This　paper　evaluates　the　investment　efficiency　of　the　new　energy　industry　in　China　and　investigates　factors　that　explain　variations　in　investment　efficiency　across　firms　and　over　time.　Applying　a　four-stage　semi-parametric　DEA　analysis　framework　to　a　sample　of　listed　new　energy　firms　over　the　period　2012-2015,　we　find　that　the　overall　investment　efficiency　of　the　new　energy　industry　is　relatively　low,　with　an　average　total　technical　efficiency　of　44%,　pure　technical　efficiency　of　48%,　and　scale　efficiency　of　90%.　We　also　find　that　new　energy　firms＇　investment　efficiency　is　affected　by　both　macroeconomic　conditions　and　firm-specific　characteristics.　Our　results　are　robust　and　have　significant　implications　for　policy　makers　and　firm　managers.　(C)　2017　Elsevier　B.V.　All　lights　reserved.