THE DYNAMIC INFLUENCE OF INNOVATION AND RENEWABLE ENERGY CONSUMPTION ON SUSTAINABLE DEVELOPMENT: AN EVALUATION OF VIETNAM
Article Sidebar
Read Counter : 38
Download : 25
Main Article Content
Abstract
At the COP26, Prime Minister Pham Minh Chinh stressed the role of climate change and environmental management in economic growth. Vietnam has committed to a clean energy transition, phasing out coal, and achieving net-zero CO2 emissions by 2050, demonstrating its efforts to combat climate change. This paper aimed to explore the relationship between the change of CO2 emissions and factors including renewable energy consumption, population growth rate, GDP per capita, and innovative advances by using the ARDL model covering periods from 1990 to 2021. The results indicated that long-term increases in renewable energy and population growth can reduce CO2 emissions. However, a positive relationship is found between economic growth and CO2 emissions within the same period observed. Whereas innovation was not a determinant of CO2 emissions in the long run. In the shorter term, lags of renewable energy can lead to increased CO2 emissions while lags of innovation and economic growth exhibited a negative impact on emissions. Meanwhile, population growth’s lags have no significant effect on CO2 emissions. Based on these research findings, this paper suggested some comments on the transition to consumption of clean and renewable energy, hopefully achieving net zero by 2050.
Article Details
This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.
This journal provides immediate open access to its content on the principle that making research freely available to the public supports a greater global exchange of knowledge.
IJAEB by Graduate Program of Universitas Tarumanagara is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.. Permissions beyond the scope of this license may be available at https://journal.untar.ac.id/index.php/ijaeb
References
Acheampong, A. O. (2018). Economic growth, CO2 emissions and energy consumption: what causes what and where?. Energy Economics, 74, 677-692. https://doi.org/10.1016/j.eneco.2018.07.022
Aye, G. C., & Edoja, P. E. (2017). Effect of economic growth on CO2 emission in developing countries: Evidence from a dynamic panel threshold model. Cogent Economics & Finance, 5(1), 1379239. https://doi.org/10.1080/23322039.2017.1379239
Beaumont, P., & Abrak, I. (2018, July 18). Oil-rich Nigeria outstrips India as country with most people in poverty. The Guardian, 16.
Dauda, L., Long, X., Mensah, C. N., & Salman, M. (2019). The effects of economic growth and innovation on CO 2 emissions in different regions. Environmental Science and Pollution Research, 26, 15028-15038. https://doi.org/10.1007/s11356-019-04891-y
de Oliveira, U. R., Menezes, R. P., & Fernandes, V. A. (2024). A systematic literature review on corporate sustainability: contributions, barriers, innovations and future possibilities. Environment, development and sustainability, 26(2), 3045-3079. https://doi.org/10.1007/s10668-023-02933-7
Dong, F., Zhu, J., Li, Y., Chen, Y., Gao, Y., Hu, M., ... & Sun, J. (2022). How green technology innovation affects carbon emission efficiency: evidence from developed countries proposing carbon neutrality targets. Environmental Science and Pollution Research, 29(24), 35780-35799. https://doi.org/10.1007/s11356-022-18581-9
Dong, K., Dong, X., & Jiang, Q. (2020). How renewable energy consumption lower global CO2 emissions? Evidence from countries with different income levels. The World Economy, 43(6), 1665-1698. https://doi.org/10.1111/twec.12898
Ehrlich, P. R., & Holdren, J. P. (1972). Critique. Bulletin of the Atomic Scientists, 28(5), 16-27. https://doi.org/10.1080/00963402.1972.11457930
Hoa, P. X., Xuan, V. N., & Thu, N. T. P. (2023). Nexus of innovation, renewable consumption, FDI, growth and CO2 emissions: The case of Vietnam. Journal of Open Innovation: Technology, Market, and Complexity, 9(3), 100100. https://doi.org/10.1016/j.joitmc.2023.100100
Keleş, S. E. D. A. T., & Bilgen, S. (2012). Renewable energy sources in Turkey for climate change mitigation and energy sustainability. Renewable and Sustainable Energy Reviews, 16(7), 5199-5206. https://doi.org/10.1016/j.rser.2012.05.026
