Advanced Science and Technology Letters Vol.121 (AST 2016), pp.95-99 http://dx.doi.org/10.14257/astl.2016.121.18 Empirical Analysis on the Factors Influencing China's Sulfur Dioxide Emissions Based on IPAT Wei Zhang1, Yanchun Zhu*2 and Wenjian Bo1 1 Central University of Finance and Economics, Beijing, 100081, China 2 Beijing Normal University, Beijing, 100875, China [email protected], [email protected], [email protected] Abstract. Thermal power restructuring plays an important role in achieving nationwide energy saving target. Shutting down small thermal power generating units is the main instrument to control total emissions of main pollutants. In this study, correlation analysis is conducted in order to find out the factors which have impacts on emission intensity of sulfur dioxide. Based on sulfur dioxide emissions data from 1991 to 2009, the sulfur dioxide emission density and proportion of small thermal power are analyzed by regression method. The empirical results confirmed that shutting down small thermal power generating units does have emission reduction effect. Keywords: Sulfur dioxide; Emissions reduction; Regression analysis; thermal power plants 1 Introduction Electric power industry is always the main battlefield in China which can cut emissions of sulfur dioxide. Shutting down small thermal power generating units is the main task of electric power industry to implement energy conservation and emission reduction. Until now, China’s share of thermal power generating units with 300,000-kilowatt and above in thermal power has grow from 43.37% to 67.11% since the beginning of 11th five-year [1-2]. Small thermal power generation refers to pure condensing steam or other types of thermal power generating units. The capacity of each is 50,000 kilowatts. High share of small thermal power generating units accounts for China's electric power industry with high coal consumption, pollution. Because of the the low efficiency of small units, the coal consumption per kWh of it is about 450 g, more than 600,000 kilowatts of supercritical thermal power units in excess of 150 grams, and it is also higher than single 300,000 kilowatts of thermal power up to 110 grams. 121 million kilowatts of small thermal power generating units will consume more than 100 million tons of coal, more than 2 million tons of sulfur dioxide emissions, more than 200 million tons of carbon dioxide every year compared to others [3]. Industry is the origin of energy pollution, the electric power industry is one of the main pollution sources, and small thermal power is the star of high energy consumption and high pollution[4]. Electric power industry is a focus area for energy ISSN: 2287-1233 ASTL Copyright 2016 SERSC Advanced Science and Technology Letters Vol.121 (AST 2016) saving and pollutants emission reduction. Speeding up shutting down small thermal power units is very crucial for the achievement of the 11th five-year energy consumption and total emissions of major pollutants control objective, as well as for building a resource-saving and environment-friendly society. Based on it, this paper attempts to define the factors which affect China’s sulfur dioxide emissions, and further regression analysis is adopted to detect the effect of sulfur dioxide emissions. 2 Influencing Factors of Emissions of Sulfur Dioxide Currently, researches on sulfur dioxide emissions are scarce. Based on South Korea’s study of emissions of SO2 , there are 16 indicators related to[5]: GDP, as the average growth rate of GDP, the total energy consumption and total coal consumption, average annual growth rate of the total energy consumption and total coal consumption, energy composition, elasticity of energy consumption, sculpture content of coal,control objectives of total SO2, control policy of SO2, governance strength of SO2, charging standard of SO2, cleaner production levels and the scientific and the technological content, total population, per capita energy consumption, proportion of secondary industries, the tertiary industry ratio. There are also studies suggesting that per capita GDP, energy consumption per unit of GDP has some relations with shutting down capacity [6]. Common indicators of China's power industry, which are in control of sulfur dioxide emissions, includes installed capacity accounting for coal desulfurization (oil) the proportion of the total installed capacity, sulfur dioxide emissions per kWh, the size of the land area, energy installed capacity, thermal coal, sculpture content of fuel, etc. [7]. Therefore, our selections of explanatory variables are: share of sculpture dioxide emissions for coal-fired power plant in the national, installed capacity accounting for coal desulfurization (oil) the proportion of the total installed capacity, sulfur dioxide emissions per kWh, installed capacity of coal, the sulfur content of the fuel, shutting down capacity, electrical fires accounted for a small proportion of thermal power, thermal power average standard coal consumption, the average installed capacity of thermal power, energy consumption per unit of GDP, per capita GDP, the total energy consumption, and total coal consumption amount. 