The Regional Inequity of CO2 Emissions per Capita in China

Abstract

This paper combines Theil index method with factor decomposition technique to analyze China eight regions’ inequality of CO2 emissions per capita, and discuss energy structure, energy intensity, industrial structure, and per capita output’s impacts on inequality. This research shows that: (1) The trend of China regional carbon inequality is in the opposite direction to the per capita CO2 emission level. Namely, as the per capita CO2 emission levels rise, regional carbon inequality decreases, and vice versa. (2) Per capita output factor reduces regional carbon inequality, whereas energy structure factor and energy intensity factor increase the inequality. (3) More developed areas can reduce the carbon inequality by improving the energy structure, whereas the divergence of energy intensity in less developed areas has increased to expand the carbon inequity. Thus, when designing CO2 emission reduction targets, policy makers should consider regional differences in economic development level and energy efficiency, and refer to the main influencing factors. At the same time, upgrading industrial structure and upgrading energy technologies should be combined to meet the targets of economic growth and CO2 emission reduction.