Determinants of renewable energy consumption in agrarian Sub-Sahara African economies
Tóm tắt
The effect of ecological distortions and climate change issues have been at the forefront of the minds of policymakers and energy practitioners in recent decades. This concern is associated with the vision of the seventh and thirteenth Sustainable Development Goals that are centered on access to clean energy sources and mitigating climate change issues, as detailed in Vision 2030. To this end, the present study uses Pesaran’s Pooled Mean Group Auto Regressive Distributed Lag model to investigate the determinants of clean/non-conventional energy in the case of Sub-Saharan Africa. The empirical results show that a 1% increase in economic activity increases the level of renewable energy consumption by 0.128% in the short run. In the long-run, economic growth dampens the consumption of renewable energy by 0.402% over the investigated period. The reason for this peculiar result for the Sub-Saharan African economies could be attributed to the prevalent demand for conventional energy sources and the cost-related factor associated with clean energy technologies even when the economy (herein measured by Gross Domestic Product) is improving. Furthermore, the effect of energy (electricity from fossil fuel) also shows a statistically significant impact when trying to reduce the clean energy consumption. This arises from an expected trade-off effect. Regarding the causality analysis using the heterogeneous panel, the causality results present a one-way causality running from economic growth to renewable energy consumption. We also found there to be a feedback causality relationship between urbanization and renewable energy as well as agricultural value added and economic growth. Based on these findings, several policy decisions were prescribed for Sub-Saharan African economies such as the diversification of Sub-Saharan African economies energy to more renewable energy sources and the adoption of clean energy technologies that are reputed to be cleaner and environmentally friendly.
Tài liệu tham khảo
Adedoyin FF, Alola AA, Bekun FV (2020) The nexus of environmental sustainability and agro-economic performance of Sub-Saharan African countries. Heliyon 6(9):e04878. https://doi.org/10.1016/j.heliyon.2020.e04878
Africa Renewable Energy Initiative (2019) https://www.2030spotlight.org/en/book/605/chapter/ii71-africa-renewable-energy-initiative. (Accessed 31st April 2020)
Agboola MO, Bekun FV (2019) Does agricultural value added induce environmental degradation? Empirical evidence from an agrarian country. Environ Sci Pollut Res 26(27):27660–27676. https://doi.org/10.1007/s11356-019-05943-z
Aguirre M, Ibikunle G (2014) Determinants of renewable energy growth: a global sample analysis. Energy Policy 69:374–384. https://doi.org/10.1016/j.enpol.2014.02.036
Akintande OJ, Olubusoye OE, Adenikinju AF, Olanrewaju BT (2020) Modeling the determinants of renewable energy consumption: evidence from the five most populous nations in Africa. Energy 206:117992. https://doi.org/10.1016/j.energy.2020.117992
Aliyu AK, Modu B, Tan CW (2018) A review of renewable energy development in Africa: a focus in South Africa, Egypt and Nigeria. Renew Sustain Energy Rev 81:2502–2518. https://doi.org/10.1016/j.rser.2017.06.055
Alola AA, Alola UV (2018) Agricultural land usage and tourism impact on renewable energy consumption among Coastline Mediterranean Countries. Energy Environ 29(8):1438–1454. https://doi.org/10.1177/0958305X18779577
Alola AA, Saint Akadiri S (2021) Clean energy development in the United States amidst augmented socioeconomic aspects and country-specific policies. Renew Energy 169:221–230. https://doi.org/10.1016/j.renene.2021.01.022
Apergis N, Payne JE (2010) Coal consumption and economic growth: evidence from a panel of OECD countries. Energy Policy 38(3):1353–1359. https://doi.org/10.1016/j.enpol.2009.11.016
Asongu SA, Agboola MO, Alola AA, Bekun FV (2020) The criticality of growth, urbanization, electricity and fossil fuel consumption to environment sustainability in Africa. Sci Total Environ 712:136376. https://doi.org/10.1016/j.scitotenv.2019.136376
Balsalobre-Lorente D, Driha OM, Bekun FV, Osundina OA (2019) Do agricultural activities induce carbon emissions? The BRICS experience. Environ Sci Pollut Res 26(24):25218–25234. https://doi.org/10.1007/s11356-019-05737-3
Bhattacharya M, Paramati SR, Ozturk I, Bhattacharya S (2016) The effect of renewable energy consumption on economic growth: evidence from top 38 countries. Appl Energy 162:733–741. https://doi.org/10.1016/j.apenergy.2015.10.104
Bilgili F, Ozturk I (2015) Biomass energy and economic growth nexus in G7 countries: evidence from dynamic panel data. Renew Sustain Energy Rev 49:132–138. https://doi.org/10.1016/j.rser.2015.04.098
Carley S (2009) State renewable energy electricity policies: an empirical evaluation of effectiveness. Energy Policy 37(8):3071–3081. https://doi.org/10.1016/j.enpol.2009.03.062
da Silva PP, Cerqueira PA, Ogbe W (2018) Determinants of renewable energy growth in Sub-Saharan Africa: evidence from panel ARDL. Energy 156:45–54. https://doi.org/10.1016/j.energy.2018.05.068
Dumitrescu EI, Hurlin C (2012) Testing for Granger non-causality in heterogeneous panels. Econ Model 29(4):1450–1460. https://doi.org/10.1016/j.econmod.2012.02.014
