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Threshold Effects of Energy Mix on Environmental Quality

Author

Listed:
  • Nassibou Bassongui

    (UAC - Université d’Abomey-Calavi = University of Abomey Calavi)

  • Doriane Nicole Nomo Alinga

    (UFHB - Université Félix Houphouët-Boigny)

  • Dieudonné Mignamissi

    (Faculty of Economics and Management, University of Yaoundé II - Soa)

Abstract

This paper empirically examines the nexus between energy consumption and the environmental quality conditioned to the energy mix in sub-Saharan African countries over the period 1990–2016. Using the panel threshold regression developed by Hansen (Econometrica 68:575–603, 1999) including 22 countries, the environmental quality is measured by the CO2 emissions. Results show that there is a non-linear relationship between energy consumption and CO2 emissions, and two threshold values of energy mix were found (68.53% and 88.86%). Then, our findings argue that energy consumption increases CO2 emissions when the energy mix is below 68.53%. However, when the energy mix is above 88.86%, energy consumption leads to a significant reduction in CO2 emissions. In addition, Gross Domestic Product and trade openness increase CO2 emissions, while rural population growth has a negative effect on CO2 emissions. Therefore, to achieve their environmental quality objectives, Sub-Saharan African countries have to focus their energy policies on renewable energy sources.

Suggested Citation

  • Nassibou Bassongui & Doriane Nicole Nomo Alinga & Dieudonné Mignamissi, 2021. "Threshold Effects of Energy Mix on Environmental Quality," Post-Print hal-03287892, HAL.
    • Handle: RePEc:hal:journl:hal-03287892
    DOI: 10.1007/s10818-020-09305-5
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    Cited by:

    1. Alastaire Sena Alinsato & Kora Hafiz Bete & Nassibou Bassongui, 2023. "A climate–economy model in a stochastic differential equilibrium with fractional Brownian motions and Poisson jumps," SN Business & Economics, Springer, vol. 3(8), pages 1-23, August.
    2. Adekoya, Oluwasegun B. & Akinbayo, Sukurat B. & Ishola, Oluwabunmi A. & Al-Faryan, Mamdouh Abdulaziz Saleh, 2023. "Are all the U.S. biomass energy sources green?," Energy Policy, Elsevier, vol. 179(C).

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