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Exploring the Relationship Between CO2 Emissions and Fuel Consumption in Road Transport: Empirical Evidence from Chad

Author

Listed:
  • Michel Boukar

    (Transports and Applied Logistics Laboratory, University Institute of Technology, University of Douala, PO Box 8698 Douala, Cameroon)

  • Flavian Emmanuel Sapnken

    (Transports and Applied Logistics Laboratory, University Institute of Technology, University of Douala, PO Box 8698 Douala, Cameroon; & Laboratory of Technologies and Applied Science, PO Box 8698, IUT Douala, Douala, Cameroon; & Energy Insight-Tomorrow Today, PO Box 2043 Douala, Cameroon)

  • Benjamin Diboma

    (Transports and Applied Logistics Laboratory, University Institute of Technology, University of Douala, PO Box 8698 Douala, Cameroon; & Laboratory of Technologies and Applied Science, PO Box 8698, IUT Douala, Douala, Cameroon)

  • Marcel Rodrigue Ewodo-Amougou

    (Laboratory of Technologies and Applied Science, PO Box 8698, IUT Douala, Douala, Cameroon)

  • Jean Marie Stevy Sama

    (Laboratory of Technologies and Applied Science, PO Box 8698, IUT Douala, Douala, Cameroon)

  • Jean Gaston Tamba

    (Transports and Applied Logistics Laboratory, University Institute of Technology, University of Douala, PO Box 8698 Douala, Cameroon; & Laboratory of Technologies and Applied Science, PO Box 8698, IUT Douala, Douala, Cameroon; & Energy Insight-Tomorrow Today, PO Box 2043 Douala, Cameroon)

Abstract

Over the period 2008-2019, this study examines the linear impact of petroleum product (PP) consumption in Chad, PP prices, the vehicle fleet and urbanisation on CO2 emissions on the one hand, and on the other, it determines the causal links that exist between the various variables studied. This study opts for the augmented Dickey-Fuller and Phillips-Perron tests to verify the stationarity of the variables. The ARDL model is then estimated and diagnostic tests are performed to confirm the validity of the model. To confirm the existence of long-term relationships, the bounds test was applied. Finally, the Toda-Yamamoto causality test was used to capture the influences present between the series under study. The main results show that, in the long term, a 1% increase in gasoline consumption would lead to a 1.03% increase in CO2 emissions and the linear impact of diesel consumption is positive and insignificant on CO2 emissions. In the short term, gasoline and diesel consumption have a positive and insignificant impact on CO2 emissions. In terms of causality, there is a unidirectional causality from gasoline consumption to CO2 emissions and a bidirectional causality between CO2 emissions and diesel consumption. This study is the first to simultaneously link CO2 emissions, PP consumption, PP prices, the vehicle fleet and urbanisation in general, and particularly in the case of Chad. It therefore adds to the literature on the simultaneous relationship between CO2 emissions, PP consumption, the car fleet and urbanisation in a global and restricted context. This study could guide Chadian oil pollution management decision-makers in adopting policies related to the effects of PP consumption in the road transport sector.

Suggested Citation

  • Michel Boukar & Flavian Emmanuel Sapnken & Benjamin Diboma & Marcel Rodrigue Ewodo-Amougou & Jean Marie Stevy Sama & Jean Gaston Tamba, 2024. "Exploring the Relationship Between CO2 Emissions and Fuel Consumption in Road Transport: Empirical Evidence from Chad," International Journal of Energy Economics and Policy, Econjournals, vol. 14(2), pages 206-217, March.
    • Handle: RePEc:eco:journ2:2024-02-20
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    Cited by:

    1. Takyi Kwabena Nsiah & Martin Mikeskac & Beata Govurova, 2024. "On the Way to Net Zero Emissions: Can Environmental Tax be the Game Changer? The Vise Grad Group Evidence," International Journal of Energy Economics and Policy, Econjournals, vol. 14(5), pages 311-320, September.

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    More about this item

    Keywords

    CO2 Emissions; Petroleum Product Consumption; Road Sector; ARDL; Toda-Yamamoto; Chad;
    All these keywords.

    JEL classification:

    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • O38 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Government Policy
    • P28 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Natural Resources; Environment
    • Q42 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Alternative Energy Sources

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