Ehrlich PR, Holdren JP (1971) Impact of population growth. Science 171(3977):1212–1217
Emodi NV, Boo KJ (2015) Sustainable energy development in Nigeria: current status and policy options. Renew Sustain Energy Rev 51:356–381. https://doi.org/10.1016/j.rser.2015.06.016
Giovannetti G, Ticci E (2016) Determinants of biofuel-oriented land acquisitions in Sub-Saharan Africa. Renew Sustain Energy Rev 54:678–687. https://doi.org/10.1016/j.rser.2015.10.008
Im KS, Pesaran MH, Shin Y (2003) Testing for unit roots in heterogeneous panels. J Econom 115:53–74. https://doi.org/10.1016/S0304-4076(03)00092-7
International Energy Agency (2019) Africa energy outlook 2019. https://www.iea.org/reports/africa-energy-outlook-2019#renewables. (Accessed 30 March 2020)
International Renewable Energy Agency (2019) Africa’s renewable future. the path to sustainable growth. https://irena.org/publications/2013/Jan/Africas-Renewable-Future-the-Path-to-Sustainable-Growth. (Accessed 30 March 2020)
Kraft J, Kraft A (1978) On the relationship between energy and GNP. J Energy Dev 3:401–403
Levin A, Lin CF, Chu CSJ (2002) Unit root tests in panel data: asymptotic and finite-sample properties. J Econom 108(1):1–24. https://doi.org/10.1016/S0304-4076(01)00098-7
Maddala GS, Wu S (1999) A comparative study of unit root tests with panel data and a new simple test. Oxf Bull Econ Stat 61(S1):631–652. https://doi.org/10.1111/1468-0084.0610s1631
National Aeronautics and Space Administration (2020) https://climate.nasa.gov/causes/. (Accessed 27 March 2020)
National Geographic (2019) Renewable energy, explained. https://www.nationalgeographic.com/environment/energy/reference/renewable-energy/. (Accessed 27 March 2020)
Olanrewaju BT, Olubusoye OE, Adenikinju A, Akintande OJ (2019) A panel data analysis of renewable energy consumption in Africa. Renew Energy 140:668–679. https://doi.org/10.1016/j.renene.2019.02.061
O’Neill BC, Ren X, Jiang L, Dalton M (2012) The effect of urbanization on energy use in India and China in the iPETS model. Energy Econ 34:S339–S345. https://doi.org/10.1016/j.eneco.2012.04.004
Ozturk M, Dincer I (2020) Development of renewable energy system integrated with hydrogen and natural gas subsystems for cleaner combustion. J Nat Gas Sci Eng 83:103583. https://doi.org/10.1016/j.jngse.2020.103583
Pesaran MH, Shin Y, Smith RP (1999) Pooled mean group estimation of dynamic heterogeneous panels. J Am Stat Assoc 94(446):621–634. https://doi.org/10.1080/01621459.1999.10474156
Pfeiffer B, Mulder P (2013) Explaining the diffusion of renewable energy technology in developing countries. Energy Econ 40:285–296. https://doi.org/10.1016/j.eneco.2013.07.005
Poumanyvong P, Kaneko S, Dhakal S (2012) Impacts of urbanization on national transport and road energy use: evidence from low, middle- and high-income countries. Energy Policy 46:268–277. https://doi.org/10.1016/j.enpol.2012.03.059
Rafiq S, Bloch H, Salim R (2014) Determinants of renewable energy adoption in China and India: a comparative analysis. Appl Econ 46(22):2700–2710. https://doi.org/10.1080/00036846.2014.909577
Rupf GV, Bahri PA, de Boer K, McHenry MP (2016) Broadening the potential of biogas in Sub-Saharan Africa: an assessment of feasible technologies and feedstocks. Renew Sustain Energy Rev 61:556–571. https://doi.org/10.1016/j.rser.2016.04.023
Salahuddin M, Habib MA, Al-Mulali U, Ozturk I, Marshall M, Ali MI (2020) Renewable energy and environmental quality: a second-generation panel evidence from the Sub Saharan Africa (SSA) countries. Environ Res 191:110094. https://doi.org/10.1016/j.envres.2020.110094
Salim RA, Shafiei S (2014) Urbanization and renewable and non-renewable energy consumption in OECD countries: an empirical analysis. Econ Model 38:581–591. https://doi.org/10.1016/j.econmod.2014.02.008
Schwerhoff G, Sy M (2017) Financing renewable energy in Africa-Key challenge of the sustainable development goals. Renew Sustain Energy Rev 75:393–401. https://doi.org/10.1016/j.rser.2016.11.004
Shah SZ, Chughtai S, Simonetti B (2020) Renewable energy, institutional stability, environment and economic growth nexus of D-8 countries. Energ Strat Rev 29:100484. https://doi.org/10.1016/j.esr.2020.100484
Shahbaz M, Lean HH (2012) Does financial development increase energy consumption? The role of industrialization and urbanization in Tunisia. Energy Policy 40:473–479. https://doi.org/10.1016/j.enpol.2011.10.050
Sharif A, Baris-Tuzemen O, Uzuner G, Ozturk I, Sinha A (2020) Revisiting the role of renewable and non-renewable energy consumption on Turkey’s ecological footprint: evidence from Quantile ARDL approach. Sustain Cities Soc 57:102138. https://doi.org/10.1016/j.scs.2020.102138
Tubiello FN, Salvatore M, Ferrara AF, House J, Federici S, Rossi S, Prosperi P (2015) The contribution of agriculture, forestry and other land use activities to global warming, 1990–2012. Glob Change Biol 21(7):2655–2660. https://doi.org/10.1111/gcb.12865
Tugcu CT, Menegaki AN, Ozturk I (2020) Renewable vs non-renewable energy consumption as a driver of government deficit in net energy importing countries. Asian Econ Financ Rev 10(10):1100–1114. https://doi.org/10.18488/journal.aefr.2020.1010.1100.1114
United Nations (2014) Agriculture in Africa. Transformation and outlook. https://www.un.org/africarenewal/topic/agriculture. (Accessed 31st March 2020)