Renewable and Non-Renewable Energy Consumption in BRICS: Assessing the Dynamic Linkage between Foreign Capital Inflows and Energy Consumption

Abstract

This study attempt to fill the research gap by figuring out the dynamic effects of foreign capital inflows effect on renewable energy and non-renewable consumption by using the time series non-linear ARDL approach for BRICS from 1991 to 2019. Non-linear ARDL estimates show that positive change in foreign capital inflows has a positive effect on renewable consumption in Brazil, India, and South Africa in long run. Also, the negative change in foreign capital inflows exhibits negatively liked with renewable energy consumption in BRICS economies, except Russia in long run. We find that positive shock in foreign capital inflows tends to increase non-renewable energy consumption in BRICS except India in the long run. Finding suggests that negative change in foreign capital inflows has negative impacts on non-renewable energy consumption in India and Brazil, while the positive effect in only China in the long run.

Do Urbanization, Remittances, and Globalization Matter for Energy Consumption in Belt and Road Countries: Evidence From Renewable and Non-Renewable Energy Consumption

“…In particular, a 10% growth in remittance inflows in the economy will increase energy demand acceleration by 1.619% int. Our study findings are supported by the existing literature, such as Das et al (2021) for Bangladesh, Qin and Ozturk, (2021) for China, and Rahman et al (2021) for the South Asian economy. Remittances' impact on energy consumption in BRI nations is obvious because of excess money flows in the economy, that is, remittance receipts and households have increased their present consumption, and capital accumulation has been accelerated.…”

“…Inflows of remittances in BRI countries revealed positive and statistically significant energy consumption, but in terms of elasticity, remittances augmented clean energy integration more prominently than non-renewable sources. Our study findings are supported by the existing literature works, such as Das et al (2021) for Bangladesh, Qin and Ozturk, (2021) for China, Rahman et al (2021) for the South Asian economy, Akçay and Demirtaş, (2015) for Morocco, and Ari (2022) for MENA economics. Study findings suggest that a household's capacity to expense with migrant remittances boosts purchasing power and simultaneously injects capital-intensive forces with additional energy demand for economic progress.…”

The nexus of financial development, technological innovation, institutional quality, and environmental quality: evidence from OECD economies

“…Khan et al 2019;Yang et al 2020). Earlier studies generally concentrated on investigating and exploring the key determents of CO 2 emission, energy usage, institutional quality, trade openness, FDI, economic growth, technological innovation, and financial development (Xu et al 2018;Shahbaz et al 2020;Zakaria and Bibi 2019;Bayar and Maxim 2020;Godil et al 2020;Neog and Yadava 2020;Öztürk and Le 2020;Zhao and Yang 2020;Erdoğan et al 2020;Qin and Ozturk 2021).…”

Financial inclusion and its influence on renewable energy consumption-environmental performance: the role of ICTs in China

“…Therefore, in the 21 st century, energy security and environmental protection are two significant challenges for the international community, which also have become the central theme of all international forums (Ullah et al, 2020;. Emerging economies depend heavily on the consumption of non-renewable energy sources for economic development; hence, their role is crucial in achieving such targets (Qin & Ozturk, 2021).…”