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CO2 Emission from Fossil Fuel Consumption and Technology Intensity

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  • Santosh K. Sahu
  • K. Narayanan

Abstract

The contribution of this article lies in computing CO 2 emission at the firm level for the Indian manufacturing sector from 2000 to 2011 and analysing the factors that explain the inter-firm variations in CO 2 emission. The results indicate that there are differences in firm-level emission intensity and they, in turn, are systematically related to identifiable firm-specific characteristics. This study found size, age, energy intensity and technology intensity as the major determinants of CO 2 emission of Indian manufacturing firms. In addition, capital and labour intensity of the firms are also related to the firms’ CO 2 emission intensity. For a sustainable industrial development purpose, the short-run policy implications should be aimed at encouraging firms to invest more in research and development (R&D) and technology imports and in the long run, a firm should be able to adopt cleaner energy to reduce CO 2 emission from the fuel consumption.

Suggested Citation

  • Santosh K. Sahu & K. Narayanan, 2014. "CO2 Emission from Fossil Fuel Consumption and Technology Intensity," Review of Market Integration, India Development Foundation, vol. 6(3), pages 269-296, December.
    • Handle: RePEc:sae:revmar:v:6:y:2014:i:3:p:269-296
    DOI: 10.1177/0974929215582243
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    Cited by:

    1. Santosh K. Sahu & Deepanjali Mehta, 2018. "Determinants Of Energy And Co2 Emission Intensities: A Study Of Manufacturing Firms In India," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 63(02), pages 389-407, March.
    2. Bishwanath Goldar & Yashobanta Parida & Deepika Sehdev, 2017. "Reduction in Carbon Emissions Intensity and Impact on Export Competitiveness: Evidence from Indian Manufacturing Firms," Journal of International Commerce, Economics and Policy (JICEP), World Scientific Publishing Co. Pte. Ltd., vol. 8(02), pages 1-30, June.

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    More about this item

    Keywords

    CO2 Emission; Technology Intensity; Firm Heterogeneity; Indian Manufacturing;
    All these keywords.

    JEL classification:

    • Q4 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy
    • B23 - Schools of Economic Thought and Methodology - - History of Economic Thought since 1925 - - - Econometrics; Quantitative and Mathematical Studies

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