Analyzing the Asymmetric Effect of Renewable Energy Consumption on Environment in STIRPAT-Kaya-EKC Framework: A NARDL Approach for China

Youxue Jiang, Zakia Batool, Syed Muhammad Faraz Raza, Mohammad Haseeb, Sajjad Ali and Syed Zain Ul Abidin
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Youxue Jiang: Jiangsu Vocational Institute of Commerce, Nanjing 211168, China
Zakia Batool: Department of Economics, National University of Modern Languages (NUML), Islamabad 44000, Pakistan
Syed Muhammad Faraz Raza: China Institute of Development Strategy and Planning, Wuhan University, Wuhan 430072, China
Mohammad Haseeb: China Institute of Development Strategy and Planning, Wuhan University, Wuhan 430072, China
Sajjad Ali: School of Economics, Quaid-e-Azam University, Islamabad 44000, Pakistan
Syed Zain Ul Abidin: China Institute of Development Strategy and Planning, Wuhan University, Wuhan 430072, China

IJERPH, 2022, vol. 19, issue 12, 1-15

Abstract: This study aims to analyze the asymmetric relation between renewable energy consumption and CO 2 emissions in China using the STIRPAT-Kaya-EKC framework. To delve into the asymmetric effect of renewable energy consumption on the environment, the non-linear ARDL model is used. The results of this study confirm the asymmetric impact of renewable energy on the environment in the long run as well as in the short run. However, the negative shocks to renewable energy have a greater detrimental influence on the environment than the benign effect due to the positive shock to renewable energy. Population growth affects the environment in the short run, whereas technology only affects environment quality in the long run. Moreover, the study supports the EKC theory in China. This research emphasizes that the administration can improve the economy’s lifespan by allocating substantial funds to establish legislation to maintain a clean environment by subsidizing renewable energy infrastructure and research and innovations for low-carbon projects.

Keywords: renewable energy; population; technology; GDP growth; EKC; CO 2 emissions; NARDL (search for similar items in EconPapers)
JEL-codes: I I1 I3 Q Q5 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (11)

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