IDEAS home Printed from https://ideas.repec.org/a/eco/journ2/2015-04-20.html
   My bibliography  Save this article

Investigating Factors Affecting CO2 Emissions in Malaysian Road Transport Sector

Author

Listed:
  • Siti Indati Mustapa

    (Graduate Business School, College of Graduate Studies, Universiti Tenaga Nasional, Malaysia)

  • Hussain Ali Bekhet

    (Graduate Business School, College of Graduate Studies, Universiti Tenaga Nasional, Malaysia)

Abstract

Today the unprecedented increase in CO2 emissions has become an important global issue because of the intensification in demand from the transport sector due to an upward surge in urbanization and rapid economic growth. The demand for transport services is expected to rise further, causing the CO2 emissions level to increase as well. In Malaysia, the transportation sector accounts for 28% of total CO2 emissions, of which 85% comes from road transport. This has led to strong interest in how the CO2 emissions in this sector can be reduced effectively. This study aimed to investigate factors that influence the CO2 emissions. Amultiple regression model was used based on fuel-based technology data for 1990-2013. Many factors influencing CO2 emissions, i.e., fuel consumption, fuel efficiency (FE), fuel price (FP) and distance travel (DT), were examined for the road transport sector in Malaysia. The results demonstrated that FE, FP and DT were the main factors influencing the CO2 emissions growth. Some policy implications from the empirical results were proposed for CO2 emissions reduction.

Suggested Citation

  • Siti Indati Mustapa & Hussain Ali Bekhet, 2015. "Investigating Factors Affecting CO2 Emissions in Malaysian Road Transport Sector," International Journal of Energy Economics and Policy, Econjournals, vol. 5(4), pages 1073-1083.
  • Handle: RePEc:eco:journ2:2015-04-20
    as

    Download full text from publisher

    File URL: http://www.econjournals.com/index.php/ijeep/article/download/1454/880
    Download Restriction: no

