Open Access Journal Article

Analyzing the Effects of Renewable and Non-renewable Energy Consumption on the Environment and Economic Growth: Panel Data from South Asian Countries

by Muhammad Ali Husnain a,* orcid ,  Ping Guo a ,  Guoqin Pan a ,  Muhammad Kamran Bhatti a  and  Rabia Islam b
a
School of Economics and Trade, Hunan University, Changsha 410006, China
b
The College of History, Nankai University, Tianjin, China
*
Author to whom correspondence should be addressed.
ETE  2024, 6; 2(1), 6; https://doi.org/10.58567/ete02010001
Received: 6 December 2023 / Accepted: 22 December 2023 / Published Online: 26 March 2024
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Abstract

The primary goal of this research is to examine how different types of energy are used in South Asian countries and how they affect the environment and economic growth. From 1990 through 2021, this research employed Panel Data from multiple sources covering the South Asian countries of Pakistan, India, Bangladesh, Sri Lanka, Nepal, Bhutan, Maldives, and Afghanistan. The results are determined by using the Fixed Effect Regression (FEM) technique in both models. Several significant findings are supported by the data. First, while using renewable energy flattens carbon dioxide effusion, using non-renewable energy sources increases it. CO2 emissions are affected negatively by gross domestic product but positively by gross domestic product square. These results provide credence to the idea that South Asian countries do experience an Environment Kuznets Curve. Furthermore, foreign direct investment has a beneficial effect on CO2 emissions, lending credence to the Pollution Haven Hypothesis. Model 2 instead finds that both renewable and non-renewable energy consumption contributes to economic expansion. Gross Fixed Capital Formation and foreign direct investment also contribute to economic growth in this area. Finally, Inflation retards economic expansion.

Keywords: Renewable Energy; Non-Renewable Energy; Fixed Effect; Economic Growth; South Asia;
Copyright: © 2024 by Husnain, Guo, Pan, Bhatti and Islam. This is an open-access article distributed under the terms of the Creative Commons Attribution License (CC BY) (Creative Commons Attribution 4.0 International License). The use, distribution or reproduction in other forums is permitted, provided the original author(s) or licensor are credited and that the original publication in this journal is cited, in accordance with accepted academic practice. No use, distribution or reproduction is permitted which does not comply with these terms.

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ACS Style
Husnain, M. A.; Guo, P.; Pan, G.; Bhatti, M. K.; Islam, R. Analyzing the Effects of Renewable and Non-renewable Energy Consumption on the Environment and Economic Growth: Panel Data from South Asian Countries. Energy Technologies and Environment, 2024, 2, 6. https://doi.org/10.58567/ete02010001
AMA Style
Husnain M A, Guo P, Pan G, Bhatti M K, Islam R. Analyzing the Effects of Renewable and Non-renewable Energy Consumption on the Environment and Economic Growth: Panel Data from South Asian Countries. Energy Technologies and Environment; 2024, 2(1):6. https://doi.org/10.58567/ete02010001
Chicago/Turabian Style
Husnain, Muhammad A.; Guo, Ping; Pan, Guoqin; Bhatti, Muhammad K.; Islam, Rabia 2024. "Analyzing the Effects of Renewable and Non-renewable Energy Consumption on the Environment and Economic Growth: Panel Data from South Asian Countries" Energy Technologies and Environment 2, no.1:6. https://doi.org/10.58567/ete02010001
APA style
Husnain, M. A., Guo, P., Pan, G., Bhatti, M. K., & Islam, R. (2024). Analyzing the Effects of Renewable and Non-renewable Energy Consumption on the Environment and Economic Growth: Panel Data from South Asian Countries. Energy Technologies and Environment, 2(1), 6. https://doi.org/10.58567/ete02010001

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