ABSTRACT
Public interest in climate change-related problems has been developing with the contribution of the recent energy crisis. Accordingly, countries have been increasing their efforts to decarbonize economies. In this context, energy transition and energy-related research and development (R&D) investments can be important strategic tools to be helpful to countries in the decarbonization of economies. Among all, Nordic countries have come to the force because of their well-known position as green economies. Hence, this study examines Nordic countries to investigate the impact of energy transition, renewable energy R&D investments (RRD), energy efficiency R&D investments (EEF) on carbon dioxide (CO2) emissions by performing wavelet local multiple correlation (WLMC) model and using data from 2000/1 to 2021/12. The outcomes reveal that (i) based on bi-variate cases, energy transition and RRD have a mixed impact on CO2 emissions in all countries across all frequencies; EEF has a declining impact on CO2 emissions in Norway (Sweden) at low and medium (very high) frequencies; (ii) according to four-variate cases, all variables have a combined increasing impact on CO2 emissions; (iii) RRD is the most influential dominant factor in all countries excluding Norway, where EEF is the pioneering one. Thus, the reach proves the varying impacts of energy transition, RRD, and EEF investments on CO2 emissions. In line with the outcomes of the novel WLMC model, various policy endeavors, such as focusing on displacement between sub-types of R&D investments, are argued to ensure the decarbonization of the economies.
Subject(s)
Carbon Dioxide , Climate Change , Scandinavian and Nordic Countries , Carbon Dioxide/analysis , Investments , Renewable Energy , Models, TheoreticalABSTRACT
This research investigates the impact of geopolitical risk, institutional governance and green finance on environmental outcomes, specifically focusing on carbon emissions and ecological footprint. Utilizing the dynamic CS-ARDL method and aggregated mean group analysis on a panel dataset covering 21 nations from 2000 to 2021, our findings reveal that heightened geopolitical risk leads to both short and long run increases in carbon emissions and the ecological footprint. Our study finds both a direct as well as indirect connection between governance, green finance and environmental outcomes in both the short and long run, highlighting the nuanced impact of governance on the formulation of environmental policies and regulatory frameworks. The results emphasize the need for targeted strategies, including focused investments and incentives for sustainable finance, particularly in conflict-affected regions. Furthermore, our research underscores the enduring impact of historical events, such as wars, on contemporary environmental indicators, emphasizing the importance of proactive conflict prevention measures. Our research suggests that policymakers should adopt comprehensive strategies that prioritize emission reduction during short-run spikes in geopolitical risk while maintaining a steadfast commitment to long-run sustainability.
Subject(s)
Carbon , Environmental Policy , Conservation of Natural Resources , PoliticsABSTRACT
Consistent with the increasing environmental interest, the clean energy transition is highly critical to achieving decarbonization targets. Also, energy security has become an important topic under the shadow of the energy crisis,. Accordingly, countries have been trying to stimulate clean energy use to preserve the environment and ensure energy security. So, considering the leading role of economic size and volume of energy use, the study examines the USA to define whether energy transition helps decrease energy security risk (ESR) and curb CO2 emissions. So, the study applies a disaggregated level analysis by performing quantile-based models for the period from 2001/Q1 through 2022/Q4. The results demonstrate that (i) the energy transition index decreases environmental ESR at higher quantiles and reliability ESR at lower and middle quantiles, whereas it is not beneficial in declining economic and geopolitical ESR; (ii) energy transition curbs CO2 emissions in building and transport sectors at lower quantiles, whereas it does not help decrease CO2 emissions in industrial and power sectors; (iii) energy transition is mostly ineffective on ESR, whereas it is highly effective in curbing CO2 emissions in all sectors except for transport across various quantiles as time passes; (iv) the results differ according to the aggregated and disaggregated levels; (v) the results are consistent across main and alternative models. Hence, the study highlights the dominant effect of energy transition in curbing sectoral CO2 emissions rather than easing ESR. Accordingly, the study discusses various policy implications for the USA.
Subject(s)
Carbon Dioxide , Carbon Dioxide/analysis , United States , Models, TheoreticalABSTRACT
In light of the efforts to ensure carbon neutrality by combating climate-related problems, the study investigates the effectiveness of electricity generation (EG) from the main renewable sources (hydro-HEG, solar-SEG, and wind-WEG). In this context, the study examines the countries of the Global South (i.e., Brazil, China, and India), considers EG at a disaggregated level and sectoral CO2 emissions, applies nonlinear methods, and uses daily data between January 2, 2019 and December 31, 2022. The results demonstrate that (i) disaggregated EG sources have a stronger (weaker) time and frequency dependency on sectoral CO2 emissions in China (Brazil and India); (ii) HEG has a stimulating impact on sectoral CO2 emissions in all countries; (iii) SEG has an increasing impact on sectoral CO2 emissions in Brazil and China, while it provides a decrease in sectoral CO2 emissions in India; (iv) WEG upsurges sectoral CO2 emissions in China, while it achieves a CO2 reduction in Brazil and India; (v) disaggregated level EG has a causal impact on sectoral CO2 emissions across all quantiles except some lower, middle, and higher quantiles. The study adds scientific value to existing knowledge by analyzing for the first time which EG sources are effective in reducing daily CO2 emissions in the Global South. Based on the outcomes, the study demonstrates that WEG is the best EG source for Brazil, that SEG and WEG are optimal EG sources for India, and that China cannot benefit from the EG sources considered. In this way, the study provides fresh insights for the countries of the Global South and underlines the crucial role of renewable EG in ensuring carbon neutrality.
ABSTRACT
The development of economies and energy usage can significantly impact the carbon dioxide (CO2) emissions in the Middle East and North Africa (MENA) countries. Therefore, this study aims to analyze the factors that determine CO2 emissions in MENA under the environmental Kuznets curve (EKC) framework by applying novel quantile techniques on data for CO2 emissions, real income, renewable and non-renewable energy consumption, and urbanization over the period from 1990 to 2015. The results from the estimations suggest that renewable energy consumption significantly reduces the level of emissions; furthermore, its impact increases with higher quantiles. In addition, non-renewable energy consumption increases CO2 emissions, while its magnitude decreases with higher quantiles. The empirical results also confirm the validity of EKC hypothesis for the panel of MENA economies. Policymakers in the region should implement policies and regulations to promote the adoption and use of renewable energy to mitigate carbon emissions.