Do industrialization and nonrenewable energy affect environmental quality? Evidence from top fossil fuel-consuming countries

The global warming phenomenon has been an issue of considerable discussion and debate among academics and decision-makers over the past few decades. Therefore, a deeper comprehension of the relationships between environmental deterioration and its causes is necessary in nations that rely on fossil fuels. This study examines the relationship between per capita carbon dioxide emissions and total natural resources, nonrenewable energy, industrialization, and ecological footprint from 2001 to 2020 in the case of major fossil fuel-consuming countries. The most recent panel Granger causality and panel-corrected standard error (PCSE) simulation models are used in this study. The findings indicate that natural resources, ecological footprint, and registered companies impede environmental quality. Similarly, the same results were noted by employing the generalized least square method. A feedback effect was noted between carbon dioxide emission and ecological footprint, while unidirectional causality between coal consumption and carbon emission. In light of these findings, it is advised that instead of pursuing policies that encourage the use of coal and petroleum, new energy policies enhance the share of nonfossil fuels in the energy mix for controlling rapid industrialization, extraction of natural resources, and environmental and economic issues.

Automated summary

This study examines the relationship between per capita carbon dioxide emissions and various factors in major fossil fuel-consuming countries. The findings suggest that natural resources, ecological footprint, and registered companies hinder environmental quality, and there is a feedback effect between carbon dioxide emission and ecological footprint. It is recommended to adopt new energy policies to increase the share of nonfossil fuels in the energy mix for controlling industrialization, resource extraction, and environmental and economic issues.