    File URL: http://www.econjournals.com/index.php/ijeep/article/view/1454/880
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Ediger, Volkan S. & Akar, Sertac, 2007. "ARIMA forecasting of primary energy demand by fuel in Turkey," Energy Policy, Elsevier, vol. 35(3), pages 1701-1708, March.
    2. Zanni, Alberto M. & Bristow, Abigail L., 2010. "Emissions of CO2 from road freight transport in London: Trends and policies for long run reductions," Energy Policy, Elsevier, vol. 38(4), pages 1774-1786, April.
    3. Ishmael Ackah & Frank Adu, 2014. "Modelling Gasoline Demand in Ghana: A Structural Time Series Approach," International Journal of Energy Economics and Policy, Econjournals, vol. 4(1), pages 76-82.
    4. Bai, Hsunling & Wei, Jong-Hourm, 1996. "The CO2 mitigation options for the electric sector. A case study of Taiwan," Energy Policy, Elsevier, vol. 24(3), pages 221-228, March.
    5. Lee Lian Ivy-Yap & Hussain Ali Bekhet, 2015. "Examining the Feedback Response of Residential Electricity Consumption towards Changes in its Determinants: Evidence from Malaysia," International Journal of Energy Economics and Policy, Econjournals, vol. 5(3), pages 772-781.
    6. Yang, Christopher & Yeh, Sonia & Zakerinia, Saleh & Ramea, Kalai & McCollum, David, 2015. "Achieving California's 80% greenhouse gas reduction target in 2050: Technology, policy and scenario analysis using CA-TIMES energy economic systems model," Energy Policy, Elsevier, vol. 77(C), pages 118-130.
    7. Pongthanaisawan, Jakapong & Sorapipatana, Chumnong, 2013. "Greenhouse gas emissions from Thailand’s transport sector: Trends and mitigation options," Applied Energy, Elsevier, vol. 101(C), pages 288-298.
    8. Ang, James B., 2008. "Economic development, pollutant emissions and energy consumption in Malaysia," Journal of Policy Modeling, Elsevier, vol. 30(2), pages 271-278.
    9. Johansson, Bengt, 2009. "Will restrictions on CO2 emissions require reductions in transport demand?," Energy Policy, Elsevier, vol. 37(8), pages 3212-3220, August.
    10. Timilsina, Govinda R. & Shrestha, Ashish, 2009. "Transport sector CO2 emissions growth in Asia: Underlying factors and policy options," Energy Policy, Elsevier, vol. 37(11), pages 4523-4539, November.
    11. Wu, Libo & Kaneko, Shinji & Matsuoka, Shunji, 2005. "Driving forces behind the stagnancy of China's energy-related CO2 emissions from 1996 to 1999: the relative importance of structural change, intensity change and scale change," Energy Policy, Elsevier, vol. 33(3), pages 319-335, February.
    12. Yan, Xiaoyu & Crookes, Roy J., 2009. "Reduction potentials of energy demand and GHG emissions in China's road transport sector," Energy Policy, Elsevier, vol. 37(2), pages 658-668, February.
    13. Cheng, Yung-Hsiang & Chang, Yu-Hern & Lu, I.J., 2015. "Urban transportation energy and carbon dioxide emission reduction strategies," Applied Energy, Elsevier, vol. 157(C), pages 953-973.
    14. Ichinohe, Masayuki & Endo, Eiichi, 2006. "Analysis of the vehicle mix in the passenger-car sector in Japan for CO2 emissions reduction by a MARKAL model," Applied Energy, Elsevier, vol. 83(10), pages 1047-1061, October.
    15. Braun, M.R. & Altan, H. & Beck, S.B.M., 2014. "Using regression analysis to predict the future energy consumption of a supermarket in the UK," Applied Energy, Elsevier, vol. 130(C), pages 305-313.
    16. Vassilios A. Profillidis & George N. Botzoris & Athanasios T. Galanis, 2014. "Environmental Effects and Externalities from the Transport Sector and Sustainable Transportation Planning A Review," International Journal of Energy Economics and Policy, Econjournals, vol. 4(4), pages 647-661.