Khan, H., Khan, I., & Binh, T. T. (2020). The heterogeneity of renewable energy consumption, carbon emission and financial development in the globe: a panel quantile regression approach. Energy Reports, 6, 859-867. https://doi.org/10.1016/j.egyr.2020.04.002
Lawal, I. M. (2019). Impact of population growth on Carbon Dioxide (CO2) emission: empirical evidence from Nigeria. Jurnal Perspektif Pembiayaan dan Pembangunan Daerah, 6(6), 701-708. https://doi.org/10.22437/ppd.v6i6.6730
Martínez-Zarzoso, I., Bengochea-Morancho, A., & Morales-Lage, R. (2007). The impact of population on CO 2 emissions: evidence from European countries. Environmental and Resource Economics, 38, 497-512. https://doi.org/10.1007/s10640-007-9096-5
Minh, T. B., Ngoc, T. N., & Van, H. B. (2023). Relationship between carbon emissions, economic growth, renewable energy consumption, foreign direct investment, and urban population in Vietnam. Heliyon, 9(6). https://doi.org/10.1016/j.heliyon.2023.e17544
Moslehpour, M., Aldeehani, T. M., Sibghatullah, A., Duc Tai, T., Hien Phan, T. T., & Quang Ngo, T. (2023). Dynamic association between technological advancement, green finance, energy efficiency and sustainable development: evidence from Vietnam. Economic research-Ekonomska istraživanja, 36(3). https://doi.org/10.1080/1331677X.2023.2190796
Nguyen, X. P., Le, N. D., Pham, V. V., Huynh, T. T., Dong, V. H., & Hoang, A. T. (2021). Mission, challenges, and prospects of renewable energy development in Vietnam. Energy Sources, Part A: Recovery, Utilization, and Environmental Effects, 1-13. https://doi.org/10.1080/15567036.2021.1965264
Pan, C., Abbas, J., Álvarez-Otero, S., Khan, H., & Cai, C. (2022). Interplay between corporate social responsibility and organizational green culture and their role in employees’ responsible behavior towards the environment and society. Journal of Cleaner Production, 366, 132878. https://doi.org/10.1016/j.jclepro.2022.132878
Pesaran M. H., Shin Y., Smith R. J. (2001). Bounds testing approaches to the analysis of level relationships. Journal of Applied Econometrics, 16, 289-326. https://doi.org/10.1002/jae.616
Raihan, A. (2023). An econometric evaluation of the effects of economic growth, energy use, and agricultural value added on carbon dioxide emissions in Vietnam. Asia-Pacific Journal of Regional Science, 7(3), 665-696. https://doi.org/10.1007/s41685-023-00278-7
San, L., & Hung, N. (2023). Asymmetric impact of economic growth, financial development and energy consumption on CO2 emissions in Vietnam. Science & Technology Development Journal: Economics- Law & Management, 6(4), 3526-3541. https://doi.org/https://doi.org/10.32508/stdjelm.v6i4.1152
Shi, A. (2003). The impact of population pressure on global carbon dioxide emissions, 1975–1996: evidence from pooled cross-country data. Ecological economics, 44(1), 29-42. https://doi.org/10.1016/S0921-8009(02)00223-9
Stover, D. (2011, November 22). The myth of renewable energy. Bulletin of the Atomic Scientists, 22.
Sulaiman, C., & Abdul-Rahim, A. S. (2018). Population growth and CO2 emission in Nigeria: a recursive ARDL approach. Sage Open, 8(2), 2158244018765916. https://doi.org/10.1177/2158244018765916
Szetela, B., Majewska, A., Jamroz, P., Djalilov, B., & Salahodjaev, R. (2022). Renewable energy and CO2 emissions in top natural resource rents depending countries: the role of governance. Frontiers in Energy Research, 10, 872941. https://doi.org/10.3389/fenrg.2022.872941
Yu, D., Soh, W., Amin Noordin, B. A., Dato Haji Yahya, M. H., & Latif, B. (2022). The impact of innovation on CO2 emissions: The threshold effect of financial development. Frontiers in Environmental Science, 10, 980267. https://doi.org/10.3389/fenvs.2022.980267
Zhang, H., Li, Y., & Tong, J. (2023). Spatiotemporal differences in and influencing effects of per-capita carbon emissions in China based on population-related factors. Scientific Reports, 13(1), 20141. https://doi.org/10.1038/s41598-023-47209-2
Zupancic, N. (2023). Systematic Literature Review: Inter-Reletedness of Innovation, Resilience and Sustainability-Major, Emerging Themes and Future Research Directions. Circular Economy and Sustainability, 3(3), 1157-1185. https://doi.org/10.1007/s43615-022-00187-5