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The Impact of Environmental Taxes and Renewable Energy on Carbon Dioxide Emissions in OECD Countries

Author

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  • Nuno Carlos Leitão

    (School of Management and Technology, Santarém Polytechnic University, Complexo Andaluz, Apartado 295, 2001-904 Santarém, Portugal
    Center for Advanced Studies in Management and Economics (CEFAGE), University of Évora, 7000-809 Évora, Portugal
    Center for African and Development Studies, Lisbon University, 1200-781 Lisbon, Portugal)

Abstract

This research aims to test the impact of environmental taxes on pollution emissions in 38 OECD countries from 1995 to 2022. The study used an econometric strategy of panel data (FMOLS, DOLS, quantile regression, and the GMM system). The variable of environmental taxes showed a negative externality between taxation and carbon dioxide emissions, reflecting that taxation stimulated an increase in carbon dioxide emissions. The econometric results also indicate that renewable energy and trade aim to decrease pollution emissions, improving environmental degradation.

Suggested Citation

  • Nuno Carlos Leitão, 2025. "The Impact of Environmental Taxes and Renewable Energy on Carbon Dioxide Emissions in OECD Countries," Energies, MDPI, vol. 18(10), pages 1-18, May.
    • Handle: RePEc:gam:jeners:v:18:y:2025:i:10:p:2543-:d:1655672
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