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The Impact of Hydropower Energy on the Environmental Kuznets Curve in Malaysia

Author

Listed:
  • Obsatar Sinaga

    (Padjajaran University, Indonesia,)

  • Omar Alaeddin

    (Universiti Kuala Lumpur, Business School, Malaysia,)

  • Noor H. Jabarullah

    (Universiti Kuala Lumpur, Malaysian Institute of Aviation Technology, Malaysia)

Abstract

The present research examines the effect of hydropower energy consumption in testing the Environmental Kuznets Curve in Malaysia by using the annual time series data over the period from 1978 to 2016. The present research applied the advance econometrics to serve the purpose of investigation and therefore used the Auto Regressive Distributed Lag (ARDL) bound testing approach for assessing the presence of long-run relationship between the variables. The results of ARDL bound testing approach confirm the valid long run relationship between hydropower energy consumption and economic growth with carbon dioxide emission in Malaysia. The final outcomes confirm that hydropower energy consumption and square of economic growth have significant and negative impact on carbon dioxide emission whereas, the economic growth have a significant and positive impact on carbon dioxide emission. Furthermore, results also confirm the existence of inverted U-Shape curve in Malaysia. The results provide a solid evidence for the policymakers to focus on hydropower energy consumption while formulating the policy for the reduction of environmental degradation in Malaysia.

Suggested Citation

  • Obsatar Sinaga & Omar Alaeddin & Noor H. Jabarullah, 2019. "The Impact of Hydropower Energy on the Environmental Kuznets Curve in Malaysia," International Journal of Energy Economics and Policy, Econjournals, vol. 9(1), pages 308-315.
    • Handle: RePEc:eco:journ2:2019-01-39
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    References listed on IDEAS

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    Cited by:

    1. Arunava Bandyopadhyay & Soumen Rej & Kashif Raza Abbasi & Ashar Awan, 2023. "Nexus between tourism, hydropower, and CO2 emissions in India: fresh insights from ARDL and cumulative fourier frequency domain causality," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 25(10), pages 10903-10927, October.
    2. Obsatar Sinaga & Mohd Haizam Mohd Saudi & Djoko Roespinoedji & Mohd Shahril Ahmad Razimi, 2019. "The Dynamic Relationship between Natural Gas and Economic Growth: Evidence from Indonesia," International Journal of Energy Economics and Policy, Econjournals, vol. 9(3), pages 388-394.
    3. Bilgili, Faik & Lorente, Daniel Balsalobre & Kuşkaya, Sevda & Ünlü, Fatma & Gençoğlu, Pelin & Rosha, Pali, 2021. "The role of hydropower energy in the level of CO2 emissions: An application of continuous wavelet transform," Renewable Energy, Elsevier, vol. 178(C), pages 283-294.
    4. Henrique Oliveira & Víctor Moutinho, 2021. "Renewable Energy, Economic Growth and Economic Development Nexus: A Bibliometric Analysis," Energies, MDPI, vol. 14(15), pages 1-28, July.
    5. Haider Mahmood & Muhammad Shahid Hassan & Soumen Rej & Maham Furqan, 2023. "The Environmental Kuznets Curve and Renewable Energy Consumption: A Review," International Journal of Energy Economics and Policy, Econjournals, vol. 13(3), pages 279-291, May.
    6. Atif Jahanger & Yang Yu & Ashar Awan & Muhammad Zubair Chishti & Magdalena Radulescu & Daniel Balsalobre-Lorente, 2022. "The Impact of Hydropower Energy in Malaysia Under the EKC Hypothesis: Evidence From Quantile ARDL Approach," SAGE Open, , vol. 12(3), pages 21582440221, July.
    7. Nurulhuda Seriram & Muhamad Rias K. V. Zainuddin & Hakimah Nur Ahmad Hamidi & Amirul Hamza Abdullah, 2024. "Impacts of Renewable Energy Transitions on the Economic Growth in Malaysia: A Dynamic ARDL Simulations," International Journal of Energy Economics and Policy, Econjournals, vol. 14(5), pages 251-258, September.

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    More about this item

    Keywords

    Hydropower; green energy; renewable energy; sustainable development.;
    All these keywords.

    JEL classification:

    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • Q20 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - General
    • Q23 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Forestry

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