Abstract
As many complex energy relations are not linear and have diminishing returns, assuming a symmetric (linear) effect of energy efficiency (ENEF) on carbon emissions (CAE) has limited our understanding of the emission-ENEF nexus. This research, therefore, initiallyestimates total factor energy efficiency by applying a stochastic frontier technique using sample panels for India encompassing the period from 2000 to 2014. Further, a nonlinear panel autoregressive distributed lag modelling framework is utilised in order to investigate the asymmetric (nonlinear) long- and short-run impacts of ENEF on CAE. The findings demonstrated that ENEF has asymmetric long- and short-run impacts on CAE in India. Based on the outcomes, numerous crucial implications are discussed with a particular reference to developing economies like India.
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