An analysis on driving factors for CO2 emissions from energy use in Tokyo and Seoul by factor decomposition method.

Abstract

This paper estimates and analyzes CO2 emissions from energy use in Tokyo and Seoul and analyzes performance of cities in East Asia, measured by CO2 emissions per capita and CO2 emissions per unit gross regional product (GRP). The contributions of selected driving factors for total and sectoral CO2 emissions are also investigated by factor decomposition method. The results suggest that the performance of Tokyo is outstanding in comparison to major Japanese large cities, Seoul, Beijing, Shanghai, major OECD and major non-OECD countries. Income effect was primarily found responsible for majority of CO2 emissions in Tokyo and Seoul in high growth period, i.e. 1970-90 for Tokyo and 1990-97 for Seoul. Despite economic recession, continued CO2 emissions in Tokyo in 1990-98 is largely attributed to energy intensity effect. Similarly, the contributions of fuel quality effect, energy intensity effect, vehicle utilization effect, household income, labor productivity effect and scale effect etc. are analyzed for sectoral CO2 emissions.