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Renewable Energy Consumption and Consumption-Based Carbon Emissions in Sub-Saharan African Countries

Author

Listed:
  • Sani Abubakar

    (Department of Economics, Bingham University, Karu, Nigeria)

  • John Olu-Coris Aiyedogbon

    (Department of Economics, Bingham University, Karu, Nigeria)

  • Marvelous Aigbedion

    (Department of Economics, Bingham University, Karu, Nigeria)

Abstract

The determinants of production-based carbon emission (PCE) have been extensively examined in the literature. However, PCE only accounts for emissions generated within the territory of a country and does not capture emissions embedded in imported goods. The rapid growth in Consumption-based Carbon Emissions (CCE) in Sub-Saharan Africa (SSA), driven by increasing imports and economic activities, highlights the need for a comprehensive understanding of these emissions. This motivates us to examine the impact of Renewable Energy Consumption (REC) on CCE in SSA. We employed a two-step system Generalized Method of Moments (GMM) methodology, utilizing data from 1995 to 2020. The results show a negative effect of REC on CCE, suggesting that increases in renewable energy consumption tend to reduce CCE. In contrast, the positive impact of real GDP and population indicates that economic growth and population expansion tend to bolster carbon emissions. These findings underscore the importance of implementing policies harmonizing economic growth with sustainable energy strategies. They provide valuable insights for informed environmental and economic planning decisions.

Suggested Citation

  • Sani Abubakar & John Olu-Coris Aiyedogbon & Marvelous Aigbedion, 2025. "Renewable Energy Consumption and Consumption-Based Carbon Emissions in Sub-Saharan African Countries," Climate Economics and Finance, Anser Press, vol. 3(1), pages 13-23, March.
    • Handle: RePEc:bba:j00011:v:3:y:2025:i:1:p:13-23:d:440
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    References listed on IDEAS

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    1. Flavio R. Arroyo M. & Luis J. Miguel, 2020. "The Role of Renewable Energies for the Sustainable Energy Governance and Environmental Policies for the Mitigation of Climate Change in Ecuador," Energies, MDPI, vol. 13(15), pages 1-18, July.
    2. Joseph Oyekale & Mario Petrollese & Vittorio Tola & Giorgio Cau, 2020. "Impacts of Renewable Energy Resources on Effectiveness of Grid-Integrated Systems: Succinct Review of Current Challenges and Potential Solution Strategies," Energies, MDPI, vol. 13(18), pages 1-48, September.
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