IDEAS home Printed from https://ideas.repec.org/a/eee/enepol/v149y2021ics0301421520307606.html
   My bibliography  Save this article

Green growth in Nepal and Bangladesh: Empirical analysis and future prospects

Author

Listed:
  • Baniya, Bishal
  • Giurco, Damien
  • Kelly, Scott

Abstract

Nepal and Bangladesh aim to reduce their greenhouse gas emissions as part of their commitments to implementing the Paris Climate Agreement and United Nations Sustainable Development Goals (SDGs). In addition, both countries are seeking to move from being categorized as low to middle-income countries. This study analyzes the empirical evidence on greening of economic growth in Nepal and Bangladesh between 1985 and 2016, and looks ahead to 2030 to discuss the future prospects in their efforts to deliver on both environmental and economic goals. To analyze their historical progress, six green growth indicators are used, and to look ahead to 2030, energy and material consumption models are used. For both countries, energy and material productivity improvements were mainly driven by structural changes in an economy, which is a transition from agricultural to service-based economies. Yet these are found to be insufficient to deliver green growth. An increase in the share of renewable energy in the energy mix and the absolute reduction of energy and material consumption in future are found to be important not only for greening the growth but also for delivering abovementioned commitments. Technological changes such as the substitution of biomass by electricity from renewable resources can be a part of sustainable strategy for reconciling the climate mitigation actions with graduation to the middle-income country category.

