The environmental study on causality relationship among energy consumption, CO2 emissions, the value added of development sectors and household final consumption expenditure in Indonesia
The long-run estimates indicate that there is a statistically significant positive association between electricity consumption and emissions and a non-linear relationship between emissions and real output, consistent with the Environmental Kuznets Curve. The present study investigate the causal rela...
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| Format: | Article |
| Language: | English |
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Foundation for Environmental Protection and Research (FEPR)
2018
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| Online Access: | https://repo.uum.edu.my/id/eprint/25759/1/E%2027%20106%202018%20%20837-852.pdf |
| _version_ | 1803628999498268672 |
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| author | Nugraha, Andhyka Tyaz Osman, Nor Hasni |
| author_facet | Nugraha, Andhyka Tyaz Osman, Nor Hasni |
| author_sort | Nugraha, Andhyka Tyaz |
| collection | UUM |
| description | The long-run estimates indicate that there is a statistically significant positive association between electricity consumption and emissions and a non-linear relationship between emissions and real output, consistent with the Environmental Kuznets Curve. The present study investigate the causal relationship between CO2 emissions, energy consumption, the value added of three development sectors and household final consumptionexpenditure in Indonesia using annual time series data from 1971 to 2014. We applied Autoregressive Distributed Lag (ARDL) method and granger causality test in order to explore the direction
of relationships among the variables. Our study revealed that the growth of energy consumption and an increases the value added of industry sector and services sector will causes a rise of CO2 emissions, while a rise of the value added of agriculture sector potentially reduced CO2 emission and increases energy consumption. The growth of value added on three development sectors, respectively, have a mutual
relationship with household final consumption expenditure and a unidirectional relationship to energy consumption and CO2 emission in Indonesia. Furthermore, we also discovered that the value added of services sector has a mutual relationship with the value added of industry sector and agriculture sector, while the growth of value added on industry sector has a negative effect to the value added of agriculture sector. Based on these results, we concluded that the energy conservation policies can be applied to all energy user groups in Indonesia. In addition we also suggest that policy makers can implement economic policies that can encourage increased the value added of agriculture sector in Indonesia. |
| first_indexed | 2024-07-04T06:30:53Z |
| format | Article |
| id | uum-25759 |
| institution | Universiti Utara Malaysia |
| language | English |
| last_indexed | 2024-07-04T06:30:53Z |
| publishDate | 2018 |
| publisher | Foundation for Environmental Protection and Research (FEPR) |
| record_format | dspace |
| spelling | uum-257592019-03-13T06:58:45Z https://repo.uum.edu.my/id/eprint/25759/ The environmental study on causality relationship among energy consumption, CO2 emissions, the value added of development sectors and household final consumption expenditure in Indonesia Nugraha, Andhyka Tyaz Osman, Nor Hasni HD28 Management. Industrial Management The long-run estimates indicate that there is a statistically significant positive association between electricity consumption and emissions and a non-linear relationship between emissions and real output, consistent with the Environmental Kuznets Curve. The present study investigate the causal relationship between CO2 emissions, energy consumption, the value added of three development sectors and household final consumptionexpenditure in Indonesia using annual time series data from 1971 to 2014. We applied Autoregressive Distributed Lag (ARDL) method and granger causality test in order to explore the direction of relationships among the variables. Our study revealed that the growth of energy consumption and an increases the value added of industry sector and services sector will causes a rise of CO2 emissions, while a rise of the value added of agriculture sector potentially reduced CO2 emission and increases energy consumption. The growth of value added on three development sectors, respectively, have a mutual relationship with household final consumption expenditure and a unidirectional relationship to energy consumption and CO2 emission in Indonesia. Furthermore, we also discovered that the value added of services sector has a mutual relationship with the value added of industry sector and agriculture sector, while the growth of value added on industry sector has a negative effect to the value added of agriculture sector. Based on these results, we concluded that the energy conservation policies can be applied to all energy user groups in Indonesia. In addition we also suggest that policy makers can implement economic policies that can encourage increased the value added of agriculture sector in Indonesia. Foundation for Environmental Protection and Research (FEPR) 2018 Article PeerReviewed application/pdf en https://repo.uum.edu.my/id/eprint/25759/1/E%2027%20106%202018%20%20837-852.pdf Nugraha, Andhyka Tyaz and Osman, Nor Hasni (2018) The environmental study on causality relationship among energy consumption, CO2 emissions, the value added of development sectors and household final consumption expenditure in Indonesia. Ekoloji, 27 (106). pp. 837-852. ISSN 1300-1361 http://www.ekolojidergisi.com/article/the-environmental-study-on-causality-relationship-among-energy-consumption-co2-emissions-the-value-5513 |
| spellingShingle | HD28 Management. Industrial Management Nugraha, Andhyka Tyaz Osman, Nor Hasni The environmental study on causality relationship among energy consumption, CO2 emissions, the value added of development sectors and household final consumption expenditure in Indonesia |
| title | The environmental study on causality relationship
among energy consumption, CO2 emissions, the value
added of development sectors and household final
consumption expenditure in Indonesia |
| title_full | The environmental study on causality relationship
among energy consumption, CO2 emissions, the value
added of development sectors and household final
consumption expenditure in Indonesia |
| title_fullStr | The environmental study on causality relationship
among energy consumption, CO2 emissions, the value
added of development sectors and household final
consumption expenditure in Indonesia |
| title_full_unstemmed | The environmental study on causality relationship
among energy consumption, CO2 emissions, the value
added of development sectors and household final
consumption expenditure in Indonesia |
| title_short | The environmental study on causality relationship
among energy consumption, CO2 emissions, the value
added of development sectors and household final
consumption expenditure in Indonesia |
| title_sort | environmental study on causality relationship among energy consumption co2 emissions the value added of development sectors and household final consumption expenditure in indonesia |
| topic | HD28 Management. Industrial Management |
| url | https://repo.uum.edu.my/id/eprint/25759/1/E%2027%20106%202018%20%20837-852.pdf |
| work_keys_str_mv | AT nugrahaandhykatyaz theenvironmentalstudyoncausalityrelationshipamongenergyconsumptionco2emissionsthevalueaddedofdevelopmentsectorsandhouseholdfinalconsumptionexpenditureinindonesia AT osmannorhasni theenvironmentalstudyoncausalityrelationshipamongenergyconsumptionco2emissionsthevalueaddedofdevelopmentsectorsandhouseholdfinalconsumptionexpenditureinindonesia AT nugrahaandhykatyaz environmentalstudyoncausalityrelationshipamongenergyconsumptionco2emissionsthevalueaddedofdevelopmentsectorsandhouseholdfinalconsumptionexpenditureinindonesia AT osmannorhasni environmentalstudyoncausalityrelationshipamongenergyconsumptionco2emissionsthevalueaddedofdevelopmentsectorsandhouseholdfinalconsumptionexpenditureinindonesia |