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LMDI decomposition analysis of energy consumption in Andalusia (Spain) during 2003–2012: the energy efficiency policy implications

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Abstract

The aim of this paper is to analyse the changes in final energy consumption in Andalusia through logarithmic mean Divisia index (LMDI) decomposition analysis during the period 2003–2012. The results lead us to conclude that a reduction of final energy (FE) consumption of 1 % took place as a result of a diminishing in structural effect by 11 % and an increase in the activity effect and intensity effect by 7.4 and 3.5 %, respectively. Chain-linked LMDI decomposition shows the existence of two sub-periods, with a turning point in 2008. The first period, coinciding to a great extent with the Andalusian Energy Plan 2003–2006 (PLEAN), showed an increase in final energy consumption, mostly due to the activity effect but also to the intensity effect. The second period, coinciding with the implementation of the Andalusian Sustainable Energy Plan 2007–2013 (PASENER), shows a reduction in the activity, structure and intensity effects. The results allow us to conclude that many of the energy efficiency measures, implemented through the PASENER, are related to sectors that experienced a decline in energy consumption due to the intensity effect, such as transport, primary and service sectors. Additionally, although they were included in PASENER, more policy attention should be given to the energy transformation, residential and industrial sectors which increased the demand for energy due to the intensity effect during this period. Finally, the energy-saving behaviour of economic agents due to the economic downturn should also be considered as an explanation for the diminishing in energy consumption during this sub-period.

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Notes

  1. Following the definition by the International Energy Agency (IEA 2004), the non-energy uses are excluded. Non-energy use includes energy products used as raw materials in the different sectors, which are not consumed as fuel or transformed into another fuel. For example, most lubricants and bitumen are used for non-energy purposes; similarly, natural gas is used as a raw material for the petrochemical industry, etc.

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Acknowledgments

The authors are grateful for the support of the Roger Torné Foundation through the Energy and Environmental Economics Chair at the University of Seville. The second author acknowledges the funding received from the SEJ 132 project of the Andalusian Regional Government, ECO2014-56399-R Project of the Spanish Ministry of Economy and 1150025 Project from FONDECYT of the Chile Ministry of Education. The standard disclaimer applies.

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Authors and Affiliations

  1. Chair of Energy and Environmental Economics, University of Seville, Seville, Spain

    María José Colinet Carmona

  2. University of Seville, Seville, Spain

    Rocío Román Collado

  3. Universidad Autónoma de Chile, Temuco, Chile

    Rocío Román Collado

  4. Universidad Científica del Sur, Lima, Perú

    Rocío Román Collado

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  1. María José Colinet Carmona
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Correspondence to Rocío Román Collado.

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Colinet Carmona, M.J., Román Collado, R. LMDI decomposition analysis of energy consumption in Andalusia (Spain) during 2003–2012: the energy efficiency policy implications. Energy Efficiency 9, 807–823 (2016). https://doi.org/10.1007/s12053-015-9402-y

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