Geopolitical Risk and Energy Transition in Russia: Evidence from ARDL Bounds Testing Method

By E. Rasoulinezhad, Farhad Taghizadeh‐Hesary, Ji-eun Sung, Nisit Panthamit. Sustainability, 2020

125 citations recorded by the source corpus.

One of the current debatable global problems is climate change or global warming as crucial geopolitical risks. The progress of energy transition by considering geopolitical risk has not been considered seriously yet. This paper contributes to the literature by modeling and analyzing energy transition patterns in Russia with emphasis on geopolitical risks factor as a giant fossil fuels producer using the ARDL bounds testing method over the period of 1993–2018. The main results proved long-run negative impact of economic growth, population growth and inflation rate on energy transition of Russia, while CO2 emissions, geopolitical risk, exchange rate and financial openness have positive impacts on energy transition movement in the country. Furthermore, we found out that in the short-run, the relationship between energy transition improvement and economic growth, CO2 emissions, population growth and inflation rate is negative, while geopolitical risk, exchange rate and financial openness are the only variables which accelerate energy transition in the country. As major concluding remarks, Russia’s policy makers should draw attention to the long-run energy plans in the country. Furthermore, lowering dependency of Federals’ budget to the oil and gas revenues would be a useful policy to reduce negative impact of economic growth on energy transition movement in the country. Another recommendation is to determine rapid decarbonizing policies in the country.

Subfields: Economics and Econometrics, Renewable Energy, Sustainability and the Environment

View Paper: https://www.semanticscholar.org/paper/ed99eb9cdf4e9d8ea356e86effc4fcc0d9db7f0f

How researchers see this paper

The researchers whose trusted networks rank it highest, strongest advocate first. Every researcher gets a different order.

In Economics and Econometrics

In Renewable Energy, Sustainability and the Environment

Citations in the corpus

Do Economic Policy Uncertainty and Geopolitical Risk Lead to Environmental Degradation? Evidence from Emerging Economies (2021, background): “For instance, a several studies highlight that GPR effects economic growth and tourism [14], energy consumption [15], financial markets [16], and research and development [17,18].”