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Renewable energy consumption and unemployment in South Africa

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  • Moyo, Clement
  • Dingela, Siyasanga
  • Kolisi, Nwabisa
  • Khobai, Hlalefang
  • Anyikwa, Izunna

Abstract

The importance of renewable energy consumption has grown to a large extent over the recent years. The benefits of renewable energy consumption ranging from improved environmental quality to higher economic growth are well documented. However, the impact of renewable energy consumption on unemployment has received relatively less attention. This study examines the relationship between renewable energy consumption and unemployment in South Africa over the period 1990-2014. The Autoregressive Distributed Lag (ARDL) model was employed to test the long-run and short-run impacts of renewable energy consumption on unemployment. The results reveal that renewable energy consumption has a negative and significant effect on unemployment in the long-run. However, in the short-run the variables have an insignificant relationship. The study therefore advocates for an increase in the production and consumption of renewable energy in order to boost employment levels.

Suggested Citation

  • Moyo, Clement & Dingela, Siyasanga & Kolisi, Nwabisa & Khobai, Hlalefang & Anyikwa, Izunna, 2017. "Renewable energy consumption and unemployment in South Africa," MPRA Paper 83279, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:83279
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    Cited by:

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    5. Gakuru, Elias & Yang, Shaohua & Namahoro, J.P. & Nie, Peng & Bunje, Madinatou Yeh & Aslam, Naveed, 2024. "Energy-focused green climate policies and trade nexus:Do heterogeneous effects on clean energy poverty matter?," Energy, Elsevier, vol. 294(C).
    6. Hagreaves Kumba & Oludolapo Akanni Olanrewaju, 2024. "“Towards Sustainable Development: Analyzing the Viability and Integration of Renewable Energy Solutions in South Africa”—A Review," Energies, MDPI, vol. 17(6), pages 1-15, March.
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    8. Hlongwane, Nyiko Worship & Daw, Olebogeng David & Sithole, Mixo Sweetness, 2023. "Renewable electricity generation and government expenditure on economic growth of South Africa and Botswana," MPRA Paper 116497, University Library of Munich, Germany, revised 24 Feb 2023.

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    More about this item

    Keywords

    Renewable energy consumption; unemployment; ARDL; South Africa;
    All these keywords.

    JEL classification:

    • C50 - Mathematical and Quantitative Methods - - Econometric Modeling - - - General
    • Q20 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - General

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