Suggested Citation

  • Baniya, Bishal & Giurco, Damien & Kelly, Scott, 2021. "Green growth in Nepal and Bangladesh: Empirical analysis and future prospects," Energy Policy, Elsevier, vol. 149(C).
    • Handle: RePEc:eee:enepol:v:149:y:2021:i:c:s0301421520307606
    DOI: 10.1016/j.enpol.2020.112049
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0301421520307606
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.enpol.2020.112049?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Nepal, Rabindra & Paija, Nirash, 2019. "A multivariate time series analysis of energy consumption, real output and pollutant emissions in a developing economy: New evidence from Nepal," Economic Modelling, Elsevier, vol. 77(C), pages 164-173.
    2. Azad, Rohit & Chakraborty, Shouvik, 2020. "Green Growth and the Right to Energy in India," Energy Policy, Elsevier, vol. 141(C).
    3. Jari Lyytimäki & Riina Antikainen & Joonas Hokkanen & Sirkka Koskela & Sirpa Kurppa & Riina Känkänen & Jyri Seppälä, 2018. "Developing Key Indicators of Green Growth," Sustainable Development, John Wiley & Sons, Ltd., vol. 26(1), pages 51-64, January.
    4. Sam Fankhauser & Alex Bowen & Raphael Calel & Antoine Dechezlepr�tre & David Grover & James Rydge & Misato Sato, 2012. "Who will win the green race? In search of environmental competitiveness and innovation," GRI Working Papers 94, Grantham Research Institute on Climate Change and the Environment.
    5. Hallegatte, Stephane & Heal, Geoffrey & Fay, Marianne & Treguer, David, 2011. "From growth to green growth -- a framework," Policy Research Working Paper Series 5872, The World Bank.
    6. Nag, Barnali & Parikh, Jyoti, 2000. "Indicators of carbon emission intensity from commercial energy use in India," Energy Economics, Elsevier, vol. 22(4), pages 441-461, August.
    7. Michael Jacobs, 2012. "Green Growth: Economic Theory and Political Discourse," GRI Working Papers 92, Grantham Research Institute on Climate Change and the Environment.
    8. Rahman, Mohammad Mafizur & Kashem, Mohammad Abul, 2017. "Carbon emissions, energy consumption and industrial growth in Bangladesh: Empirical evidence from ARDL cointegration and Granger causality analysis," Energy Policy, Elsevier, vol. 110(C), pages 600-608.
    9. Barbier, Edward B., 2016. "Is green growth relevant for poor economies?," Resource and Energy Economics, Elsevier, vol. 45(C), pages 178-191.
    10. Jason Hickel & Giorgos Kallis, 2020. "Is Green Growth Possible?," New Political Economy, Taylor & Francis Journals, vol. 25(4), pages 469-486, June.
    11. James D Ward & Paul C Sutton & Adrian D Werner & Robert Costanza & Steve H Mohr & Craig T Simmons, 2016. "Is Decoupling GDP Growth from Environmental Impact Possible?," PLOS ONE, Public Library of Science, vol. 11(10), pages 1-14, October.
    12. Campagnolo, Lorenza & Davide, Marinella, 2019. "Can the Paris deal boost SDGs achievement? An assessment of climate mitigation co-benefits or side-effects on poverty and inequality," World Development, Elsevier, vol. 122(C), pages 96-109.
    13. Francesco Fuso Nerini & Benjamin Sovacool & Nick Hughes & Laura Cozzi & Ellie Cosgrave & Mark Howells & Massimo Tavoni & Julia Tomei & Hisham Zerriffi & Ben Milligan, 2019. "Connecting climate action with other Sustainable Development Goals," Nature Sustainability, Nature, vol. 2(8), pages 674-680, August.
    14. Mulder, Peter & de Groot, Henri L.F. & Pfeiffer, Birte, 2014. "Dynamics and determinants of energy intensity in the service sector: A cross-country analysis, 1980–2005," Ecological Economics, Elsevier, vol. 100(C), pages 1-15.
    15. Mozumder, Pallab & Marathe, Achla, 2007. "Causality relationship between electricity consumption and GDP in Bangladesh," Energy Policy, Elsevier, vol. 35(1), pages 395-402, January.
    16. Joarder Munim & Md. Hakim & Md. Abdullah-Al-Mamun, 2010. "Analysis of energy consumption and indicators of energy use in Bangladesh," Economic Change and Restructuring, Springer, vol. 43(4), pages 275-302, November.
    17. Robert J. Gordon, 2012. "Is U.S. Economic Growth Over? Faltering Innovation Confronts the Six Headwinds," NBER Working Papers 18315, National Bureau of Economic Research, Inc.
    18. Joachim H. Spangenberg, 2004. "Reconciling sustainability and growth: criteria, indicators, policies," Sustainable Development, John Wiley & Sons, Ltd., vol. 12(2), pages 74-86.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Zhao, Jun & Dong, Kangyin & Dong, Xiucheng & Shahbaz, Muhammad & Kyriakou, Ioannis, 2022. "Is green growth affected by financial risks? New global evidence from asymmetric and heterogeneous analysis," Energy Economics, Elsevier, vol. 113(C).
    2. Baitong Li & Jian Li & Chen Liu & Xinyan Yao & Jingxuan Dong & Meijun Xia, 2023. "Provincial Inclusive Green Growth Efficiency in China: Spatial Correlation Network Investigation and Its Influence Factors," Land, MDPI, vol. 12(3), pages 1-24, March.
    3. Asma Awan & Sidra Nawaz, 2022. "Towards Green Growth: Monitoring Progress and Investigating Its Determinants in South Asia," Journal of Economic Impact, Science Impact Publishers, vol. 4(3), pages 252-264.
    4. Esposito, Luca, 2023. "Renewable energy consumption and per capita income: An empirical analysis in Finland," Renewable Energy, Elsevier, vol. 209(C), pages 558-568.
    5. Raza, Muhammad Yousaf & Lin, Boqiang, 2023. "Future outlook and influencing factors analysis of natural gas consumption in Bangladesh: An economic and policy perspectives," Energy Policy, Elsevier, vol. 173(C).
