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Governance, energy utilization and environmental protection: Role of extreme events

Author

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  • Wang, Quan-Jing
  • Sharma, Susan Sunila
  • Ni, Guo-Hua
  • Chang, Chun-Ping

Abstract

According to the theory of environmental governance, we try to uncover the impact of governance quality on environmental protection by employing cross-country level data for 164 countries during the period of 2002–2019 via GMM estimation. The baseline estimation indicates that better governance would benefit for the environmental protection, which is credibility when we conducted robustness tests by changing measurements of governance, environmental performance and setting new sub-samples. In addition, we also query that whether the governance's positive impact on environmental protection varies among different countries, supporting that the industrial structure, economic growth, urbanization, trade openness, digital economy as well as the characteristic of left-wing ideology would weaken the governance's positive impact on environmental protection. Similarly, while there exist extreme weather events such as earthquakes, epidemics, floods, and storms, the governance quality's positive impact on environmental performance would be lower. Finally, better quality of governance can lead to a better environmental performance by improving the energy efficiency and the share of renewable energy.

Suggested Citation

  • Wang, Quan-Jing & Sharma, Susan Sunila & Ni, Guo-Hua & Chang, Chun-Ping, 2024. "Governance, energy utilization and environmental protection: Role of extreme events," Energy Economics, Elsevier, vol. 136(C).
    • Handle: RePEc:eee:eneeco:v:136:y:2024:i:c:s0140988324004730
    DOI: 10.1016/j.eneco.2024.107765
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