Effects of Economic Growth, Fossil and Renewable Energy Use on CO2 Emissions in Selected Sub-Saharan African Countries
Chapter from the book: Ertürkmen, G. (ed.) 2024. Current Applications of Macroeconomics .

Mehmet Ali Demir
Çankırı Karatekin University

Synopsis

The aim of this study is to analyse the effects of economic growth, fossil and renewable energy use on CO2 emissions. For this purpose, an empirical study was conducted with panel data for 23 selected Sub-Saharan African (SAA) countries whose data can be accessed using annual data for the period 1999-2014. The empirical model includes the amount of CO2 emissions per capita as the dependent variable, and the independent variables are per capita income (KBG), fossil energy use (FET) and renewable energy use (YET). The model, which was determined to be the most appropriate model with the Hausman test, was applied heteroscedasticity, autocorrelation and inter-unit correlation tests, and the effects of economic growth, fossil and renewable energy use on CO2 emissions in 23 SAA countries were revealed. According to the SE estimation results, the relationship between economic growth and renewable energy use in the SAA countries included in the analysis is statistically significant, however, no statistical significance was found between fossil energy use and CO2 emissions. It is concluded that economic growth negatively affects the amount of CO2, but renewable energy use reduces the amount of CO2 emissions. The findings show that a 1% increase in KBG in the selected 23 SAA countries will increase the amount of CO2 by 0.458%, whereas a 1% increase in YET will reduce the amount of CO2 emissions by 0.0174%. In line with these results, the necessary subsidies and incentives should be provided to direct the energy use patterns of SAA countries from fossil energy to renewable energy use, and the increase in investments in renewable energy should be supported.

How to cite this book

Demir, M. A. (2024). Effects of Economic Growth, Fossil and Renewable Energy Use on CO2 Emissions in Selected Sub-Saharan African Countries. In: Ertürkmen, G. (ed.), Current Applications of Macroeconomics . Özgür Publications. DOI: https://doi.org/10.58830/ozgur.pub495.c2063

License

Published

October 26, 2024

DOI