An Econometric Analysis of Key Factors Contribute to Energy Intensity Improvement in Active Industries of Tehran Stock Exchange

Different researches have shown that energy intensity changes have inverse relation to energy costs and also technological levels can decrease energy intensity. In the present research، using panel data method we investigate the key factors contribute to energy intensity improvement in all active industries in Tehran stock exchange that provided all the data need for this research during 2006-2011. The results suggest that intensity variance of fixed assets; work labor، capital and raw material and price of these factors have greater importance in comparison to level of these variances in energy intensity improvement in different industries of the country. Based on meaningfulness of variance index of fixed assets (showing R &D share for decreasing energy intensity index)، the results show that the improvement of Research and Development status has decreased the share of energy in manufacturing in different industries. Results also show that relation of energy factor and other factors in many industries is replacement one. Therefore in this industry، increasing price of energy through the changing relative price of factors leads to replacement of other factors to energy and improvement of energy intensity.