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Do ICTs promote the renewable energy consumption? The moderating effects of economic growth and structural transformation in Africa

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  • Fambeu, Ariel Herbert
  • Yomi, Patricia Tchawa

Abstract

In light of the challenges posed by depleting energy resources and environmental degradation, the effective use of renewable energy is becoming ever more crucial. This study mainly investigates the role of ICT as a driver of renewable energy consumption in Africa. Furthermore, the study aims to emphasize the moderating effects of economic growth and structural transformation. To achieve this, the study employs the Augmented Mean Group (AMG) estimator on a panel of 45 African countries over the period 2000–2019. The findings show that internet and ICT service export promotes the use of renewable energy consumption, suggesting that the African nations examined have realized improvements in their energy mix as a result of ICT development. The moderating effects reveal that upgrading the energy consumption structure affected by digitalization is more significant in countries with high economic growth and more service-oriented. Our findings lead to a discussion of policy implications in relation to sustainable development goals (SDG).

Suggested Citation

  • Fambeu, Ariel Herbert & Yomi, Patricia Tchawa, 2024. "Do ICTs promote the renewable energy consumption? The moderating effects of economic growth and structural transformation in Africa," International Economics, Elsevier, vol. 180(C).
    • Handle: RePEc:eee:inteco:v:180:y:2024:i:c:s2110701724000866
    DOI: 10.1016/j.inteco.2024.100563
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    Keywords

    ICT; Renewable energy consumption; Economic growth; Structural transformation; Africa;
    All these keywords.

    JEL classification:

    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • O44 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Environment and Growth
    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa
    • Q20 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - General
    • Q42 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Alternative Energy Sources

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