Can wind power policies effectively improve the productive efficiency of Chinese wind power industry?

ABSTRACT

Due to the advantages of technical maturity, economic benefits and development potential, wind power is highly expected by China. In order to accelerate the development of wind power industry (WPI), the Chinese government has formulated a variety of preferential policies. Yet can policies effectively improve the productive efficiency of Chinese WPI has not been fully answered so far. Based on the micro-data of Chinese wind power listed enterprises from 2006 to 2019, this paper assesses the productive efficiency of enterprises in different links of wind power industry chain (WPIC) with DEA model. And then the fixed effect regression model is employed to identify the effect of policy on productive efficiency. The results show that, in the sample period, the overall productive efficiency of WPI is relatively low. The productive efficiency of upstream enterprises is the highest (19.8%), while that of downstream enterprises is the lowest (12.9%). And productive efficiency of midstream enterprises is 15.8%. Besides, the economic policy significantly inhibits the productive efficiency of WPI. The soft policy is an effective macro-control measure to improve the productive efficiency. And the effect of regulatory policy is time-dependent. Then the suggestions are provided.

KEYWORDS:

• Wind power industry
• productive efficiency
• wind power policy
• industry chain

Acknowledgements

This work was supported by the China National Natural Sciences Fund Project [Grant number 72072167].

Additional information

Funding

This work was supported by the National Natural Sciences Fund Project [72072167].