Study On The Relations Between Energy Consumption,Carbon Emissions And Economic Growth Of China

Global climate and economic crisis is prompting a new economic revolution.Now, China’s extensive economic growth mode is facing greatly questioning andtransformation pressure. Our central government clearly puts forward to achievingthat the energy consumption intensity decreased by20%on the basis of2005by theend of2005.In the year of2010, a clear quantitative targets for greenhouse gasemissions was set, i.e. to reduce carbon dioxide emissions per GDP40%to50%ionthe basis of2005by the end of2020. To decline carbon emissions intensity not onlyimplies to improve energy efficiency, but also means to optimize the currentcoal-dominated energy consumption structure. The relations are to be studied with thepurpose to provide useful suggestions for making energy reduction and carbonreduction policies.By reading papers on this issue and learning from relative theories, then establisha simple3e system model for further empirical research. The paper gives a descriptionof the current characteristics and trends of China’s energy consumption, carbonemissions and economic growth by using statistical analysis methods. Next, the paperwill do empirical research from both national and provincial perspective. By doing cointegration test, Granger causality test and establishing co-integration function, thepaper reveals the long-run equilibrium relations among the three. From co-integrationequation, it’s easy to know carbon emissions have a negative relation with economicgrowth, while energy consumption has a positive relation with economic growth. Atlast, gives out constraints for energy-saving and emission reduction. By usingordinary least square method, it’s easy to prove the existence of carbon emissionsKuznets curve and energy Kuznets curve in our country, get the conclusion that bothcarbon emissions and energy consumption have a inverted U relations with per GDP,our country has the intrinsic motivation for energy saving and carbon reduction.Further to predict the time of turning point, it appears to be closer to reach this point,but the overall task of energy saving and carbon reduction is still an arduous one. Byusing gray relational method and the Logarithmic mean weight Divisia method, todecompose the influencing factors for energy consumption and carbon emissions.Finally, to establish a panel regression model by using provincial-level panel data andfind out that regional heterogeneity have great effects on the mutual relations. Considering all above findings, this article lists four useful revelations:（1）China should pay attention to the control objectives not be too heavy whenundertaking policies, otherwise it will do harm to the rate of economic growth;（2）Although it’s short to reach the turning point of the Environmental Kuznets andenergy Kuznets curve, but the arduous task and existing turning points still have astrong support for intrinsic motivation.（3）Increase carbon emissions targets whilepromoting economic restructuring and development, improve energy efficiency andoptimize energy consumption structure.（4）It is necessary to consider the actualconditions of different provinces when carry out the energy and emission reduction.