3 Sulfur Dioxide Emissions Target Selection Under environmental constraints, the key goal of the development path of ecological evolution of industrial structure depends on the greatest degree of controlling over the economic growth of negative external effects on the ecological environment [8]. The smaller negative environmental externalities lead to the greater eco-efficiency of economic growth. Ecological Environmental Impact formula, also called IPAT equation [9], is the study of environmental negative externalities as a conceptual model, its expression is: Environmental Impact= Population×GDP per capita (Environmental Impact/ Unit of GDP). 96 Copyright © 2016 SERSC Advanced Science and Technology Letters Vol.121 (AST 2016) In the IPAT equation, we can minimize negative effects of environmental impact through controlling three variables’ possible change trends. Under normal circumstances, the first one variable, population will certainly maintain a certain growth in the future. The first two variables, GDP growth showed that the improvement of people’s living standards, which is one of the basic goals of economic growth, is the primary goal to achieve. Thus, the environmental impact of per unit of GDP is a key factor in controlling the negative effects of the environment, and is also the greatest hope to attain sustainable economic and social development, so is the evolution of the industrial structure of the main tasks of eco-development path. Therefore, the explanatory variables we analyzed are: sulfur dioxide emissions per unit of GDP. 4 Correlation Test and Regression Analysis Through the analysis of sculpture dioxide emissions from 1993 to 2009, regression analysis of the sulfur dioxide emission density and proportion of small thermal power are presented. The regression estimation process and test results are shown in Table 1. Table 1. Final regression processes Source Model Residual Total Lny Lnx Lnx2 _cons SS 5.615 0.624 6.239 Coef. 35.844 3.534 95.372 df 2 14 16 Std.Err . 10.969 MS 2.807 0.045 0.389 t 1.009 29.767 3.50 3.20 -3.27 Number obs=17F(2,14)=62.99 Prob>F=0.000 R-squared=0.900 Adj R-squared=0.886 Root MSE=2.111 p>|t| [95% Conf. Interval] 0.006 -59.37 -12.318 0.004 0.006 1.369 31.528 5.699 159.217 Table 2. Error correction model of measurement proces Vector error-corrction model Sample:3-17 Log likehood=40.33354 Det(Sigma_ml)=0.0000158 Equation parms D_lny 4 D_lnx 4 RMSE 0.073 0.097 R-sq 0.823 0.636 Coef. Std.Err . z p>|z| -0.0463 0.131 -0.35 0.724 D_lny _ce1 Copyright © 2016 SERSC No. of obs=15 AIC=-4.178 HQIC=-4.182 SBIC=-3.753 Chi2 p>chi2 50.929 0.0000 19.186 0.0007 [95% Conf. Interval] -0.304 0.211 97 Advanced Science and Technology Letters Vol.121 (AST 2016) L1. lny LD. lnx LD. _cons D_lnx _ce1 L1. lny LD. lnx LD. _cons 0.117 0.154 -0.106 0.295 0.237 0.044 0.40 0.65 -2.41 0.690 0.515 0.016 -0.460 -0.310 -0.192 0.695 0.619 -0.020 0.651 0.175 3.72 0.000 0.308 0.993 0.280 0.795 -0.008 0.392 0.315 0.0587 0.71 2.52 -0.13 0.475 0.012 0.898 -0.489 0.177 -0.123 1.050 1.414 0.108 Therefore, regression results show the density of sulphur dioxide emissions and share small thermal power relationship exists are as follows: ln yi 95.3724 35.844ln xi 3.534 ln xi 2 (1) Among them, the y for sulfur dioxide emission intensity, x for a small percentage of total installed capacity of thermal power installed capacity. To enhance the accuracy of the estimate, econometric model established by further using of time series analysis. Sample of less than 20, time series analysis methods are not sufficient. This article focuses on the final equilibrium model. Table 2 shows the final error correction modeling results, get the following VEM model. ln yi 10.5373 2.8668ln xi (2) The regression equation (2) is similar with the initial OLS estimation results: ln yi 8.7594 2.5563ln xi (3) Therefore, Long-term equilibrium which is performing based on error correction model, the regression model equation (3) obtained in sulfur dioxide emissions in this paper can well reflect the relationship between density and specific gravity between small thermal power. 5 Conclusions The studies in this paper are for analysis of the effect of emission reduction policies during China's 10th five-year, 11th five-year. It also answered relevant questions— whether desulphurization technologies and practices are major causes of reduced sulfur dioxide emissions in China or not. Conclusions show that the design of environmental policies in China are shifting towards a more scientific and effective direction. 98 Copyright © 2016 SERSC Advanced Science and Technology Letters Vol.121 (AST 2016) Acknowledgements. The research supported by Key Technologies Research and Development Program of China (2013BAH16F02), Science Foundation of Ministry of Education for Young Scholars of China (Grant No. 13YJC630250, 11YJC630288), Beijing's Philosophical and Social Science Foundation (Grant No. 11JGB092), and Program for Innovation Research in Central University of Finance and Economics (ECommerce and E-Government). References 1. Hao, Y., Zhang, Q.X.: A Study on Convergence of Urban Air Pollution in China-An Empirical Analysis on Sulfur Dioxide. East China Economic Management, 8 (2015) 2. Wang, S., Li, Y., Zhao, X.: Analysis & suggestion on shutting down capacity and energysaving about thermal power units from the view of enterprise in 11th five years in China. 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