IDEAS home Printed from https://ideas.repec.org/a/eee/appene/v336y2023ics030626192300168x.html
   My bibliography  Save this article

Heterogeneous impact of industrialization, foreign direct investments, and technological innovation on carbon emissions intensity: Evidence from Kingdom of Saudi Arabia

Author

Listed:
  • Ali, Uzair
  • Guo, Qingbin
  • Nurgazina, Zhanar
  • Sharif, Arshian
  • Kartal, Mustafa Tevfik
  • Kılıç Depren, Serpil
  • Khan, Aftab

Abstract

In recent years, policy experts have engaged in a spirited discussion over the relationship between environmental quality and energy use. This association is critical for the mitigation of climate change and achieving Sustainable Development Goals (SDGs). Furthermore, current studies have not given enough consideration to this relation, notably in the case of the Kingdom of Saudi Arabia (KSA). Therefore, this study examines the KSA case, focuses on the connection of industrialization, foreign direct investments, and technological innovation with carbon emissions intensity (CEI) by also considering urbanization and energy use, examines the period between 1991 and 2020, and uses quantile-on-quantile (QQ) regressionand quantile regression (QR) approaches for empirical examination. The empirical outcomes revealthat (i) urbanization and energy usehave an increasing impact on CEIin all quantiles; (ii) industrialization, foreign direct investments, and technological innovation have a generally decreasing impact on the CEI in most quantiles; (iii) power of the factors’ impact on the CEI change according to quantiles; (iv) the robustness the findings is also validated. Hence, theresults highlight the importance of quantile-based analysis and suggest that KSA authorities need to embrace environment-friendly policies while managing environmental pollution to develop industrialization level and technological innovation as well as increase foreign direct investments.

