标题：Exploring the effects of Biomass energy consumption and Foreign Direct Investment on Environmental Pollution in West Africa A Spatial Lag Model Analysis
期刊名称：International Journal of Advances in Engineering and Management
电子版ISSN：2395-5252
出版年度：2022
卷号：4
期号：3
页码：852-867
DOI：10.35629/5252-0403653657
语种：English
出版社：IJAEM JOURNAL
摘要：Energy consumption is known as the catalyst for economic growth. However, the association of CO2 emissions with energy consumption has prompted policymakers to pursue types of energy that ensure sustainable development. Thus, this paper analyses the marginal impact of Biomass energy consumption and foreign direct investment (FDI) on CO2 emissions in West Africa by employing spatial econometric models. The robust LM lag and the robust LM error test result implied that the spatial lag model was the best model to explain the spatial effects of the exogenous variables. From the result, the spatial parameter (蟻) revealed that CO2 emissions have endogenous geographical impacts. Thus, indicating that a rise of CO2 emissions in a neighboring country results in an increase in a focal country by 0.302%. The results also revealed that biomass energy consumption significantly lessens environmental pollution in a country by 0.048% and that of its neighboring countries by 0.012%. An increase in FDI in a focal country increases CO2 emissions in its environment and its surrounding countries by 0.076% and 0.042% respectively.Thus, the investment in biomass energy projects in the West African region must increase significantly. This could help fight the environmental problems and these projects could be done by attracting foreign investors through FDI in funding. Overall the study spotlighted some policies suggestions for the West African energy market in achieving a carbon-neutral environment.
关键词：Biomass energy;Foreign direct investment;CO2 emissions;Spatial lag model;West Africa