    6. Rabie Said & Muhammad Ishaq Bhatti & Ahmed Imran Hunjra, 2022. "Toward Understanding Renewable Energy and Sustainable Development in Developing and Developed Economies: A Review," Energies, MDPI, vol. 15(15), pages 1-12, July.
    7. Rashid Latief & Yusheng Kong & Sohail Ahmad Javeed & Usman Sattar, 2021. "Carbon Emissions in the SAARC Countries with Causal Effects of FDI, Economic Growth and Other Economic Factors: Evidence from Dynamic Simultaneous Equation Models," IJERPH, MDPI, vol. 18(9), pages 1-22, April.
    8. Dong, Kangyin & Wang, Bo & Zhao, Jun & Taghizadeh-Hesary, Farhad, 2022. "Mitigating carbon emissions by accelerating green growth in China," Economic Analysis and Policy, Elsevier, vol. 75(C), pages 226-243.
    9. Rui Zhou, 2022. "Measurement and Spatial-Temporal Characteristics of Inclusive Green Growth in China," Land, MDPI, vol. 11(8), pages 1-36, July.
    10. Li, Jiaman & Dong, Kangyin & Taghizadeh-Hesary, Farhad & Wang, Kun, 2022. "3G in China: How green economic growth and green finance promote green energy?," Renewable Energy, Elsevier, vol. 200(C), pages 1327-1337.
    11. Aryal, Sushil & Dhakal, Shobhakar & KC, Samrat, 2023. "Integrated analysis of end-use electrification and cross-border electricity trade policies for hydropower enabled energy transformation in Nepal," Renewable Energy, Elsevier, vol. 219(P1).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Marco Capasso, 2021. "Degrowth or Green Growth: A Reflection on the Recent Public Discourse in Norway," Sustainability, MDPI, vol. 13(2), pages 1-15, January.
    2. Dong, Kangyin & Wang, Bo & Zhao, Jun & Taghizadeh-Hesary, Farhad, 2022. "Mitigating carbon emissions by accelerating green growth in China," Economic Analysis and Policy, Elsevier, vol. 75(C), pages 226-243.
    3. Zhao, Jun & Dong, Kangyin & Dong, Xiucheng & Shahbaz, Muhammad & Kyriakou, Ioannis, 2022. "Is green growth affected by financial risks? New global evidence from asymmetric and heterogeneous analysis," Energy Economics, Elsevier, vol. 113(C).
    4. Xu, Xiaoying, 2022. "The impact of natural resources on green growth: The role of green trade," Resources Policy, Elsevier, vol. 78(C).
    5. Kantor Angelika, 2021. "Multidimensional Analysis of the Green Growth of the European Union Countries in 2019," Econometrics. Advances in Applied Data Analysis, Sciendo, vol. 25(2), pages 46-66, June.
    6. Villanthenkodath, Muhammed Ashiq & Mahalik, Mantu Kumar, 2021. "Does economic growth respond to electricity consumption asymmetrically in Bangladesh? The implication for environmental sustainability," Energy, Elsevier, vol. 233(C).
    7. Crettez, Bertrand & Hayek, Naila & Zaccour, Georges, 2023. "When is frugality optimal?," Mathematical Social Sciences, Elsevier, vol. 125(C), pages 65-75.
    8. Savin, Ivan & Drews, Stefan & van den Bergh, Jeroen, 2021. "Free associations of citizens and scientists with economic and green growth: A computational-linguistics analysis," Ecological Economics, Elsevier, vol. 180(C).
    9. Yahya, Farzan & Lee, Chien-Chiang, 2023. "Disentangling the asymmetric effect of financialization on the green output gap," Energy Economics, Elsevier, vol. 125(C).
    10. Mohammed Basheer & Victor Nechifor & Alvaro Calzadilla & Claudia Ringler & David Hulme & Julien J. Harou, 2022. "Balancing national economic policy outcomes for sustainable development," Nature Communications, Nature, vol. 13(1), pages 1-13, December.
    11. Ho, Mun & Wang, Zhongmin, 2014. "Green Growth (for China): A Literature Review," RFF Working Paper Series dp-14-22, Resources for the Future.
    12. Andreas Makoto Hein & Jean-Baptiste Rudelle, 2020. "Energy Limits to the Gross Domestic Product on Earth," Working Papers hal-02570677, HAL.
    13. Warlenius, Rikard Hjorth, 2023. "The limits to degrowth: Economic and climatic consequences of pessimist assumptions on decoupling," Ecological Economics, Elsevier, vol. 213(C).
    14. Kristian Kongshøj, 2023. "Social policy in a future of degrowth? Challenges for decommodification, commoning and public support," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-11, December.
    15. Mealy, Penny & Teytelboym, Alexander, 2022. "Economic complexity and the green economy," Research Policy, Elsevier, vol. 51(8).
    16. Kamath, Ram & Sun, Zhanli & Hermans, Frans, 2022. "Policy instruments for green-growth of clusters: Implications from an agent-based model," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 43, pages 257-269.
    17. Wu, Wanlu & Cheng, Yuanyuan & Lin, Xiqiao & Yao, Xin, 2019. "How does the implementation of the Policy of Electricity Substitution influence green economic growth in China?," Energy Policy, Elsevier, vol. 131(C), pages 251-261.
    18. Klaas Lenaerts & Simone Tagliapietra & Guntram B. Wolff, 2022. "The Global Quest for Green Growth: An Economic Policy Perspective," Sustainability, MDPI, vol. 14(9), pages 1-14, May.
    19. Chantal P. Naidoo, 2019. "Relating Financial Systems to Sustainability Transitions: Challenges, Demands and Dimensions," SPRU Working Paper Series 2019-18, SPRU - Science Policy Research Unit, University of Sussex Business School.
    20. Barbier, Edward B., 2016. "Is green growth relevant for poor economies?," Resource and Energy Economics, Elsevier, vol. 45(C), pages 178-191.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:enepol:v:149:y:2021:i:c:s0301421520307606. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/enpol .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.