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Rebound effects of energy efficiency improvement based on computable general equilibrium models: a systematic review

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Abstract

Energy efficiency improvement is expected to reduce energy consumption. However, actual energy savings can be lower than anticipated, called rebound effects. This article reviews previous studies that have used computable general equilibrium (CGE) models to study the rebound effects caused by energy efficiency improvements in the recent two decades until 2021. A systematic review approach has been adopted to select the focused studies, and keywords co-occurrence analysis has been used to explore the characteristics of the selected studies. We reported our findings on specific aspects of these CGE studies, including geographic location, time scale, and methodological features; how an energy efficiency improvement is introduced; and the levels of rebound effects estimated by these studies. These findings suggest specific potential research gaps. For example, few CGE studies have focused on Russia, India, and Africa; no production functional forms other than constant elasticity of substitution (CES) have been used in these CGE studies; and little attention has been paid to negative rebound effects in the short run and the cases of joint implementation of energy efficiency improvement and other policy measures that drive energy cost higher.

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Acknowledgements

We are grateful for constructive comments from three anonymous reviewers.

Funding

This study was financially supported by the Research Council of Norway (grant no. 303486) and Diku–Norwegian Agency for International Cooperation and Quality Enhancement in Higher Education (Grant no. NGSC-CN-2021/0008).

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Authors and Affiliations

  1. Center for Energy and Environmental Policy Research, Beijing Institute of Technology, Beijing, 100081, China

    Weiwei Huang

  2. School of Management and Economics, Beijing Institute of Technology, Beijing, 100081, China

    Weiwei Huang

  3. Beijing Key Lab of Energy Economics and Environmental Management, Beijing, 100081, China

    Weiwei Huang

  4. School of Economics, Shandong University of Technology, Zibo, 255000, China

    Jianxu Miao

  5. CICERO Center for International Climate Research, 0318, Oslo, Norway

    Taoyuan Wei

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  1. Weiwei Huang
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Correspondence to Taoyuan Wei.

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Huang, W., Miao, J. & Wei, T. Rebound effects of energy efficiency improvement based on computable general equilibrium models: a systematic review. Energy Efficiency 16, 65 (2023). https://doi.org/10.1007/s12053-023-10148-y

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