Asymmetric Impact of Renewable Energy Consumption on Environment in Pakistan

Authors

  • Muhammad Faheem Assistant Professor, School of Economics, Bahauddin Zakariya University, Multan, Pakistan
  • Fatima Farooq Associate Professor, School of Economics, Bahauddin Zakariya University, Multan, Pakistan
  • Sidra Shaukat M.Phil Scholar, NCBA & E, Multan Campus, Pakistan
  • Muhammad Yousuf Visiting Lecturer, Department of Management Sciences, Muhammad Nawaz Sharif University of Engineering and Technology, Multan, Pakistan

DOI:

https://doi.org/10.47067/ramss.v5i2.232

Keywords:

Non-Renewable Energy Usage, Renewable Energy Use, Foreign Direct Investment, ARDL, NARDL, Pakistan

Abstract

Although the current literature has widely explored the paraphernalia of renewable energy on environment, the literature overlooks the asymmetric association of renewable energy with the environment. To contribute this gap in the existing body of related literature, this study carry out the nonlinear impact of renewable energy consumption along with control variables like non-renewable energy, urbanization, and gross domestic product on CO2 emission in Pakistan. The study employs the nonlinear autoregressive distributed lag model (NARDL) from 1980 to 2018. The results reveal that renewable energy consumption mitigates the environmental degradation asymmetrically. While other variables non-renewable energy consumption, gross domestic product and urbanization positively associated with Co2 emissions. The study gives some guidance for policymakers of Pakistan that should formulate policies and regulations to promote renewable energy usage which mitigates environmental degradation.

References

Adebayo, T. S., Rjoub, H., Akinsola, G. D., & Oladipupo, S. D. (2022). The asymmetric effects of renewable energy usage and trade openness on carbon emissions in Sweden: new evidence from quantile-on-quantile regression approach. Environmental Science and Pollution Research, 29(2), 1875-1886.

Adebayo, T. S., Udemba, E. N., Ahmed, Z., & Kirikkaleli, D. (2021). Determinants of usage- based carbon emissions in Chile: an application of non-linear ARDL. Environmental Science and Pollution Research, 28(32), 43908-43922.

Adewuyi, A. O., & Awodumi, O. B. (2017). Biomass energy usage, economic growth and carbon emissions: fresh evidence from West Africa using a simultaneous equation model. Energy, 119, 453-471.

Ahmed, Z., Wang, Z., & Ali, S. (2019). Investigating the non-linear relationship between urbanization and CO2 emissions: an empirical analysis. Air Quality, Atmosphere & Health, 12(8), 945-953.

Ali, N., Phoungthong, K., Techato, K., Ali, W., Abbas, S., Dhanraj, J. A., & Khan, A. (2022). FDI, Green innovation and environmental quality nexus: New insights from BRICS economies. Sustainability, 14(4), 2181.

Apergis, N., Payne, J. E., Menyah, K., & Wolde-Rufael, Y. (2010). On the causal dynamics between emissions, nuclear energy, renewable energy, and economic growth. Ecological Economics, 69(11), 2255-2260.

Arif, A., Sadiq, M., Shabbir, M. S., Yahya, G., Zamir, A., & Bares Lopez, L. (2020). The role of globalization in financial development, trade openness and sustainable environmental- economic growth: evidence from selected South Asian economies. Journal of Sustainable Finance & Investment, 1-18.

Bayar, Y., Gavriletea, M. D., Sauer, S., & Paun, D. (2021). Impact of municipal waste recycling and renewable energy usage on CO2 emissions across the European Union (EU) member countries. Sustainability, 13(2), 656.

Chaudhry, I. S., Yin, W., Ali, S. A., Faheem, M., Abbas, Q., Farooq, F., & Ur Rahman, S. (2021). Moderating role of institutional quality in validation of pollution haven hypothesis in BRICS: a new evidence by using DCCE approach. Environmental Science and Pollution Research, 1-10.

Cheng, Y., Awan, U., Ahmad, S., & Tan, Z. (2021). How do technological innovation and fiscal decentralization affect the environment? A story of the fourth industrial revolution and sustainable growth. Technological Forecasting and Social Change, 162, 120398.

Faheem, M., Chaudhry, I. S., Farooq, F., & Anwer, M. A. (2021). Visiting Human Capital- Foreign Direct Investment-Environment Association for Attaining Environmental Sustainability: Fresh Insight from Pakistan. Review of Economics and Development Studies, 7(4), 515-523.

