2072-64142411-140610.17059/ekon.reg.2023-1-6Revisiting the Energy Consumption, Economic Growth and the Environmental Kuznets Curve in Developing CountriesПотребление энергии и экономический рост в развивающихся странах в контексте экологической кривой Кузнецаhttps://orcid.org/0000-0001-7053-3492Ali Ernest Baba АлиЭрнест Баба ernestali2014@gmail.comAnufriev Valery P.Ануфриев Валерий Павлович uralliga@rambler.ruUral Federal UniversityУральский федеральный университет имени первого Президента России Б. Н. Ельцина1917584Copyright © 2023 Ernest Baba Ali, Valery P. AnufrievCopyright © 2023 Эрнест Баба Али, Валерий Павлович Ануфриев2023Ernest Baba Ali, Valery P. AnufrievЭрнест Баба Али, Валерий Павлович АнуфриевCC BY 4.0https://www.economyofregions.org/ojs/index.php/er/article/view/412https://www.economyofregions.org/ojs/index.php/er/article/download/412/173

Though economic development improves human lives and living standards, it poses serious environmental challenges. In recent decade, this has attracted the attention of researchers and policymakers aiming to find a balance between economic development and environment quality. The study examines the long and short-run effects of renewable energy, non-renewable energy, economic growth (gross domestic product) and carbon dioxide (CO2) emissions in 16 developing countries. Using a panel dataset from 1990 to 2020, we tested the Environmental Kuznets Curve (EKC) by employing the pooled mean group (PMG) and Mean group (MG) estimators. The empirical results provide evidence of a positive long and short-run nexus between economic development and environmental degradation when environmental degradation is made the dependent variable, confirming the EKC hypothesis. However, when economic development is made the dependent variable, the result elucidates the existence of the negative long and short-run effects. Further, whereas renewable energy abates environmental degradation in both the long and short run, it promotes economic development in both periods. Finally, non-renewable energy increases environmental degradation in both the long and short run but promotes economic development only in the long run. Based on the findings of the study, we provide potential policy measures that can help to improve the environmental quality.

Экономическое развитие не только приводит к повышению качества жизни населения, но и создает серьезные экологические проблемы. Как ученые, так и политики стремятся найти баланс между экономическим развитием и качеством окружающей среды, особенно в последнее десятилетие. В настоящем исследовании рассматривается взаимосвязь между возобновляемыми и невозобновляемыми источниками энергии, экономическим ростом (выраженным через валовой внутренний продукт) и выбросами углекислого газа (CO2) в 16 развивающихся странах в краткосрочной и долгосрочной перспективе. На основе панельных данных за период с 1990 г. по 2020 г. авторы оценили экологическую кривую Кузнеца, применив методы сводных групповых средних и групповых средних. Полученные результаты свидетельствуют о долгосрочной и краткосрочной положительной связи между экономическим развитием и ухудшением состояния окружающей среды, когда ухудшение состояния окружающей среды является зависимой переменной, что подтверждает гипотезу о наличии экологической кривой Кузнеца. Однако когда экономическое развитие выступает в качестве зависимой переменной, возникают долгосрочные и краткосрочные отрицательные эффекты. Кроме того, применение возобновляемых источников энергии приводит к снижению деградации окружающей среды как в долгосрочной, так и в краткосрочной перспективе, а также способствуют экономическому развитию в обоих периодах. Наконец, использование невозобновляемых источников энергии усиливает деградацию окружающей среды как в долгосрочной, так и в краткосрочной перспективе, но содействует экономическому развитию только в долгосрочной перспективе. Исходя из результатов исследования были сформулированы рекомендации и предложены меры по улучшению качества окружающей среды.

