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Pollutant Emissions, Energy Consumption and Economic Growth in Nigeria

Author

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  • Philip O. Alege

    (Department of Economics and Development Studies, College of Business and Social Sciences, Covenant University, Ota, Ogun, Nigeria)

  • Oluwasogo S. Adediran

    (Department of Economics and Development Studies, College of Business and Social Sciences, Covenant University, Ota, Ogun, Nigeria)

  • Adeyemi A. Ogundipe

    (Department of Economics and Development Studies, College of Business and Social Sciences, Covenant University, Ota, Ogun, Nigeria)

Abstract

The study investigates the direction of causal relationships among emissions, energy consumption and economic growth in Nigeria using annual time series data for the period 1970-2013. The Johansen maximum likelihood cointegration tests indicate an existence of a unique cointegrating vector, and the normalized long run estimates shows that fossil fuel enhances carbon emissions whereas, clean energy source (electricity) mitigate the atmospheric concentration of carbon dioxide (CO2 ) emissions. Similarly, the Wald exogeneity Granger causality test indicates an existence of unidirectional causation running from fossil fuel to CO2 emissions and gross domestic product (GDP) per capita. Alternatively, non-fossil energy (electric power) causes more proportionate change in GDP per capita but our result could not establish any causal link between electric power and carbon emissions. Finally, charting a channel towards ensuring sustainable environment and economic development involves a progressive substitutability of clean energy sources for fossil consumption

Suggested Citation

  • Philip O. Alege & Oluwasogo S. Adediran & Adeyemi A. Ogundipe, 2016. "Pollutant Emissions, Energy Consumption and Economic Growth in Nigeria," International Journal of Energy Economics and Policy, Econjournals, vol. 6(2), pages 202-207.
    • Handle: RePEc:eco:journ2:2016-02-7
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    Cited by:

    1. Desire SEKANABO & Elias Nyandwi & Hakizimana Khan Jean de Dieu & Valerie M. Thomas, 2022. "The Relationship between GDP and Biomass Energy Per Capita in Sub-Saharan Africa," International Journal of Energy Economics and Policy, Econjournals, vol. 12(4), pages 528-541, July.
    2. Olufunmilayo T. Afolayan & Henry Okodua & Hassan Oaikhenan & Oluwatoyin Matthew, 2020. "Carbon Emissions, Human Capital Investment and Economic Development in Nigeria," International Journal of Energy Economics and Policy, Econjournals, vol. 10(2), pages 427-437.
    3. Egbichi Comfort & Abuh Ojamaliya & Okafor Victoria & Godwin Abigail & Adedoyin Oluwapelumi, 2018. "Dynamic Impact of Energy Consumption on the Growth of Nigeria Economy (1986-2016): Evidence from Symmetrical Autoregressive Distributed Lag Model," International Journal of Energy Economics and Policy, Econjournals, vol. 8(2), pages 188-195.
    4. Lawrence U. Okoye & Alexander E. Omankhanlen & Johnson I. Okoh & Ngozi B. Adeleye & Felix N. Ezeji & Gideon K. Ezu & Benjamin I. Ehikioya, 2021. "Analyzing the Energy Consumption and Economic Growth Nexus in Nigeria," International Journal of Energy Economics and Policy, Econjournals, vol. 11(1), pages 378-387.
    5. Sultana, Nahid & Rahman, Mohammad Mafizur & Khanam, Rasheda & Islam, K.M. Zahidul, 2022. "The causative factors of environmental degradation in South Asia," Journal of Asian Economics, Elsevier, vol. 79(C).
    6. Fortune Ganda, 2022. "The Environmental Impacts of Human Capital in the BRICS Economies," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 13(1), pages 611-634, March.
    7. Abdulrasheed Zakari & Vincent Tawiah, 2019. "Impact of Electricity Consumption, Financial Development, Trade Openness on CO2 Emissions: Evidence from Nigeria," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 4, pages 143-157.
    8. Joel Alejandro Rosado & Mar a Isabel Alvarado S nchez, 2017. "The Influence of Economic Growth and Electric Consumption on Pollution in South America Countries," International Journal of Energy Economics and Policy, Econjournals, vol. 7(3), pages 121-126.
    9. Ademola E. Ojo & Ditimi Amassoma, 2021. "Infrastructures Development, Environmental Quality and Economic Growth in Nigeria," Journal of Infrastructure Development, India Development Foundation, vol. 13(2), pages 129-144, December.
    10. Mei Zhang & Kazeem Bello Ajide & Lanre Ibrahim Ridwan, 2022. "Heterogeneous dynamic impacts of nonrenewable energy, resource rents, technology, human capital, and population on environmental quality in Sub-Saharan African countries," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 24(10), pages 11817-11851, October.
    11. Adeyemi A. Ogundipe & Opeyemi Akinyemi & Oluwatomisin M. Ogundipe, 2018. "Energy Access: Pathway to Attaining Sustainable Development in Africa," International Journal of Energy Economics and Policy, Econjournals, vol. 8(6), pages 371-381.
    12. repec:eco:journ2:2017-04-17 is not listed on IDEAS
    13. Oluwasogo S. Adediran & Ibiene Benibo & Doris Akinpelumi, 2021. "Biomass Energy Consumption and Economic Growth: An Assessment of the Relevance of Sustainable Development Goal 7 in Nigeria," International Journal of Energy Economics and Policy, Econjournals, vol. 11(6), pages 43-49.
    14. Ameyaw, Bismark & Yao, Li & Oppong, Amos & Agyeman, Joy Korang, 2019. "Investigating, forecasting and proposing emission mitigation pathways for CO2 emissions from fossil fuel combustion only: A case study of selected countries," Energy Policy, Elsevier, vol. 130(C), pages 7-21.

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    More about this item

    Keywords

    Carbon Dioxide Emissions; Energy Consumption; Johansen Cointegration; Granger Causality;
    All these keywords.

    JEL classification:

    • C22 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling

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