Abstract
Energy acts as a catalyst to boost the human development index (HDI) in a country. However, the overuse of energy leads to environmental deterioration, which is a byproduct of economic development. Due to the utilization of non-renewable energy sources for a long time, worldwide environmental conditions have become alarming. This study investigates the relationship between renewable and non-renewable energy consumption, economic growth, environmental sustainability, and the human development index (HDI) in Pakistan. The investigation incorporates population growth and technology variables to form a multivariate framework. We use a fully modified ordinary least squares (FMOLS) approach to time-series data from 1990–2017. To check the robustness of estimations, we apply the Gregory–Hansen test with a causality test under the VECM to confirm this association’s directions. Our findings confirm that non-renewable energy sources have a positive association with economic growth and CO2 emissions. However, human development, technology, and renewable energy boost economic development and reduce environmental pollution in Pakistan. The co-integration results confirmed the long run connectivity among all variables. The causality outcomes support the bidirectional causality between renewable and non-renewable energy consumption, economic growth, and CO2 emissions, both in the short and long run. These outcomes suggest that Pakistan should focus on energy shifts and gradually increase the share of renewables in its energy mix under the China Pakistan Economic Corridor (CPEC). Additionally, the government should increase human and technological development to enhance economic and environmental sustainability.
Highlights
The efforts to combat environmental deterioration and conserve the environment are a challenging aspect for developing and developed nations around the world [1]
Saidi and Hammami [26] studied the impact of CO2 and energy consumption on economic growth in 58 countries, and the results demonstrated that energy consumption is positively related to economic growth but increase CO2 emissions in longer run, which slows down the economic growth process
The main agenda of this article is to examine the relationship between renewable energy consumption (RE), non-renewable energy consumption (NRE), economic growth (GDP), environmental sustainability (CO2 ), human development index (HDI), technology, and population growth (PG) for Pakistan
Summary
The efforts to combat environmental deterioration and conserve the environment are a challenging aspect for developing and developed nations around the world [1]. Economies have tried to balance the sustainable environment with economic growth. The association between economic progress and the environment is connected through the association between energy consumption and economic growth [2,3]. Energy consumption and economic growth are identified with each other, but the causality direction between two remained unclear across countries, datasets, and methodologies [4,5]. Res. Public Health 2020, 17, 5154; doi:10.3390/ijerph17145154 www.mdpi.com/journal/ijerph
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