Energy consumption, CO2 emission and economic growth

Empirical evidence for Malaysia

Md Sujahangir Kabir Sarkar, Abul Quasem Al-Amin, Siti Indati Mustapa @ Jaafar, Md Rajibul Ahsan

Research output: Contribution to journalArticle

Abstract

This study focuses on the relationship among the energy consumption, carbon emission and economic growth of Malaysia by using a time series data from 1980-2016. The study findings are shown by an econometric analysis that energy consumption, total and per capita CO2 emission and gross domestic product (GDP) has increased vastly between 1980 and 2016. The Johansen cointegration test confirms the existence of the long run relationship of energy consumption with carbon emission and economic growth. Moreover, the Granger causality test reveals the unidirectional causality of energy demand and population with carbon emission. The positive and significant relationship between GDP and carbon emission is a critical issue in Malaysia that needs to be addressed with care as economic growth is necessary but increase of carbon emission is undesirable. Therefore, this study recommends to promote green energy, green growth (GDP) that will ensure both energy security and energy sustainability in Malaysia over time.

Original languageEnglish
Pages (from-to)318-334
Number of pages17
JournalInternational Journal of Environment and Sustainable Development
Volume18
Issue number3
DOIs
Publication statusPublished - 01 Jan 2019

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carbon emission
energy consumption
Malaysia
economic growth
Energy utilization
Economics
Carbon
Gross Domestic Product
gross domestic product
evidence
energy
causality
Granger causality test
Energy security
econometrics
energy shortage
Sustainable development
Time series
time series
sustainability

All Science Journal Classification (ASJC) codes

  • Geography, Planning and Development
  • Renewable Energy, Sustainability and the Environment
  • Management, Monitoring, Policy and Law

Cite this

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abstract = "This study focuses on the relationship among the energy consumption, carbon emission and economic growth of Malaysia by using a time series data from 1980-2016. The study findings are shown by an econometric analysis that energy consumption, total and per capita CO2 emission and gross domestic product (GDP) has increased vastly between 1980 and 2016. The Johansen cointegration test confirms the existence of the long run relationship of energy consumption with carbon emission and economic growth. Moreover, the Granger causality test reveals the unidirectional causality of energy demand and population with carbon emission. The positive and significant relationship between GDP and carbon emission is a critical issue in Malaysia that needs to be addressed with care as economic growth is necessary but increase of carbon emission is undesirable. Therefore, this study recommends to promote green energy, green growth (GDP) that will ensure both energy security and energy sustainability in Malaysia over time.",
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Energy consumption, CO2 emission and economic growth : Empirical evidence for Malaysia. / Sarkar, Md Sujahangir Kabir; Al-Amin, Abul Quasem; Mustapa @ Jaafar, Siti Indati; Ahsan, Md Rajibul.

In: International Journal of Environment and Sustainable Development, Vol. 18, No. 3, 01.01.2019, p. 318-334.

Research output: Contribution to journalArticle

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