Suggested Citation

  • Ali, Uzair & Guo, Qingbin & Nurgazina, Zhanar & Sharif, Arshian & Kartal, Mustafa Tevfik & Kılıç Depren, Serpil & Khan, Aftab, 2023. "Heterogeneous impact of industrialization, foreign direct investments, and technological innovation on carbon emissions intensity: Evidence from Kingdom of Saudi Arabia," Applied Energy, Elsevier, vol. 336(C).
    • Handle: RePEc:eee:appene:v:336:y:2023:i:c:s030626192300168x
    DOI: 10.1016/j.apenergy.2023.120804
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S030626192300168X
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.apenergy.2023.120804?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Chang, Ching-Chih, 2010. "A multivariate causality test of carbon dioxide emissions, energy consumption and economic growth in China," Applied Energy, Elsevier, vol. 87(11), pages 3533-3537, November.
    2. Lin, Chiun-Sin & Liou, Fen-May & Huang, Chih-Pin, 2011. "Grey forecasting model for CO2 emissions: A Taiwan study," Applied Energy, Elsevier, vol. 88(11), pages 3816-3820.
    3. Ben Jebli, Mehdi & Farhani, Sahbi & Guesmi, Khaled, 2020. "Renewable energy, CO2 emissions and value added: Empirical evidence from countries with different income levels," Structural Change and Economic Dynamics, Elsevier, vol. 53(C), pages 402-410.
    4. Wang, Shaojian & Shi, Chenyi & Fang, Chuanglin & Feng, Kuishuang, 2019. "Examining the spatial variations of determinants of energy-related CO2 emissions in China at the city level using Geographically Weighted Regression Model," Applied Energy, Elsevier, vol. 235(C), pages 95-105.
    5. Lin, Boqiang & Li, Zheng, 2022. "Towards world's low carbon development: The role of clean energy," Applied Energy, Elsevier, vol. 307(C).
    6. Yousef Alyousef & Abdulhadi Varnham, 2010. "Saudi Arabia's National Energy Efficiency Programme: description, achievements and way forward," International Journal of Low-Carbon Technologies, Oxford University Press, vol. 5(4), pages 291-297, April.
    7. Sim, Nicholas & Zhou, Hongtao, 2015. "Oil prices, US stock return, and the dependence between their quantiles," Journal of Banking & Finance, Elsevier, vol. 55(C), pages 1-8.
    8. Fakhri J. Hasanov & Zeeshan Khan & Muzzammil Hussain & Muhammad Tufail, 2021. "Theoretical Framework for the Carbon Emissions Effects of Technological Progress and Renewable Energy Consumption," Sustainable Development, John Wiley & Sons, Ltd., vol. 29(5), pages 810-822, September.
    9. Sharif, Arshian & Mishra, Shekhar & Sinha, Avik & Jiao, Zhilun & Shahbaz, Muhammad & Afshan, Sahar, 2020. "The renewable energy consumption-environmental degradation nexus in Top-10 polluted countries: Fresh insights from quantile-on-quantile regression approach," Renewable Energy, Elsevier, vol. 150(C), pages 670-690.
    10. Maxwell Kongkuah & Hongxing Yao & Veli Yilanci, 2022. "The relationship between energy consumption, economic growth, and CO2 emissions in China: the role of urbanisation and international trade," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 24(4), pages 4684-4708, April.
    11. Sun, Yunpeng & Li, Haoning & Andlib, Zubaria & Genie, Mesfin G., 2022. "How do renewable energy and urbanization cause carbon emissions? Evidence from advanced panel estimation techniques," Renewable Energy, Elsevier, vol. 185(C), pages 996-1005.
    12. Danish I. Godil & Zhang Yu & Arshian Sharif & Rimsha Usman & Syed Abdul Rehman Khan, 2021. "Investigate the role of technology innovation and renewable energy in reducing transport sector CO2 emission in China: A path toward sustainable development," Sustainable Development, John Wiley & Sons, Ltd., vol. 29(4), pages 694-707, July.
    13. Hlalefang Khobai & Katlego Sithole, 2022. "The Relationship between Economic Growth and Carbon Emissions in South Africa," International Journal of Energy Economics and Policy, Econjournals, vol. 12(2), pages 516-525, March.
    14. Rida Waheed, 2022. "The Significance of Energy Factors, Green Economic Indicators, Blue Economic Aspects towards Carbon Intensity: A Study of Saudi Vision 2030," Sustainability, MDPI, vol. 14(11), pages 1-22, June.
    15. Bhattacharya, Mita & Paramati, Sudharshan Reddy & Ozturk, Ilhan & Bhattacharya, Sankar, 2016. "The effect of renewable energy consumption on economic growth: Evidence from top 38 countries," Applied Energy, Elsevier, vol. 162(C), pages 733-741.
