Assessing the impact of prefabricated buildings on urban green total factor energy efficiency

Prefabricated buildings (PB) are assembled using prefabricated components, known for their cost-effectiveness and high efficiency. They are seen as an effective means to achieving sustainable development goals and mitigating climate change. This paper examines the impact of prefabricated buildings on urban green total factor energy efficiency (GTFEE) using panel data from 278 cities in China. The analysis is conducted through the application of a super-efficiency slack-based measure (SBM) model and a difference-in-differences model. The results of the study indicate that the promotion of PB can significantly improve urban GTFEE; there is heterogeneity in the improvement of urban GTFEE by PB; the innovation effect, industrial effect and marketization effect of PB are the main ways to improve urban GTFEE. Specifically, PB exerts an innovation effect by promoting technological innovation. It influences consumer and investor demand, leading to increased activity in the secondary industry, thereby creating an industrial effect. Moreover, PB facilitates the marketization effect by phasing out outdated industries, encouraging autonomous enterprise innovation, and fostering the growth of new advanced enterprises. This study reveals the critical role of PB in urban GTFEE improvement. It clarifies its mechanism of action, which provides a reference for urban sustainable development strategies and energy efficiency.