Journal of Resources and Ecology >
Assessing the Impact of Digital Technologies on Energy Efficiency: The Role of OFDI and Virtual Agglomeration
Received date: 2023-06-15
Accepted date: 2023-09-02
Online published: 2023-12-27
Supported by
The Natural Science Foundation of Fujian Province(2022J01320)
The National Science Fund for Distinguished Young Scholars(72103067)
Improving energy efficiency is crucial for achieving the carbon peaking and carbon neutrality goals. The digital economy, which is characterized by big data, artificial intelligence, the internet of things, and a new generation of mobile Internet, has quietly penetrated all aspects of the economy and society, profoundly changing the means of production and lives of human beings. Digital technologies have great potential to improve the global energy system’s security, productivity, efficiency, and sustainability. Based on the panel data of 30 provinces in mainland China from 2006 to 2021, this study divided energy efficiency into total and single factor energy efficiency. The two-way fixed-effect model and the Driscol-Kraay method were used to adjust the standard error test in order to examine the impact of digital technology represented by industrial robots on energy efficiency and its path mechanism. Studies have shown that digital technology can significantly improve total factor energy efficiency and reduce energy intensity per unit of GDP. This conclusion was found to be still valid after the robustness test using feasible generalized least squares, time-varying difference in difference and fixed effect space Durbin model. The results of the mechanism test show that digital technology can improve energy efficiency by increasing the degree of industrial virtual agglomeration and the channels of foreign direct investment. This paper provides a valuable discussion on how information technology advances can improve energy efficiency in the era of the digital economy. The conclusions will help relevant market players to formulate policies and measures and corporate strategies to improve energy efficiency. At the same time, it also deepens the theoretical understanding and mechanism path of digital technology’s impact on energy consumption.
SHEN Yang , HAN Mengyu , ZHANG Xiuwu . Assessing the Impact of Digital Technologies on Energy Efficiency: The Role of OFDI and Virtual Agglomeration[J]. Journal of Resources and Ecology, 2024 , 15(1) : 117 -129 . DOI: 10.5814/j.issn.1674-764x.2024.01.010
Table 1 TFEE index system. |
Category | Index | Indicator specification |
---|---|---|
Input variable | Labour force | The total number of employed persons in urban units and rural areas |
Fixed capital | Real capital stock based on 2006 | |
Energy consumption | Total of various energy sources used for consumption (tons of standard coal) | |
Expected output | GDP | Real GDP based on 2006 |
Undesirable output | Energy carbon emission | The IPCC coefficient method was used to measure the total carbon emissions from energy sources |
Note: The measurement method of the actual capital stock is the perpetual inventory method, the depreciation rate is set at 10.96%, and its expression is ${{K}_{i,t}}={{K}_{i,t-1}}\left( 1-{{\delta }_{it}} \right)+{{I}_{it}}$, where $\text{ }\!\!\delta\!\!\text{ }$ represents the depreciation rate and ${{I}_{i,t}}$ represents the fixed capital investment in the current period. The formula for calculating the capital stock in 2006 is ${{K}_{0}}={{I}_{2006}}\left( {{g}_{2006-2020}}+\delta \right)$, where ${{g}_{2006-2020}}$ is the average growth rate of fixed asset investment from 2006 to 2020. The equation for calculating carbon emissions from energy sources in the 2006 IPCC Guidelines for National Greenhouse Gas inventories is $C=\underset{j=1}{\overset{9}{\mathop \sum }}\,{{C}_{j}}=\underset{k=1}{\overset{9}{\mathop \sum }}\,{{E}_{i}}\times NC{{V}_{i}}\times CE{{F}_{i}}\times CO{{F}_{i}}\times 44/12$, where ${{C}_{j}}$ is the carbon dioxide emissions generated by j energy, NCV is the average low calorific value of primary energy, CEF is the carbon emission factor provided by the IPCC greenhouse gas inventory, and COF is the carbon oxidation factor. |