    17. Haldenbilen, Soner, 2006. "Fuel price determination in transportation sector using predicted energy and transport demand," Energy Policy, Elsevier, vol. 34(17), pages 3078-3086, November.
    18. Hickman, Robin & Banister, David, 2007. "Looking over the horizon: Transport and reduced CO2 emissions in the UK by 2030," Transport Policy, Elsevier, vol. 14(5), pages 377-387, September.
    19. Hickman, Robin & Ashiru, Olu & Banister, David, 2010. "Transport and climate change: Simulating the options for carbon reduction in London," Transport Policy, Elsevier, vol. 17(2), pages 110-125, March.
    20. Usama Al-Mulali & Ilhan Ozturk & Hooi Lean, 2015. "The influence of economic growth, urbanization, trade openness, financial development, and renewable energy on pollution in Europe," Natural Hazards: Journal of the International Society for the Prevention and Mitigation of Natural Hazards, Springer;International Society for the Prevention and Mitigation of Natural Hazards, vol. 79(1), pages 621-644, October.
    21. Hunt Allcott & Nathan Wozny, 2014. "Gasoline Prices, Fuel Economy, and the Energy Paradox," The Review of Economics and Statistics, MIT Press, vol. 96(5), pages 779-795, December.
    22. Wohlgemuth, Norbert, 1997. "World transport energy demand modelling : Methodology and elasticities," Energy Policy, Elsevier, vol. 25(14-15), pages 1109-1119, December.
    23. Silitonga, A.S. & Atabani, A.E. & Mahlia, T.M.I., 2012. "Review on fuel economy standard and label for vehicle in selected ASEAN countries," Renewable and Sustainable Energy Reviews, Elsevier, vol. 16(3), pages 1683-1695.
    24. Gielen, Dolf & Changhong, Chen, 2001. "The CO2 emission reduction benefits of Chinese energy policies and environmental policies:: A case study for Shanghai, period 1995-2020," Ecological Economics, Elsevier, vol. 39(2), pages 257-270, November.
    25. Pasaoglu, Guzay & Honselaar, Michel & Thiel, Christian, 2012. "Potential vehicle fleet CO2 reductions and cost implications for various vehicle technology deployment scenarios in Europe," Energy Policy, Elsevier, vol. 40(C), pages 404-421.
    26. den Elzen, Michel & Höhne, Niklas & van Vliet, Jasper, 2009. "Analysing comparable greenhouse gas mitigation efforts for Annex I countries," Energy Policy, Elsevier, vol. 37(10), pages 4114-4131, October.
    27. Ong, H.C. & Mahlia, T.M.I. & Masjuki, H.H., 2011. "A review on emissions and mitigation strategies for road transport in Malaysia," Renewable and Sustainable Energy Reviews, Elsevier, vol. 15(8), pages 3516-3522.
    28. Dinda, Soumyananda, 2004. "Environmental Kuznets Curve Hypothesis: A Survey," Ecological Economics, Elsevier, vol. 49(4), pages 431-455, August.
    29. Wang, S.S. & Zhou, D.Q. & Zhou, P. & Wang, Q.W., 2011. "CO2 emissions, energy consumption and economic growth in China: A panel data analysis," Energy Policy, Elsevier, vol. 39(9), pages 4870-4875, September.
    30. Bonilla, David, 2009. "Fuel demand on UK roads and dieselisation of fuel economy," Energy Policy, Elsevier, vol. 37(10), pages 3769-3778, October.
    31. Timilsina, Govinda R. & Shrestha, Ashish, 2009. "Why have CO2 emissions increased in the transport sector in Asia ? underlying factors and policy options," Policy Research Working Paper Series 5098, The World Bank.
    32. Xu, Shi-Chun & He, Zheng-Xia & Long, Ru-Yin, 2014. "Factors that influence carbon emissions due to energy consumption in China: Decomposition analysis using LMDI," Applied Energy, Elsevier, vol. 127(C), pages 182-193.
    33. Saboori, Behnaz & Sulaiman, Jamalludin & Mohd, Saidatulakmal, 2012. "Economic growth and CO2 emissions in Malaysia: A cointegration analysis of the Environmental Kuznets Curve," Energy Policy, Elsevier, vol. 51(C), pages 184-191.
