Modelling the role of institutional quality on carbon emissions in Sub-Saharan African countries. (October 2022)

• Record Type: Journal Article
• Authors: Karim, Sitara; Appiah, Michael; Naeem, Muhammad Abubakr; Lucey, Brian M.; Li, Mingxing
• Is Part Of: Renewable energy. Volume 198(2022)
• Page Start: 213
• Page End: 221
• Publication Date: 2022-10
• Subjects: Institutional quality indicators -- CO2 emissions -- Climate change mitigation -- Environmental sustainability -- Sub-Saharan Africa -- Environmental Kuznets curve; Renewable energy sources -- Periodicals; Power resources -- Periodicals; Énergies renouvelables -- Périodiques; Ressources énergétiques -- Périodiques; 333.794
• DOI: 10.1016/j.renene.2022.08.074
• Languages: English
• ISSNs: 0960-1481

Abstract

Abstract: The motivation of this study stems from the United Nations Sustainable Development Goals on clean and responsible energy consumption, climate change mitigation and sustainable economic growth (UN-SDGs-7, 11, 12 and 13). The present study examines the impact of institutional quality on CO2 emissions in the presence of the Environmental Kuznets Curve (EKC) framework using data on CO2 emissions and the six dimensions of institutional quality from the World Governance Indicators (WGI). The current study focuses on selected 30 Sub-Saharan African (SSA) countries over the annual period from 2000 to 2021. The EKC hypothesis revealed CO2 emissions are substantially reduced by corruption control, regulatory quality, and the rule of law. Findings from the Dumitrescu and Hurlin causality test showed a one-way causality running from CO2 emissions to industrialization. Similar uni-directional causality is observed between economic growth, and energy consumption. On the other hand, we observed a two-way causality flow from CO2 emissions to population growth and all indices of institutional quality over the investigated period. These findings indicate that government agencies should efficiently implement acceptable strategies for pollution control and enact public benefit environmental regulations in the form of a healthier climate for the entire population. Highlights: We examined the impact of institutional quality on CO2 emissions in the presence of the Environmental Kuznets Curve (EKC) framework. 30 Sub-Saharan Africa (SSA) countries are selected for empirical investigation. We reveal that CO2 emissions are substantially reduced by corruption control, regulatory quality, and the rule of law. Meanwhile, one-way causality runs from CO2 emissions to industrialization. A two-way causality flow from CO2 emissions to population growth and all indices of institutional quality are reported.