    16. Hossain, Md. Emran & Islam, Md. Sayemul & Bandyopadhyay, Arunava & Awan, Ashar & Hossain, Mohammad Razib & Rej, Soumen, 2022. "Mexico at the crossroads of natural resource dependence and COP26 pledge: Does technological innovation help?," Resources Policy, Elsevier, vol. 77(C).
    17. Urszula Mentel & Elżbieta Wolanin & Mansur Eshov & Raufhon Salahodjaev, 2022. "Industrialization and CO 2 Emissions in Sub-Saharan Africa: The Mitigating Role of Renewable Electricity," Energies, MDPI, vol. 15(3), pages 1-12, January.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Xuewei Zhang & Yi Zeng & Wanxu Chen & Sipei Pan & Fenglian Du & Gang Zong, 2024. "Spatio-Temporal Diversification of per Capita Carbon Emissions in China: 2000–2020," Land, MDPI, vol. 13(9), pages 1-24, September.
    2. Zhou, Yasong & Li, Yuqing & Chen, Chen, 2024. "The key role of digital governance, natural resource depletion, and industrialization in social well-being: A case study of China," Resources Policy, Elsevier, vol. 93(C).
    3. Destek, Mehmet Akif & Hossain, Mohammad Razib & Khan, Zeeshan, 2023. "Premature Deindustrialization and Environmental Degradation," MPRA Paper 117737, University Library of Munich, Germany.
    4. Zhang, Lixia & Sun, Huaping & Pu, Tianlong & Sun, Hui & Chen, Zhenling, 2024. "Do green finance and hi-tech innovation facilitate sustainable development? Evidence from the Yangtze River Economic Belt," Economic Analysis and Policy, Elsevier, vol. 81(C), pages 1430-1442.
    5. Dong, Xiaojun & Yu, Xiaowen & Shi, Tao & Qiao, Dan, 2024. "Nexus between carbon emissions and local debt risk: Evidence from China's prefecture-level cities," International Review of Financial Analysis, Elsevier, vol. 93(C).
    6. Huang, Anzhong & Guo, Meiwen & Dai, Luote & Mirza, Aboubakar & Ali, Sajid, 2024. "Budgeting for a greener future: Asymmetric nexus between nuclear energy technology budgets and CO2 emissions," Technological Forecasting and Social Change, Elsevier, vol. 202(C).
    7. Wang, Qiang & Cheng, Xinchen & Pata, Ugur Korkut & Li, Rongrong & Kartal, Mustafa Tevfik, 2024. "Intermediating effect of mineral resources on renewable energy amidst globalization, financial development, and technological progress: Evidence from globe based on income-groups," Resources Policy, Elsevier, vol. 90(C).
    8. Ke Huang & Teng Wang & Jiachao Peng & Lijun Sun, 2023. "The Impact of Export Sophistication of the New Energy Industry on Carbon Emissions: An Empirical Study," Energies, MDPI, vol. 16(9), pages 1-15, April.
    9. Kartal, Mustafa Tevfik & Kılıç Depren, Serpil & Ayhan, Fatih & Ulussever, Talat, 2024. "Quantile-based heterogeneous effects of nuclear energy and political stability on the environment in highly nuclear energy-consuming and politically stable countries," Applied Energy, Elsevier, vol. 365(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Gao, Chunjiao & Chen, Hongxi, 2023. "Electricity from renewable energy resources: Sustainable energy transition and emissions for developed economies," Utilities Policy, Elsevier, vol. 82(C).
    2. Dogan, Eyup & Altinoz, Buket & Madaleno, Mara & Taskin, Dilvin, 2020. "The impact of renewable energy consumption to economic growth: A replication and extension of Inglesi-Lotz (2016)," Energy Economics, Elsevier, vol. 90(C).
    3. Destek, Mehmet Akif & Hossain, Mohammad Razib & Khan, Zeeshan, 2023. "Premature Deindustrialization and Environmental Degradation," MPRA Paper 117737, University Library of Munich, Germany.
    4. Zhen Zeng & Xianzhong Mu, 2024. "Can the Development of Renewable Energy Improve Total-Factor Carbon Emissions Efficiency? Evidence from 30 Provinces in China," Advances in Management and Applied Economics, SCIENPRESS Ltd, vol. 14(6), pages 1-16.
    5. Daryoosh Borzuei & Seyed Farhan Moosavian & Abolfazl Ahmadi, 2022. "Investigating the dependence of energy prices and economic growth rates with emphasis on the development of renewable energy for sustainable development in Iran," Sustainable Development, John Wiley & Sons, Ltd., vol. 30(5), pages 848-854, October.
