What implications do primary energy use, urban population agglomeration, and economic development rendered to Romania's environmental sustainability?

Abstract

The energy sector plays a significant role in Romania's expanding economic and security agenda. The energy sector utilizes a diverse range of resources, such as renewable energy, nuclear power, coal, and natural gas. Traditionally, the primary sources of the country's energy have been coal and natural gas, while hydroelectricity and nuclear power have played supplementary roles. The present study's major purpose is to establish how primary energy consumption, fossil fuel consumption, urban population agglomeration, and economic growth affect CO2 emissions in Romania. The time series data covering 1990 to 2021 was analyzed using the symmetric Autoregressive Distributed Lag (ARDL) approach in conjunction with robust least squares technique. The study's findings demonstrated that in both the short and long run, variables such as fossil fuel consumption, urban population agglomeration, and economic growth had a positive influence on CO2 emissions. Primary energy consumption has a detrimental influence on environmental quality in Romania. Similarly, the results of the robust least squares technique show that distinct variables have specific effects on environmental quality. It particularly shows that fossil fuel consumption, urban population agglomeration, and economic growth have a positive effect on CO2 emissions. However, empirical evidence indicates that primary energy consumption has a negative impact on CO2 emissions. It is essential for the Romanian government to take more steps to successfully address the problem of environmental degradation inside the country, with the ultimate goal of increasing economic growth.