Energizing sustainable development: renewable energy's impact on South Asian environmental quality

Abstract

This study examines the impact of CO₂ emissions, globalization, economic growth, and renewable and non-renewable energies consumption in South Asian countries between 1985 and 2019. We employ a fully modified ordinary least squares (FMOLS) method to achieve the purpose of this study. The empirical results of this study indicate that globalization positively impacts CO₂ emissions. Furthermore, the study indicates that the consumption of non-renewable energy contributes to environmental pollution. Moreover, the findings support the existence of the EKC hypothesis in these countries. As economic growth increases, environmental degradation will also increase, and vice versa. Environmental degradation, however, decreases as economic growth increases after a certain threshold. For countries to cope with the problem of environmental degradation, the pragmatic results recommend that they promote and subsidize all green energy sources.

Keywords: CO2 Emission; Economic growth; Environmental sustainability; Globalization; Renewable energy; South Asian countries.