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This paper investigates the impact of urbanization on provincial energy efficiency in China. Using panel data of 30 Chinese provinces between 2003 and 2014, we adopt a stochastic frontier model to estimate energy efficiency in China, and apply a series of spatial panel data models to tackle spatial dependence of energy efficiency between provinces. Our results show that the overall impact of urbanization on energy efficiency is negative in China. These results are established after controlling for spatial correlation and other confounding factors, and are also robust to various model specifications. We also document that the impact of urbanization on provincial energy efficiency manifests through both a direct negative impact induced by the focal province's urbanization process, and an indirect positive spillover effect caused by urbanization in adjacent areas. [ABSTRACT FROM AUTHOR]

• We estimate the energy efficiency and direct rebound effect of residential electricity consumption by using the stochastic energy demand frontier model. • The average value of efficiency is 0.491, and the average rebound effect is 48%. • We find that electricity price and household size have a negative impact on the rebound effect, while the impact of income is inverted U-shaped. • The rebound effect varies across before and after the implementation of the increasing block pricing policy, considering rural and urban residents and different regions. The rebound effect is a potential threat to energy efficiency related policies to save energy. Based on data from China family panel studies over the period 2010–2018, this paper measures the energy efficiency and direct rebound effect of residential electricity consumption by using the stochastic energy demand frontier model. The result shows that the average value of efficiency is 0.491, and the average rebound effect is 48%. It means that there is still room for improvement in China's household electricity consumption efficiency. But the expected electricity- saving after improving efficiency can only achieve 52%. Besides, we find that electricity price and household size have a negative impact on the rebound effect, while the impact of income is inverted U-shaped. Finally, the rebound effect varies between before and after the implementation of the increasing block pricing policy, considering rural and urban residents and different regions. These findings provide some policy implications for the residential electricity pricing system under the background of energy conservation and climate change. [ABSTRACT FROM AUTHOR]