The relationship between urbanization, energy use and carbon emissions: evidence from a panel of Association of Southeast Asian Nations (ASEAN) countries

This study uses annual data to detect the nexus between urbanization, energy use, and carbon emissions in a panel of Association of Southeast Asian Nations (ASEAN) countries spanning the period 1980–2009. The study contributes to the increasing empirical literature by investigating the effects of ur...

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Published inJournal of cleaner production Vol. 112; pp. 1368 - 1374
Main Authors Wang, Yuan, Chen, Lili, Kubota, Jumpei
Format Journal Article
LanguageEnglish
Published Elsevier Ltd 20.01.2016
Subjects
Online AccessGet full text
ISSN0959-6526
1879-1786
DOI10.1016/j.jclepro.2015.06.041

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Abstract This study uses annual data to detect the nexus between urbanization, energy use, and carbon emissions in a panel of Association of Southeast Asian Nations (ASEAN) countries spanning the period 1980–2009. The study contributes to the increasing empirical literature by investigating the effects of urbanization and detecting causal links between the variables. Results from the Pedroni panel cointegration tests show evidence for the existence of a long-term equilibrium relationship between urbanization, energy use, and carbon emissions for the ASEAN countries. Using the panel fully modified ordinary least squares technique, the effect of urbanization on carbon emissions is further revealed; i.e., a 1% rise in urban population results in a 0.20% increase in carbon emissions. Unilateral short-run causal relationships from urbanization to energy use and from urbanization to carbon emissions have been found by Granger causality tests. Also, the results clearly indicate that in the long term, urbanization together with energy use Granger causes carbon emissions. The paper concludes with main findings and provides recommendations toward rational planning of urban development and energy-efficiency improvement strategies for the ASEAN countries. •Panel causality between urbanization, energy and CO2 is performed for the ASEAN.•Short- and long-run causalities from urbanization to carbon emissions are present.•Urbanization together with energy use induces the increase of carbon emissions.
AbstractList This study uses annual data to detect the nexus between urbanization, energy use, and carbon emissions in a panel of Association of Southeast Asian Nations (ASEAN) countries spanning the period 1980–2009. The study contributes to the increasing empirical literature by investigating the effects of urbanization and detecting causal links between the variables. Results from the Pedroni panel cointegration tests show evidence for the existence of a long-term equilibrium relationship between urbanization, energy use, and carbon emissions for the ASEAN countries. Using the panel fully modified ordinary least squares technique, the effect of urbanization on carbon emissions is further revealed; i.e., a 1% rise in urban population results in a 0.20% increase in carbon emissions. Unilateral short-run causal relationships from urbanization to energy use and from urbanization to carbon emissions have been found by Granger causality tests. Also, the results clearly indicate that in the long term, urbanization together with energy use Granger causes carbon emissions. The paper concludes with main findings and provides recommendations toward rational planning of urban development and energy-efficiency improvement strategies for the ASEAN countries. •Panel causality between urbanization, energy and CO2 is performed for the ASEAN.•Short- and long-run causalities from urbanization to carbon emissions are present.•Urbanization together with energy use induces the increase of carbon emissions.
This study uses annual data to detect the nexus between urbanization, energy use, and carbon emissions in a panel of Association of Southeast Asian Nations (ASEAN) countries spanning the period 1980–2009. The study contributes to the increasing empirical literature by investigating the effects of urbanization and detecting causal links between the variables. Results from the Pedroni panel cointegration tests show evidence for the existence of a long-term equilibrium relationship between urbanization, energy use, and carbon emissions for the ASEAN countries. Using the panel fully modified ordinary least squares technique, the effect of urbanization on carbon emissions is further revealed; i.e., a 1% rise in urban population results in a 0.20% increase in carbon emissions. Unilateral short-run causal relationships from urbanization to energy use and from urbanization to carbon emissions have been found by Granger causality tests. Also, the results clearly indicate that in the long term, urbanization together with energy use Granger causes carbon emissions. The paper concludes with main findings and provides recommendations toward rational planning of urban development and energy-efficiency improvement strategies for the ASEAN countries.
Author Wang, Yuan
Chen, Lili
Kubota, Jumpei
Author_xml – sequence: 1
  givenname: Yuan
  surname: Wang
  fullname: Wang, Yuan
  email: ywang@nju.edu.cn
  organization: State Key Laboratory of Pollution Control and Resources Reuse, School of the Environment, Nanjing University, Nanjing 210023, China
– sequence: 2
  givenname: Lili
  surname: Chen
  fullname: Chen, Lili
  organization: State Key Laboratory of Pollution Control and Resources Reuse, School of the Environment, Nanjing University, Nanjing 210023, China
– sequence: 3
  givenname: Jumpei
  surname: Kubota
  fullname: Kubota, Jumpei
  organization: Research Institute for Humanity and Nature, Kyoto 603-8047, Japan
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Keywords Urbanization
ASEAN countries
Energy use
Carbon emissions
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SubjectTerms ASEAN countries
carbon
Carbon emissions
emissions
energy efficiency
Energy use
planning
time series analysis
urban population
Urbanization
Title The relationship between urbanization, energy use and carbon emissions: evidence from a panel of Association of Southeast Asian Nations (ASEAN) countries
URI https://dx.doi.org/10.1016/j.jclepro.2015.06.041
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