Environmental quality and renewable energy consumption with different quality indicators: evidence from robust result with panel quantile approach.

Abstract

The purpose of this paper is to research the relation among environmental quality and renewable energy in the RECAI country group. The study used per capita CO2 emission, energy intensity, and Aggregate National Savings as a measure of environmental quality. Other variables used in the study are renewable energy consumption, fossil fuel consumption, GDP per capita, and foreign direct investments. In the study, three different models to see different environmental quality indicators by panel quantile method for 19202090-. According to the results obtained, unlike other models, renewable energy consumption in model 1 positively affects energy intensity in all quantiles. In other words, renewable energy consumption negatively affects environmental quality. In model 1 and model 3, the coefficients of fossil fuel consumption were positive and negative, respectively. Unlike model 2, the coefficient estimates of fossil fuel consumption in model 3 were predominantly negative. Fossil fuel consumption shows a positive effect on environmental quality, which is similar to model 1. Economic growth negatively affects environmental quality in all models. There is a one-way causal relationship from renewable energy consumption to energy intensity and energy intensity to growth.