The energy rebound effect of digital development: Evidence from 285 cities in China

As an important path to realizing carbon neutrality in China, digital development may also lead to the growth and rebound of energy demand. Investigation of digital rebound effect is important to evaluate whether digital development can effectively conserve energy. Thus, this paper examines the impact of digital development on electricity consumption and its heterogeneity among Chinese cities, and further evaluates the sizes of energy rebound effect triggered by digital development. The results show that, first, electricity consumption in Chinese 285 cities increases by 7%-20% due to digital development, and this positive influence tends to increase with the increase in electricity consumption. Second, in the eastern, high-income, and high-tertiary industry share regions, digital development has a greater role in promoting electricity consumption. Third, the digital development of Chinese cities induces the rebound effect of electricity consumption, and even induces the backfire effect in the early stages of digital development. Finally, the energy rebound effect tended to decrease over time, with a partial rebound in electricity consumption, and the minimum rebound effect was 22%. The results highlight the necessary attention on digital rebound effect, and the importance of low-carbon digital development.