gained from this project, further cooperation could be carried out with other partners in Henan. The opportunity of gathering data of Chinese energy efficiency will be of great benefits for norwegian research on energy issues in China later on. Especially in this project, HIST is closely related to the local government and industry.