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Analyzing the Impact of Renewable Energy and Green Innovation on Carbon Emissions in the MENA Region

Author

Listed:
  • Abdullah Albaker

    (Department of Electrical Engineering, College of Engineering, University of Ha’il, Ha’il 81451, Saudi Arabia)

  • Kashif Raza Abbasi

    (Department of Business Administration, Faculty of Management Sciences, ILMA University, Karachi 75190, Pakistan
    Faculty of Economics, Administrative and Social Sciences, Nisantasi University, Istanbul, Turkey)

  • Akram Masoud Haddad

    (Economics Program, Humanities, Arts and Applied Sciences, Amity University Dubai (AUD), Dubai P.O. Box 345019, United Arab Emirates)

  • Magdalena Radulescu

    (Department of Finance, Accounting and Economics, University of Pitesti, 110040 Pitesti, Romania
    Institute of Doctoral and Post-Doctoral Studies, University Lucian Blaga of Sibiu, Bd. Victoriei, No. 10, 550024 Sibiu, Romania)

  • Catalin Manescu

    (Academy of Economic Studies, Str. Mihail Moxa, No. 5-7, 010374 Bucharest, Romania)

  • Georgiana Tatiana Bondac

    (Departament of Management-Marketing, Valahia University of Târgoviște, Sinaia Street, No. 13, 130005 Târgoviște, Romania)

Abstract

The rising carbon dioxide emissions from the MENA region constitute a severe danger to the environment, public health, and the execution of the United Nations SDGs. Substantial steps are required to solve this problem and maintain the region’s sustainable future. Hence, the current study focused on distinct factors, including renewable energy, energy intensity, green innovation, GDP, and CO 2 emissions from 1990 to 2021. The research determines the multifarious variables in various quantiles, including the novel Method of Moments Quantile Regression (MMQR) approach, Fully Modified Ordinary Least Square (FM-OLS), Dynamic Ordinary Least Square (D-OLS) and Driscoll-Kraay Standard Errors (DKS) applied. The findings reveal that renewable energy significantly reduces carbon emissions in all quantiles, while energy intensity, green innovation, and GDP lead to carbon emissions in lower, middle, and upper quantiles. For robust outcome confirmed by FM-OLS, D-OLS, and DKS methods. Also, Granger heterogeneous causality applied that confirmed the bidirectional causality among the variables. The study’s findings imply that authorities should emphasize the emergence of renewable energy and green innovation while adopting energy-efficient technologies to minimize carbon emissions and accomplish SDGs 7, 9, and 13 to secure the MENA region.

Suggested Citation

  • Abdullah Albaker & Kashif Raza Abbasi & Akram Masoud Haddad & Magdalena Radulescu & Catalin Manescu & Georgiana Tatiana Bondac, 2023. "Analyzing the Impact of Renewable Energy and Green Innovation on Carbon Emissions in the MENA Region," Energies, MDPI, vol. 16(16), pages 1-19, August.
    • Handle: RePEc:gam:jeners:v:16:y:2023:i:16:p:6053-:d:1220095
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