Table 2 The descriptive statistics of the variables |
Variable | Code | Mean | Std. Dev. | Min. | Max. |
---|---|---|---|---|---|
Single-factor energy efficiency | SFEE | 0.1614 | 0.5543 | -0.7118 | 1.5582 |
Total-factor energy efficiency | TFEE | 1.6756 | 0.7879 | 0.6170 | 5.4777 |
Digital technology | DT | 3.3912 | 2.0908 | -0.5713 | 6.8516 |
Economic development level | EDL | 10.6067 | 0.6171 | 9.1016 | 11.9658 |
Transportation infrastructure | TI | 0.2301 | 0.0979 | 0.0936 | 0.5927 |
Foreign direct investment | FDI | 9.6884 | 0.8474 | 7.2133 | 11.4446 |
Virtual agglomeration | VA | 6.4491 | 1.4895 | 3.1781 | 9.8798 |
Industrial structure | IS | 0.7177 | 0.9659 | -1.5256 | 2.8241 |
Technological innovation ability | TIA | 4.7330 | 4.8934 | 0.1099 | 31.5533 |
Urbanization | UR | 7.6893 | 1.6483 | 3.5554 | 11.0551 |
Outward foreign direct investment | OFDI | 4.0036 | 0.2401 | 3.4177 | 4.4920 |
Table 3 The results of baseline regression |
Variable | TFEE | SFEE | ||
---|---|---|---|---|
OLS | TWFE | OLS | TWFE | |
DT | 0.2349*** (7.86) | 0.2267** (2.71) | -0.0833*** (-5.59) | -0.2497*** (-5.33) |
EDL | 0.1151 (0.64) | -0.7909** (-2.88) | 0.1781** (2.27) | -0.0641 (-1.69) |
TI | 0.3405*** (3.68) | 0.2689 (1.23) | 0.1983*** (6.65) | 0.0043 (0.29) |
UR | 0.4860 (1.39) | 0.6998 (1.06) | 0.1682 (0.97) | -0.3137*** (-5.15) |
MC | 0.1411 (0.33) | -1.4015** (-2.37) | 1.5985*** (6.55) | 0.7144** (2.85) |
IS | -0.0314*** (-3.25) | -0.0425*** (-8.56) | 0.0145*** (3.89) | -0.0042*** (-4.55) |
TIA | -0.2310*** (-3.99) | -0.2063*** (-3.96) | -0.1541*** (-7.87) | 0.1027*** (7.19) |
FDI | 0.0833** (1.96) | -0.1315*** (-4.15) | -0.2341*** (-9.36) | 0.0051 (0.59) |
Individual effect | No | Yes | No | Yes |
Time effect | No | Yes | No | Yes |
R2 | 0.4180 | 0.7043 | 0.7176 | 0.9057 |
N | 480 | 480 | 480 | 480 |
Note: ***, **, and * indicate significance at the 1%, 5%, and 10% levels, respectively, and the t statistics are reported in parentheses. |
Table 4 The results of baseline regression |
Variable | TFEE | SFEE | ||||
---|---|---|---|---|---|---|
FGLS | SDM | DID | FGLS | SDM | DID | |
DT | 0.1313*** (8.68) | 0.9451*** (3.33) | 0.4801*** (8.09) | -0.0623*** (-5.57) | -0.2743*** (-4.97) | -0.0599*** (-3.40) |
Note: *** indicates significance at the 1% level, the z statistics are reported in parentheses for the FGLS and SDM models, the t statistics are reported in parentheses for the DID models. Time effect, individual effect and control variables have been controlled. |
Table 5 Results of the endogeneity test |
Variable | TFEE | SFEE | ||||
---|---|---|---|---|---|---|
First stage | Second stage | GS2SLS | First stage | Second stage | GS2SLS | |
DT | 0.6030*** (7.22) | 0.1019* (1.65) | -0.0509** (-2.40) | -0.2491*** (-9.71) | ||
Instrumental variable | 1.3304*** (12.46) | 1.3304*** (12.46) | ||||
LM test | 119.829*** | 119.829*** | ||||
F test | 155.334 | 155.334 |
Note : The z statistics are reported in parentheses for the 2SLS model, and the t statistics are reported in parentheses for the GS2SLS model. ***, ** and * represent significance at the levels of 1%, 5% and 10%, respectively. Time effect, individual effect and control variables have been controlled. |
Table 6 The results of the mechanism test |
Variable | VA | OFDI |
---|---|---|
DT | 0.1121*(1.82) | 0.6555**(2.15) |
Interaction effect | Yes | Yes |
Note: * and ** indicate significance at the 10% and 5% levels, respectively, and the t statistics are reported in parentheses. Time effect, individual effect and control variables have been controlled. |
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