Energy efficiency in the Indian transportation sector: effect on carbon emissions

Mohd Irfan (), Bamadev Mahapatra () and Muhammad Shahbaz ()
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Mohd Irfan: Rajiv Gandhi Institute of Petroleum Technology (RGIPT)
Bamadev Mahapatra: Kalinga Institute of Industrial Technology (KIIT) Deemed to be University
Muhammad Shahbaz: Beijing Institute of Technology

Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, 2024, vol. 26, issue 3, No 46, 6653-6676

Abstract: Abstract Energy efficiency gains are advocated to be a plausible strategy to mitigate rising carbon emissions in the Indian transportation sector. This study, thus, estimates the energy efficiency across transportation modes in India for 2000–2014, employing the panel stochastic frontier approach. Further, the long-run effect of energy efficiency gains on carbon emissions is also examined by employing the panel fully modified least square (FMOLS) and panel dynamic ordinary least square (DOLS) estimators. The empirical findings indicate an inverted U-shaped trend in energy efficiency for land transportation and a substantial rise for air transportation with higher volatility. However, the trend in energy efficiency for water transportation only shows a minor uptick with nearly stable movement. The long-run effect reveals that a 1% increase in energy efficiency will reduce carbon emissions in the transportation sector by more than 1%, between 1.343 (FMOLS) and 1.665% (DOLS). Based on such findings, a few implications are discussed to achieve a low-carbon energy system.

Keywords: Energy efficiency; Indian transportation sector; Carbon emissions; Stochastic frontier approach (search for similar items in EconPapers)
Date: 2024
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DOI: 10.1007/s10668-023-02981-z

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