Farooq, F., Faheem, M., & Usman, M. Z. (2020). Does Globalization Asymmetrically Affect CO2 Emissions in Pakistan? A New Evidence through NARDL Approach. Review of Education, Administration & Law, 3(3), 511-522.

Kasman, A., & Duman, Y. S. (2015). CO2 emissions, economic growth, energy usage, trade and urbanization in new EU member and candidate countries: a panel data analysis. Economic modelling, 44, 97-103.

Kirikkaleli, D., & Adebayo, T. S. (2021). Do public-private partnerships in energy and renewable energy usage matter for usage-based carbon dioxide emissions in India?. Environmental Science and Pollution Research, 28(23), 30139-30152.

Liu, J. L., Ma, C. Q., Ren, Y. S., & Zhao, X. W. (2020). Do real output and renewable energy usage affect CO2 emissions? Evidence for selected BRICS countries. Energies, 13(4), 960.

Mehmood, U. (2022). Examining the role of financial inclusion towards CO2 emissions: presenting the role of renewable energy and globalization in the context of EKC. Environmental Science and Pollution Research, 29(11), 15946-15954.

Meng, Y., Wang, K., & Lin, Y. (2021). The role of land use transition on industrial pollution reduction in the context of innovation-driven: The Case of 30 provinces in China. Land, 10(4), 353.

Nathaniel, S. P., & Iheonu, C. O. (2019). Carbon dioxide abatement in Africa: the role of renewable and non-renewable energy usage. Science of the Total Environment, 679, 337-345.

Park, Y., Meng, F., & Baloch, M. A. (2018). The effect of ICT, financial development, growth, and trade openness on CO2 emissions: an empirical analysis. Environmental Science and Pollution Research, 25(30), 30708-30719.

Salahuddin, M., Alam, K., Ozturk, I., & Sohag, K. (2018). The effects of electricity usage, economic growth, financial development and foreign direct investment on CO2 emissions in Kuwait. Renewable and Sustainable Energy Reviews, 81, 2002-2010.

Shahbaz, M., Solarin, S. A., Hammoudeh, S., & Shahzad, S. J. H. (2017). Bounds testing approach to analyzing the environment Kuznets curve hypothesis with structural beaks: the role of biomass energy usage in the United States. Energy Economics, 68, 548- 565.

Shahbaz, M., Shahzad, S. J. H., & Mahalik, M. K. (2018). Is globalization detrimental to CO2 emissions in Japan? New threshold analysis. Environmental Modeling & Assessment, 23(5), 557-568.

Shahbaz, M., Loganathan, N., Muzaffar, A. T., Ahmed, K., & Jabran, M. A. (2016). How urbanization affects CO2 emissions in Malaysia? The application of STIRPAT model. Renewable and Sustainable Energy Reviews, 57, 83-93.

Sun, W., & Huang, C. (2020). How does urbanization affect carbon emission efficiency? Evidence from China. Journal of Cleaner Production, 272, 122828.

Tanveer, A., Song, H., Faheem, M., & Chaudhry, I. S. (2021). Validation of environmental Philips curve in Pakistan: a fresh insight through ARDL technique. Environmental Science and Pollution Research, 1-18.

Tanveer, A., Song, H., Faheem, M., Daud, A., & Naseer, S. (2021). Unveiling the asymmetric impact of energy usage on environmental mitigation in the manufacturing sector of Pakistan. Environmental Science and Pollution Research, 28(45), 64586- 64605.

Tanveer, Z., Ahmad, W., Asghar, N., & ur Rehman, H. (2022). Asymmetric Impact of Energy Usage on CO2 Emissions: A Case Study for Pakistan. Pakistan Journal of Humanities and Social Sciences, 10(2), 658-668.

Waheed, R., Chang, D., Sarwar, S., & Chen, W. (2018). Forest, agriculture, renewable energy, and CO2 emission. Journal of Cleaner Production, 172, 4231-4238.

Downloads

Published

2022-06-30

How to Cite

Faheem, M. ., Farooq, F. ., Shaukat, S. ., & Yousuf, M. . (2022). Asymmetric Impact of Renewable Energy Consumption on Environment in Pakistan. Review of Applied Management and Social Sciences, 5(2), 243-254. https://doi.org/10.47067/ramss.v5i2.232

Most read articles by the same author(s)

1 2 > >>