How economic growth in Australia reacts to CO2 emissions, fossil fuels and renewable energy consumption

• Autor(a) principal: Leal, Patrícia Alexandra Hipólito
• Data de Publicação: 2018
• Tipo de documento: Dissertação
• Idioma: eng
• Título da fonte: Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos)
• Texto Completo: http://hdl.handle.net/10400.6/9750
• topic: Ardl; Austrália; Consumo de Energia; Crescimento Económico; Emissões de Dióxido de Carbono; Domínio/Área Científica::Ciências Sociais::Economia e Gestão

Australia is one of the ten largest emitters of greenhouse gases but stands out from the others due to its economic growth without recession for twenty-six consecutive years. This paper focuses on the energy-growth nexus and the effects of energy consumption on the environment, in Australia. This analysis is performed using annual data from 1965 to 2015, and the Autoregressive Distributed Lag model. The paper finds empirical evidence of a trade-off between economic growth and Carbon Dioxide (CO2) intensity. The results show that increased Gross Domestic Product (GDP) in Australia, increased investment in Renewable Energy Sources (RES), although the renewable technology is limited and has no impact on reducing CO2 intensity in the long-run. In contrast to investment in RES, fossil fuels, coal and oil, are both decreased by GDP. However, oil consumption increased renewable energy consumption, and this reflects the pervading effect of the growing economy. To achieve environmental targets and continue to grow, Australia should change its energy mix, apply restrictive policies to fossil fuels consumption, and implement energy efficiency measures.