Energy Efficiency and Environmental Technologies in Carbon Emissions Reduction Strategies for a Sustainable Future: Estimation Through Simultaneous Equation Systems

Sabiha Oltulular ()
Additional contact information
Sabiha Oltulular: Recep Tayyip Erdogan University, 53100 Rize, Türkiye

Energies, 2025, vol. 18, issue 14, 1-28

Abstract: Energy is at the center of economic growth and environmental sustainability. Increasing energy efficiency and turning to environmentally friendly technologies are indispensable elements not only in reducing carbon emissions but also in supporting the transition to a green future. This study aims to deeply examine the simultaneous dynamic interactions between energy, environmental technologies, and economic growth by focusing on the environment and analyzing the transformative effects of these factors on environmental sustainability from a broad perspective. The models were estimated via simultaneous equation systems with two-stage and three-stage least squares methods with monthly data for Organization for Economic Cooperation and Development (OECD) countries between 1990 and 2021. As a result of the analyses, the estimation results of the two methods generally support each other. Notably, economic growth causes carbon emissions, and when tax revenues on energy are added to the model, the negative effect of economic growth on carbon emissions turns positive. Another significant result shows that energy efficiency does not reduce carbon emissions. Even an increase in energy efficiency causes an increase in carbon emissions, and the rebound effect is valid. Population and energy density do not have a negative impact on carbon emissions.

Keywords: energy efficiency; environmental technologies; carbon emissions; simultaneous equation systems (search for similar items in EconPapers)
JEL-codes: Q Q0 Q4 Q40 Q41 Q42 Q43 Q47 Q48 Q49 (search for similar items in EconPapers)
Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.mdpi.com/1996-1073/18/14/3596/pdf (application/pdf)
https://www.mdpi.com/1996-1073/18/14/3596/ (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:gam:jeners:v:18:y:2025:i:14:p:3596-:d:1697052

Access Statistics for this article

Energies is currently edited by Ms. Agatha Cao

More articles in Energies from MDPI
Bibliographic data for series maintained by MDPI Indexing Manager ().