The nexus among natural resources, globalization, and energy consumption for environmental sustainability in the case of Ethiopia
摘要
The main objective of this study is to examine the nexus among natural resource rents, globalization, and renewable energy consumption on the ecological footprint, along with other variables of interest using annual data from 1990 to 2018. Data were extracted from secondary databases, the Global Footprint Network (GFN), WDI, and the KOF index. Autoregressive analysis employs distinct economic, social, and political globalization dimensions, surpassing aggregate indices. Distributed Lag (ARDL) bounds methodology were employed to assess co-integration, alongside conducting a co-integration examination for the analytical framework. Toda-Yamamoto Granger causality tests among the variable of interest. Findings derived from the co-integration analysis show that the variables exhibit co-integration throughout the timeframe under consideration. The biomass-dominant renewable energy in Ethiopia unexpectedly expands ecological footprint. Causality proceeds from natural resource rents, renewable energy consumption, and population growth to the ecological footprint, accompanied by feedback mechanisms, whereas industrialization contributes to the ecological footprint without responding feedback. The Auto-Regressive Distributive Lags (ARDL) results indicate that a 1% increase in natural resource rents increases EF by 0.10%, while a 1% increase in renewable electricity generation increases EF by 0.002%. A 1% increment in economic growth increases the ecological footprint (environmental degradation) by 0.01% in Ethiopia. This is imperative that the government formulates a resource utilization strategy and policy through innovative ways, particularly concerning non-renewable resources. The implementation should consider of energy-efficient technologies and practices in the production and utilization of renewable energy sources to render both the generation and consumption of renewable energy more ecological friendly.