Environmental degradationrenewable energynon-renewable energyeconomic developmentPMG estimatorMG estimatorдеградация окружающей средывозобновляемая энергияневозобновляемая энергияэкономическое развитиеметод сводных групповых среднихметод групповых среднихAhmed, A., Uddin, G. S. & Sohag, K. (2016). Biomass energy, technological progress and the environmental Kuznets curve: Evidence from selected European countries. Biomass and Bioenergy, 90, 202–208. DOI: https://doi.org/10.1016/j.biombioe.2016.04.004Al Smadi, R. W. & Bekhet, H. A. (2017). Exploring the long-run and short-run elasticities between FDI inflow and its determinants in Jordan. International Journal of Business and Globalisation, 18(3), 337-362. DOI: https://doi.org/10.1504/ijbg.2017.10003128Alam, M. & Murad, W. (2020). The impacts of economic growth , trade openness and technological progress on renewable energy use in organization for economic co- operation and development countries. Renewable Energy, 145, 382–390. DOI: https://doi.org/10.1016/j.renene.2019.06.054Ali, E. B. & Amfo, B. (2021). Comparing the values of economic, ecological and population indicators in High- and Low-Income Economies. Ekonomika regiona [Economy of region], 17(1), 72-85. DOI: https://doi.org/10.17059/EKON.REG.2021-1-6Ali, E. B. & Anufriev, V. P. (2020). The causal relationship between agricultural production, economic growth, and energy consumption in Ghana. R-Economy, 6(4), 231–241. DOI: https://doi.org/10.15826/recon.2020.6.4.020Ali, E. B., Shayanmehr, S., Radmehr, R., Amfo, B., Awuni, J. A., Gyamfi, B. A. & Agbozo, E. (2022). Exploring the impact of economic growth on environmental pollution in South American countries : how does renewable energy and globalization matter ? Environmental Science and Pollution Research, 30(6). DOI: https://doi.org/10.1007/s11356-022-23177-4Anufriev, V. P. (2006). Ekologo-ekonomicheskaya otsenka ratsionalnogo ispolzovaniya energeticheskikh resursov v sisteme Kiotskogo protokola [Environmental and economic assessment of the rational use of energy resources in the Kyoto protocol system]. Doctoral dissertation. Novosibirsk. (In Russ.)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. DOI: https://doi.org/10.1016/j.ecolecon.2010.06.014Aslam, B., Hu, J., Hafeez, M., Ma, D., AlGarni, T. S., Saeed, M., … Hussain, S. (2021). Applying environmental Kuznets curve framework to assess the nexus of industry, globalization, and CO2 emission. Environmental Technology and Innovation, 21, 101377. DOI: https://doi.org/10.1016/j.eti.2021.101377Aung, T. S., Saboori, B. & Rasoulinezhad, E. (2017). Economic growth and environmental pollution in Myanmar: an analysis of environmental Kuznets curve. Environmental Science and Pollution Research, 24(25), 20487–20501. DOI: https://doi.org/10.1007/s11356-017-9567-3Bekhet, H. A. & Othman, N. S. (2018). The role of renewable energy to validate dynamic interaction between CO2 emissions and GDP toward sustainable development in Malaysia. Energy Economics, 72, 47–61. DOI: https://doi.org/10.1016/j.eneco.2018.03.028Bhat, J. A. (2018). Renewable and non-renewable energy consumption—impact on economic growth and CO2 emissions in five emerging market economies. Environmental Science and Pollution Research, 25(35), 35515–35530. DOI: https://doi.org/10.1007/s11356-018-3523-8Bölük, G. & Mert, M. (2015). The renewable energy , growth and environmental Kuznets curve in Turkey : An ARDL approach. Renewable and Sustainable Energy Reviews, 52, 587–595. DOI: https://doi.org/10.1016/j.rser.2015.07.138Boontome, P., Therdyothin, A. & Chontanawat, J. (2017). Investigating the causal relationship between non-renewable and renewable energy consumption, CO2 emissions and economic growth in Thailand. Energy Procedia, 138, 925–930. DOI: https://doi.org/10.1016/j.egypro.2017.10.141Boukhelkhal, A. (2021). Energy use, economic growth and CO2 emissions in Africa: does the environmental Kuznets curve hypothesis exist? New evidence from heterogeneous panel under cross-sectional dependence. Environment, Development and Sustainability, 24, 13083–13110. DOI: https://doi.org/10.1007/s10668-021-01983-zCherni, A. & Essaber Jouini, S. (2017). An ARDL approach to the CO2 emissions, renewable energy and economic growth nexus: Tunisian evidence. International Journal of Hydrogen Energy, 42(48), 29056–29066. DOI: https://doi.org/10.1016/j.ijhydene.2017.08.072Dogan, E. & Ozturk, I. (2017). The influence of renewable and non-renewable energy consumption and real income on CO2 emissions in the USA: evidence from structural break tests. Environmental Science and Pollution Research, 24(11), 10846–10854. DOI: https://doi.org/10.1007/s11356-017-8786-yEspoir, D. K., Mudiangombe