Search

Currently, Pakistan is in a stage of urbanization and industrialization, raising its energy demand and supply and carbon dioxide emissions (CO2Es) due to the excessive use of fossil fuels. In meeting future demand and supply predictions, much emphasis should be given to both energy consumption and the level of inter-factor and inter-fuel substitution possibilities. Specifically, future outcomes for energy demand are more valid when production models contemplate substitution elasticity occurring during the period. To analyze the potential for little reliance on fossil fuels and diminish CO2Es, the present research has examined the potential for the substitution of energy and non-energy factors (i.e., natural gas, electricity, petroleum, labor, and capital) by using translog productions function over the period between 1986–2019. The ridge regression method is applied to evade the multicollinearity issue in the data. The model analyzes the output elasticity, substitution elasticity, technical progress, and carbon emission scenarios. The results show that the output elasticities are growing, presenting that the contribution of all factors adds to economic growth. The inputs between capital-petroleum, capital-electricity, labor-electricity, capital-natural gas, and natural gas-electricity are extreme substitutes. These substitutes are increasing capital growth and production sizes. The relative difference in technical progress shows a small positive change between 3–7% with convergence evident. Lastly, the investment scenarios under 5% and 10% investment in petroleum reduction are evidence that the CO2Es would reduce by 7.5 Mt and 10.43 Mt under scenario 1 and 7.0 Mt and 10.9 Mt under scenario 2. The results have broader suggestions for energy-conserving policies, particularly under the China–Pakistan Economic Corridor. [ABSTRACT FROM AUTHOR]

Digital development is critical for achieving coordinated regional economic growth, energy conservation, and emissions reduction, which makes it a viable method for achieving carbon neutrality and peaks. This study investigates the impact of the digital economy on urban total factor productivity and carbon emissions, as well as its mechanism, from 2011 to 2019 by developing a digital economy evaluation index system. We find that the growth of the digital economy can increase urban total factor productivity while lowering carbon emissions and also has a significant spatial spillover effect on regional economic growth, energy conservation, and emissions reduction. The main influencing mechanism is that the digital economy accelerates marketization by encouraging industrial structure upgrades and technological progress, which results in higher total factor productivity and lower energy consumption. In terms of the spatial distribution, the digital economy promotes total factor productivity more in the central and western regions and large cities and promotes carbon emission reduction less in the eastern regions and smaller cities. The findings extend the benefits of the digital economy beyond economic and social welfare benefits and serve as a model for achieving a win–win situation in terms of both economic growth and carbon emissions reduction. [ABSTRACT FROM AUTHOR]

In achieving the "double carbon" target, the emission trading system (ETS), as a key market-based emission reduction mechanism, assumes the responsibility of addressing climate change and implementing reform. Most studies focus only on the emission reduction effects of green policy, but weighing the relationship between emission reduction and development is a practical dilemma to be faced. Taking China's pilot ETS as an example, this problem was analyzed using the synthetic control method, and the specific impact channels are discussed. It was found that: (1) Carbon emissions and carbon emission intensity in the pilot ETS areas of Tianjin, Hubei and Chongqing decreased significantly, and economic growth has progressed to a certain extent. Robustness tests basically verified the effectiveness of the policy implementation. (2) The pilot ETS mainly has an impact through the transformation and upgrading, and technological innovation channels, promoting significant improvements in energy structure, industrial structure, energy efficiency and the number of patent applications. This study releases a positive signal for the compatibility of emission reduction and economic development goals at the national level for China's pilot ETS. • The pilot ETS significantly reduced carbon emissions and carbon emission intensity. • The pilot ETS promoted economic growth to some extent. • Transformation and upgrading, and technological innovation are the influencing channel. • The SCM method can synthesize the "ideal" control unit to evaluate the policy effects. [ABSTRACT FROM AUTHOR]