    6. Yanyan Jiang & Mohammad Razib Hossain & Zeeshan Khan & Junying Chen & Ramez Abubakr Badeeb, 2024. "Revisiting Research and Development Expenditures and Trade Adjusted Emissions: Green Innovation and Renewable Energy R&D Role for Developed Countries," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 15(1), pages 2156-2191, March.
    7. Ostadzad, Ali Hossein, 2022. "Innovation and carbon emissions: Fixed-effects panel threshold model estimation for renewable energy," Renewable Energy, Elsevier, vol. 198(C), pages 602-617.
    8. Marques, António Cardoso & Fuinhas, José Alberto & Neves, Sónia Almeida, 2018. "Ordinary and Special Regimes of electricity generation in Spain: How they interact with economic activity," Renewable and Sustainable Energy Reviews, Elsevier, vol. 81(P1), pages 1226-1240.
    9. Chun Chih Chen, 2021. "The path to a 2025 nuclear-free Taiwan: An analysis of dynamic competition among emissions, energy, and economy," Energy & Environment, , vol. 32(4), pages 668-689, June.
    10. Muhammad Asif Qureshi & Jawaid Ahmed Qureshi & Ammar Ahmed & Shahzad Qaiser & Ramsha Ali & Arshian Sharif, 2020. "The Dynamic Relationship Between Technology Innovation and Human Development in Technologically Advanced Countries: Fresh Insights from Quantiles-on-Quantile Approach," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 152(2), pages 555-580, November.
    11. Alsaleh, Mohd & Abdul-Rahim, A.S., 2022. "The pathway toward pollution mitigation in EU28 region: Does hydropower growth make a difference?," Renewable Energy, Elsevier, vol. 185(C), pages 291-301.
    12. Wang, Kai-Hua & Su, Chi-Wei & Xiao, Yidong & Liu, Lu, 2022. "Is the oil price a barometer of China's automobile market? From a wavelet-based quantile-on-quantile regression perspective," Energy, Elsevier, vol. 240(C).
    13. Bashir, Muhammad Adnan & Dengfeng, Zhao & Filipiak, Beata Zofia & Bilan, Yuriy & Vasa, László, 2023. "Role of economic complexity and technological innovation for ecological footprint in newly industrialized countries: Does geothermal energy consumption matter?," Renewable Energy, Elsevier, vol. 217(C).
    14. Chen, Fu & Wang, Liyun & Gu, Qiaojing & Wang, Mingyue & Ding, Xuanwen, 2022. "Nexus between natural resources, financial development, green innovation and environmental sustainability in China: Fresh insight from novel quantile ARDL," Resources Policy, Elsevier, vol. 79(C).
    15. Işık, Cem & Bulut, Umit & Ongan, Serdar & Islam, Hasibul & Irfan, Muhammad, 2024. "Exploring how economic growth, renewable energy, internet usage, and mineral rents influence CO2 emissions: A panel quantile regression analysis for 27 OECD countries," Resources Policy, Elsevier, vol. 92(C).
    16. Zhihui Lv & Amanda M. Y. Chu & Michael McAleer & Wing-Keung Wong, 2019. "Modelling Economic Growth, Carbon Emissions, and Fossil Fuel Consumption in China: Cointegration and Multivariate Causality," IJERPH, MDPI, vol. 16(21), pages 1-35, October.
    17. Oluwatoyin Abidemi Somoye & Mehdi Seraj & Huseyin Ozdeser & Muhammad Mar’I, 2023. "Quantile relationship between financial development, income, price, CO2 emissions and renewable energy consumption: evidence from Nigeria," Letters in Spatial and Resource Sciences, Springer, vol. 16(1), pages 1-25, December.
    18. Fang, Zheng & Chen, Yang, 2017. "Human capital, energy, and economic development – Evidence from Chinese provincial data," RIEI Working Papers 2017-03, Xi'an Jiaotong-Liverpool University, Research Institute for Economic Integration.
    19. Azra & Shahid Munir & Khurram Abbas & Muhammad Hasnain Khalid & Ihtisham Ul Haq, 2023. "Empirical Investigation of the Impact of Energy intensity and Financial Institutions Efficiency on Environmental Degradation in Pakistan," International Journal of Energy Economics and Policy, Econjournals, vol. 13(1), pages 413-420, January.
    20. Lan Khanh Chu, 2023. "Environmentally related technologies and environmental regulations in promoting renewable energy: evidence from OECD countries," Journal of Environmental Studies and Sciences, Springer;Association of Environmental Studies and Sciences, vol. 13(1), pages 177-197, March.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:appene:v:336:y:2023:i:c:s030626192300168x. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/405891/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.