Mudiangombe, B., Bannor, F., Sunge, R. & Tshitaka, J. L. M. (2022). CO2 emissions and economic growth: Assessing the heterogeneous effects across climate regimes in Africa. Science of the Total Environment, 804, 150089. DOI: https://doi.org/10.1016/j.scitotenv.2021.150089He, J. & Richard, P. (2010). Environmental Kuznets curve for CO2 in Canada. Ecological Economics, 69(5), 1083–1093. DOI: https://doi.org/10.1016/j.ecolecon.2009.11.030Im, K. S., Pesaran, M. H. & Shin, Y. (2003). Testing for unit roots in heterogeneous panels. Journal of Econometrics, 115(9526), 53–74. DOI: https://doi.org/10.1016/S0304-4076(03)00092-7Ito, K. (2017). CO2 emissions, renewable and non-renewable energy consumption, and economic growth: Evidence from panel data for developing countries. International Economics, 151, 1–6. DOI: https://doi.org/10.1016/j.inteco.2017.02.001Johansen, S. (1995). Identifying restrictions of linear equations with applications to simultaneous equations and cointegration. Journal of econometrics, 69(1), 111-132.Levin, A., Lin, C. & Chu, C. J. (2002). Unit root tests in panel data : asymptotic and ÿnite-sample properties. Journal of Econometrics, 108(1), 1–24.Ma, X., Ahmad, N. & Oei, P. Y. (2021). Environmental Kuznets curve in France and Germany: Role of renewable and nonrenewable energy. Renewable Energy, 172, 88–99. DOI: https://doi.org/10.1016/j.renene.2021.03.014Mahmood, N., Wang, Z. & Hassan, S. T. (2019). Renewable energy, economic growth, human capital, and CO2 emission: an empirical analysis. Environmental Science and Pollution Research, 26(20), 20619–20630. DOI: https://doi.org/10.1007/s11356-019-05387-5Menyah, K. & Wolde-Rufael, Y. (2010). CO2 emissions, nuclear energy, renewable energy and economic growth in the US. Energy Policy, 38(6), 2911–2915. DOI: https://doi.org/10.1016/j.enpol.2010.01.024Muhammad, S. S., Muhammad, Z. & Muhammad, S. (2014). Renewable and nonrenewable energy consumption, real GDP and CO2 emissions nexus: a structural VAR approach in Pakistan. Bulletin of Energy Economics, 2(3), 91–105. Retrieved from: http://tesdo.org/journal_detail.php?paper_id=33Nathaniel, S. P., Alam, M. S., Murshed, M., Mahmood, H. & Ahmad, P. (2021). The roles of nuclear energy, renewable energy, and economic growth in the abatement of carbon dioxide emissions in the G7 countries. Environmental Science and Pollution Research, 28(35), 47957–47972. DOI: https://doi.org/10.1007/s11356-021-13728-6Nathaniel, S. P. & Iheonu, C. O. (2019). Carbon dioxide abatement in Africa: The role of renewable and non-renewable energy consumption. Science of the Total Environment, 679, 337–345. DOI: https://doi.org/10.1016/j.scitotenv.2019.05.011Perasan, H. & Smith, R. (1995). Estimating long–Run Relationships from Dynamic Panels. Journal of econometrics, 68, 79-113.Pesaran, M. H., Shin, Y. & Smith, R. P. (1999). Pooled mean group estimation of dynamic heterogeneous panels. Journal of the American statistical Association, 94(446), 621-634.Phillips, P. C. & Hansen, B. E. (1990). Statistical inference in instrumental variables regression with I (1) processes. The review of economic studies, 57(1), 99-125.Polloni-Silva, E., Ferraz, D., Castro, D. & Aparecida, D. (2021). Environmental Kuznets Curve and the Pollution-Halo / Haven Hypotheses : An Investigation in Brazilian Municipalities. Sustainability, 13(8), 1–19.Radmehr, R., Shayanmehr, S., Ali, E. B. & Ofori, E. K. (2022). Exploring the Nexus of Renewable Energy, Ecological Footprint , and Economic Growth through Globalization and Human Capital in G7 Economics. Sustainability, 14, 12227.Rehman, A., Rauf, A., Ahmad, M., Chandio, A. A. & Deyuan, Z. (2019). The effect of carbon dioxide emission and the consumption of electrical energy, fossil fuel energy, and renewable energy, on economic performance: evidence from Pakistan. Environmental Science and Pollution Research, 26(21), 21760–21773. DOI: https://doi.org/10.1007/s11356-019-05550-ySaboori, B., Sulaiman, J. & Mohd, S. (2012). Economic growth and CO2 emissions in Malaysia: A cointegration analysis of the Environmental Kuznets Curve. Energy Policy, 51, 184–191. DOI: https://doi.org/10.1016/j.enpol.2012.08.065Ulucak, R., Danish & Ozcan, B. (2020). Relationship between energy consumption and environmental sustainability in OECD countries: The role of natural resources rents. Resources Policy, 69, 101803. DOI: https://doi.org/10.1016/j.resourpol.2020.101803Wang, Z., Danish, Zhang, B. & Wang, B. (2018). Renewable energy consumption, economic growth and human development index in Pakistan: Evidence form simultaneous equation model. Journal of Cleaner Production, 184, 1081–1090. DOI: https://doi.org/10.1016/j.jclepro.2018.02.260