The Stability of the Economic Growth–Energy Consumption–Pollution Nexus in the European Union

Mihaela Simionescu

Sustainability, 2025, vol. 17, issue 9, 1-20

Abstract: Considering the environmental objectives assumed by the European Commission through Cohesion Policy, the main aim of this study is to check the stability of the relationship between economic growth, GHG emissions, and energy consumption, also known as the 3E relationship, which also allows us to recreate EU policy recommendations. The analysis of EU member states using panel data and time series (1990–2023) showed significant shifts in the relationship between the three variables, especially due to the COVID-19 pandemic. Consequently, many countries successfully decoupled emissions from economic growth. Nevertheless, the persistent carbon-intensive energy use patterns in most EU countries remain a major obstacle, emphasizing the need for increased efforts in cleaner energy technologies and sustainable economic transitions.

Keywords: economic growth; GHG emissions; structural breaks; energy consumption (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2025
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