    34. Begum, Rawshan Ara & Sohag, Kazi & Abdullah, Sharifah Mastura Syed & Jaafar, Mokhtar, 2015. "CO2 emissions, energy consumption, economic and population growth in Malaysia," Renewable and Sustainable Energy Reviews, Elsevier, vol. 41(C), pages 594-601.
    35. Mattila, Tuomas & Antikainen, Riina, 2011. "Backcasting sustainable freight transport systems for Europe in 2050," Energy Policy, Elsevier, vol. 39(3), pages 1241-1248, March.
    36. Rosa M. Gonz lez-Marrero & Rosa M. Lorenzo-Alegr a & Gustavo A. Marrero, 2012. "A Dynamic Model for Road Gasoline and Diesel Consumption: An Application for Spanish Regions," International Journal of Energy Economics and Policy, Econjournals, vol. 2(4), pages 201-209.
    37. Klier, Thomas & Linn, Joshua, 2013. "Fuel prices and new vehicle fuel economy—Comparing the United States and Western Europe," Journal of Environmental Economics and Management, Elsevier, vol. 66(2), pages 280-300.
    38. Sadorsky, Perry, 2013. "Do urbanization and industrialization affect energy intensity in developing countries?," Energy Economics, Elsevier, vol. 37(C), pages 52-59.
    39. Sadorsky, Perry, 2014. "The effect of urbanization on CO2 emissions in emerging economies," Energy Economics, Elsevier, vol. 41(C), pages 147-153.
    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. Hyungwoo Lim & Jaehyeok Kim & Ha-Hyun Jo, 2020. "Population Age Structure and Greenhouse Gas Emissions from Road Transportation: A Panel Cointegration Analysis of 21 OECD Countries," IJERPH, MDPI, vol. 17(21), pages 1-18, October.
    2. Marrero, Ángel S. & Marrero, Gustavo A. & González, Rosa Marina & Rodríguez-López, Jesús, 2021. "Convergence in road transport CO2 emissions in Europe," Energy Economics, Elsevier, vol. 99(C).
    3. Ahmad Zuhairi Muzakir & Eng Hwa Yap & Teuku Meurah Indra Mahlia, 2021. "The Way towards an Energy Efficient Transportation by Implementation of Fuel Economy Standards: Fuel Savings and Emissions Mitigation," Sustainability, MDPI, vol. 13(13), pages 1-17, June.
    4. Jeyhun Mikayilov & Vusal Shukurov & Sabuhi Yusifov, 2017. "The Impact of Economic Growth and Population on Co2 Emissions from Transport Sector. Azerbaijan Case," Academic Journal of Economic Studies, Faculty of Finance, Banking and Accountancy Bucharest,"Dimitrie Cantemir" Christian University Bucharest, vol. 3(2), pages 60-67, June.
    5. Muhammad Azmi & Akihiro Tokai, 2016. "System dynamic modeling of CO2 emissions and pollutants from passenger cars in Malaysia, 2040," Environment Systems and Decisions, Springer, vol. 36(4), pages 335-350, December.
    6. González, Rosa Marina & Marrero, Gustavo A. & Rodríguez-López, Jesús & Marrero, Ángel S., 2019. "Analyzing CO2 emissions from passenger cars in Europe: A dynamic panel data approach," Energy Policy, Elsevier, vol. 129(C), pages 1271-1281.
    7. Wajahat Ali & Azrai Abdullah & Muhammad Azam, 2016. "The Dynamic Linkage between Technological Innovation and carbon dioxide emissions in Malaysia: An Autoregressive Distributed Lagged Bound Approach," International Journal of Energy Economics and Policy, Econjournals, vol. 6(3), pages 389-400.
    8. Ahmad Farabi & Azrai Abdullah & Rahmat Heru Setianto, 2019. "Energy Consumption, Carbon Emissions and Economic Growth in Indonesia and Malaysia," International Journal of Energy Economics and Policy, Econjournals, vol. 9(3), pages 338-345.
    9. Lilis Yuaningsih & R. Adjeng Mariana Febrianti & Munawar Javed Ahmad, 2021. "Examining the Factors Affecting CO2 Emissions from Road Transportation in Malaysia," International Journal of Energy Economics and Policy, Econjournals, vol. 11(6), pages 152-159.

