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Modelling Non-Renewable Energy in Mauritius: In Quest for Sustainable Policies towards a Greener Economy

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  • Indranarain Ramlall

    (Department of Economics and Statistics, University of Mauritius, R duit,Mauritius.)

Abstract

This paper sheds light on the interaction between energy consumption and energy production in an upper-income developing country. Results show that Industrial consumption of energy in Mauritius is driven mainly by Fuel source while Commercial use is accommodated by a mixture of Coal and Fuel sources. Bagasse and Hydro energy generations undermine the use of Coal and Fuel, all demonstrating an inherent greening phenomenon embedded in the energy process. However, their size effects are low. Findings further confirm sustainability in energy generation and absorption based on a slightly above one long-term elasticity coefficient between energy production and consumption. Overall, results suggest that Mauritius has to implement vigorous measures in view of greening its energy processes. Policy wise, this could signify the urgent need of both Commercial and Industrial usage taxes to stimulate a greener economy.

Suggested Citation

  • Indranarain Ramlall, 2012. "Modelling Non-Renewable Energy in Mauritius: In Quest for Sustainable Policies towards a Greener Economy," International Journal of Energy Economics and Policy, Econjournals, vol. 2(3), pages 123-133.
    • Handle: RePEc:eco:journ2:2012-03-5
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    References listed on IDEAS

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    Cited by:

    1. Trotter, Philipp A. & McManus, Marcelle C. & Maconachie, Roy, 2017. "Electricity planning and implementation in sub-Saharan Africa: A systematic review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 74(C), pages 1189-1209.

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    More about this item

    Keywords

    VAR; Mauritius; Sustainable/Green Policies; Variance Decomposition; Impulse Response; Energy Policies;
    All these keywords.

    JEL classification:

    • Q4 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy

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