THE IMPACT OF ENERGY CONSUMPTION ON SUSTAINABLE DEVELOPMENT
Abstract
ABSTRACT
This study investigates the effect of energy consumption on sustainable development in Nigeria from 1990 to 2023, with a specific focus on the relationship between key energy indicators such as energy imports (EM), access to electricity (AE), energy use per capita (EU), renewable energy consumption (REC), and carbon dioxide emissions (CO₂), and sustainable development, as measured by the Human Development Index (HDI). Utilizing an annual time-series dataset covering 34 observations, the study employs the Autoregressive Distributed Lag (ARDL) model to analyze both short-run dynamics and long-run relationships, given the mixed order of integration among the variables. The findings reveal that energy imports and carbon emissions have a statistically significant negative effect on HDI in both the short and long run, while access to electricity exerts a positive and significant influence across both time frames. Energy use was found to be significant only in the short run, whereas renewable energy consumption exhibited no statistically significant impact on HDI. Based on these outcomes, the study recommends strategic policy interventions including reducing dependence on energy imports, expanding electricity access through grid and off-grid solutions, improving energy efficiency, promoting the integration of renewable energy sources, and enforcing stringent environmental regulations to mitigate the adverse effects of carbon emissions. These measures are crucial for enhancing human development and achieving long-term energy sustainability in Nigeria
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