    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. Mustapa, Siti Indati & Bekhet, Hussain Ali, 2016. "Analysis of CO2 emissions reduction in the Malaysian transportation sector: An optimisation approach," Energy Policy, Elsevier, vol. 89(C), pages 171-183.
    2. Reham Alhindawi & Yousef Abu Nahleh & Arun Kumar & Nirajan Shiwakoti, 2020. "Projection of Greenhouse Gas Emissions for the Road Transport Sector Based on Multivariate Regression and the Double Exponential Smoothing Model," Sustainability, MDPI, vol. 12(21), pages 1-18, November.
    3. Reham Alhindawi & Yousef Abu Nahleh & Arun Kumar & Nirajan Shiwakoti, 2019. "Application of a Adaptive Neuro-Fuzzy Technique for Projection of the Greenhouse Gas Emissions from Road Transportation," Sustainability, MDPI, vol. 11(22), pages 1-17, November.
    4. González, Rosa Marina & Marrero, Gustavo A. & Rodríguez-López, Jesús & Marrero, Ángel S., 2019. "Analyzing CO2 emissions from passenger cars in Europe: A dynamic panel data approach," Energy Policy, Elsevier, vol. 129(C), pages 1271-1281.
    5. Muhammad Azmi & Akihiro Tokai, 2016. "System dynamic modeling of CO2 emissions and pollutants from passenger cars in Malaysia, 2040," Environment Systems and Decisions, Springer, vol. 36(4), pages 335-350, December.
    6. Mumin Atalay Cetin & Ibrahim Bakirtas, 2020. "The long-run environmental impacts of economic growth, financial development, and energy consumption: Evidence from emerging markets," Energy & Environment, , vol. 31(4), pages 634-655, June.
    7. Solaymani, Saeed & Kardooni, Roozbeh & Yusoff, Sumiani Binti & Kari, Fatimah, 2015. "The impacts of climate change policies on the transportation sector," Energy, Elsevier, vol. 81(C), pages 719-728.
    8. Acheampong, Alex O., 2019. "Modelling for insight: Does financial development improve environmental quality?," Energy Economics, Elsevier, vol. 83(C), pages 156-179.
    9. Samargandi, Nahla, 2017. "Sector value addition, technology and CO2 emissions in Saudi Arabia," Renewable and Sustainable Energy Reviews, Elsevier, vol. 78(C), pages 868-877.
    10. Le Hoang Phong, 2019. "Globalization, Financial Development, and Environmental Degradation in the Presence of Environmental Kuznets Curve: Evidence from ASEAN-5 Countries," International Journal of Energy Economics and Policy, Econjournals, vol. 9(2), pages 40-50.
    11. Cerdeira Bento, João Paulo, 2014. "The determinants of CO2 emissions: empirical evidence from Italy," MPRA Paper 59166, University Library of Munich, Germany.
    12. Omri, Anis, 2013. "CO2 emissions, energy consumption and economic growth nexus in MENA countries: Evidence from simultaneous equations models," Energy Economics, Elsevier, vol. 40(C), pages 657-664.
    13. Muhammad Shahbaz & Avik Sinha, 2019. "Environmental Kuznets curve for CO2emissions: a literature survey," Journal of Economic Studies, Emerald Group Publishing Limited, vol. 46(1), pages 106-168, January.
    14. Tiba, Sofien & Omri, Anis, 2017. "Literature survey on the relationships between energy, environment and economic growth," Renewable and Sustainable Energy Reviews, Elsevier, vol. 69(C), pages 1129-1146.
    15. Mahlia, T.M.I. & Tohno, S. & Tezuka, T., 2012. "History and current status of the motor vehicle energy labeling and its implementation possibilities in Malaysia," Renewable and Sustainable Energy Reviews, Elsevier, vol. 16(4), pages 1828-1844.
    16. Kais, Saidi & Sami, Hammami, 2016. "An econometric study of the impact of economic growth and energy use on carbon emissions: Panel data evidence from fifty eight countries," Renewable and Sustainable Energy Reviews, Elsevier, vol. 59(C), pages 1101-1110.
    17. Rawshan Ara Begum & Asif Raihan & Mohd Nizam Mohd Said, 2020. "Dynamic Impacts of Economic Growth and Forested Area on Carbon Dioxide Emissions in Malaysia," Sustainability, MDPI, vol. 12(22), pages 1-15, November.
    18. Sofien, Tiba & Omri, Anis, 2016. "Literature survey on the relationships between energy variables, environment and economic growth," MPRA Paper 82555, University Library of Munich, Germany, revised 14 Sep 2016.
    19. Zhihui Lv & Amanda M. Y. Chu & Michael McAleer & Wing-Keung Wong, 2019. "Modelling Economic Growth, Carbon Emissions, and Fossil Fuel Consumption in China: Cointegration and Multivariate Causality," IJERPH, MDPI, vol. 16(21), pages 1-35, October.
    20. Marrero, Ángel S. & Marrero, Gustavo A. & González, Rosa Marina & Rodríguez-López, Jesús, 2021. "Convergence in road transport CO2 emissions in Europe," Energy Economics, Elsevier, vol. 99(C).

    More about this item

    Keywords

    CO2 Emissions; Energy Consumption; Road Transportation; Regression Model; Malaysia;
    All these keywords.

    JEL classification:

    • C13 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Estimation: General
    • Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy
    • N75 - Economic History - - Economic History: Transport, International and Domestic Trade, Energy, and Other Services - - - Asia including Middle East
    • R41 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Transportation: Demand, Supply, and Congestion; Travel Time; Safety and Accidents; Transportation Noise

    Statistics

    Access and download statistics

    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:eco:journ2:2015-04-20. 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: Ilhan Ozturk (email available below). General contact details of provider: http://www.econjournals.com .

    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.