The Effects of Electricity Consumption on CO2 Emissions in Iran

• Main Authors: Keshavarzian, M. (Author), Tabatabaienasab, Z. (Author)
• Format: Article
• Language: English
• Published: Springer 2022
• Subjects: Auto-regressive; Carbon dioxide; CO2 emissions; Cointegration; Direct impact; Economic and social effects; Economic growths; Economics; Electric power utilization; Electricity consumption; Electricity-consumption; Financial development; Foreign direct investment; Foreign direct investments; Investments; Longest run; Short runs
• Online Access: View Fulltext in Publisher

 This study examined the empirical effects of electricity consumption on carbon dioxide (CO2) emissions in Iran. To achieve this goal, we applied the autoregressive distributed lag (ARDL) approach. The results indicate that cointegration exists among electricity consumption, economic growth, foreign direct investment (FDI), financial development and carbon dioxide (CO2) emissions. Also findings indicate that increase in electricity consumption has had a direct impact on carbon dioxide (CO2) emissions in both the short and long run. However, financial development and foreign direct investment (FDI) have a negative and significant effect on carbon dioxide (CO2) emissions. Therefore, it is proposed to reduce energy subsidies in the polluting industry. In addition, more investment in the use of renewable energy is required. © 2022, The Author(s), under exclusive licence to Springer Nature Singapore Pte Ltd.