2 Research on Urbanization and Low-Carbon Development in China
59
(2) The impact of urbanization on carbon emission involves a variety of factors,
depending on population size, per capita GDP, industrial structure, energy intensity and FDI, among which the size of population has a direct bearing on carbon
emissions, while per capita GDP, industrial structure, energy intensity and FDI
bring indirect impacts on carbon emissions. In this process, regional disparities
come in to affect the way and size of the impact on carbon emissions. Only with
a holistic examination of all factors at play can we accurately define the final
impact.
(3) At the national level, the urban secondary industry exerts major impact on carbon
dioxide emissions. In contrast, the impact from the tertiary industry is small and
insignificant, indicating a lower carbon footprint and smaller environmental
externality in the sector. FDI in cities brings considerable impact, but smaller
compared with other factors. The factor of urban energy intensity also comes
into play, greater than all other variables.
(4) At the reginal level, the tertiary industry bears great positive impact on the
carbon emissions in eastern cities, but no significant impact is found in central
and western cities, meaning that the central and western cities, predominated by
the secondary industry, are still going through industrial upgrading. The large
tertiary industry in eastern cities makes for higher cost for carbon emission
compared to other regions when the share of the industry grows. Urban energy
intensity brings dramatic impact on carbon dioxide emissions, with greater
impact in central China than in the east and west. FDI serves as a slight inhibitor
for urban carbon emissions across the eastern, central and western regions.
Building on the research findings, the following policy recommendations are
made:
(1) A balanced viewpoint should be adopted towards the current challenges in lowcarbon development. Urbanization goes hand in hand with fast economic growth
and rising energy demand. At the same time, China is obliged to curb carbon
dioxide emissions. This calls for a balance when developing the economy.
China’s urbanization will not slow down, but opportunites can still be found
for energy conservation and emission reduction. By recognizing challenges for
low-carbon development, encouraging low-carbon footprint in the future life
and work in cities, China will make more contribution to the development of
low-carbon industries across the world.
(2) The eastern region should prioritize low-carbon development of its tertiary
industry due to its great impact on carbon emissions in the region. In the future,
while increasing the weight of the tertiary industry, Chinese policy makers
should also seek to enhance the internal structure of the industry. The acceleration of China’s economic restructuring and industrial transformation will put
the service industry in a stronger position in the economy, which will inevitably
push up its carbon emissions from energy use. But the service industry is not
entirely free from pollution, as the sector comprises both production services and
residential services, the former having greater potential for emission reduction.
High-end services such as cultural creativity, financial services, R&D, design
59
(2) The impact of urbanization on carbon emission involves a variety of factors,
depending on population size, per capita GDP, industrial structure, energy intensity and FDI, among which the size of population has a direct bearing on carbon
emissions, while per capita GDP, industrial structure, energy intensity and FDI
bring indirect impacts on carbon emissions. In this process, regional disparities
come in to affect the way and size of the impact on carbon emissions. Only with
a holistic examination of all factors at play can we accurately define the final
impact.
(3) At the national level, the urban secondary industry exerts major impact on carbon
dioxide emissions. In contrast, the impact from the tertiary industry is small and
insignificant, indicating a lower carbon footprint and smaller environmental
externality in the sector. FDI in cities brings considerable impact, but smaller
compared with other factors. The factor of urban energy intensity also comes
into play, greater than all other variables.
(4) At the reginal level, the tertiary industry bears great positive impact on the
carbon emissions in eastern cities, but no significant impact is found in central
and western cities, meaning that the central and western cities, predominated by
the secondary industry, are still going through industrial upgrading. The large
tertiary industry in eastern cities makes for higher cost for carbon emission
compared to other regions when the share of the industry grows. Urban energy
intensity brings dramatic impact on carbon dioxide emissions, with greater
impact in central China than in the east and west. FDI serves as a slight inhibitor
for urban carbon emissions across the eastern, central and western regions.
Building on the research findings, the following policy recommendations are
made:
(1) A balanced viewpoint should be adopted towards the current challenges in lowcarbon development. Urbanization goes hand in hand with fast economic growth
and rising energy demand. At the same time, China is obliged to curb carbon
dioxide emissions. This calls for a balance when developing the economy.
China’s urbanization will not slow down, but opportunites can still be found
for energy conservation and emission reduction. By recognizing challenges for
low-carbon development, encouraging low-carbon footprint in the future life
and work in cities, China will make more contribution to the development of
low-carbon industries across the world.
(2) The eastern region should prioritize low-carbon development of its tertiary
industry due to its great impact on carbon emissions in the region. In the future,
while increasing the weight of the tertiary industry, Chinese policy makers
should also seek to enhance the internal structure of the industry. The acceleration of China’s economic restructuring and industrial transformation will put
the service industry in a stronger position in the economy, which will inevitably
push up its carbon emissions from energy use. But the service industry is not
entirely free from pollution, as the sector comprises both production services and
residential services, the former having greater potential for emission reduction.
High-end services such as cultural creativity, financial services, R&D, design