Examining household energy efficiency in China: Socioeconomic influences and policy recommendations

China's rapid economic expansion has led to shifting patterns in household energy consumption, yet the trajectory of household energy efficiency remains underexplored. This study utilizes a panel stochastic frontier analysis (SFA) model to examine household energy efficiency trends from 2000 to 2024, revealing distinct findings compared to prior research. Our key results include: (1) household energy efficiency exhibited a fluctuating trend, peaking at 0.923 in 2010, then declining to 0.861 by 2024, indicating structural inefficiencies; (2) unlike previous assumptions, the relationship between household income and energy efficiency is non-linear, where middle-income households demonstrate the sharpest efficiency decline, whereas low- and high-income groups show varying stabilization patterns post-2015; (3) regional disparities have intensified, with rural provinces exhibiting improvements in energy efficiency due to policy interventions, while urban regions struggle with overconsumption and inefficient appliance usage; (4) policy shifts post-2015, such as subsidies for energy-efficient appliances and urbanization trends, have played a crucial role in shaping efficiency dynamics. These findings underscore the need for targeted policy reforms that address region-specific and income-dependent inefficiencies rather than blanket national policies.

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