A collaborative study, including researchers Ali and Tursoy from Near East University, delves into the imperative need for China to transition towards a low-carbon economy, particularly within its transportation sector, given its status as the largest carbon emitter globally. With ambitions for carbon neutrality by 2050, understanding the impact of clean energy adoption and oil prices on carbon emissions intensity in China’s transportation sector becomes paramount.
Employing advanced econometric techniques such as the Bootstrap Autoregressive Distributed Lag Model, the study analyzes data from 1990 to 2016. Results indicate that increases in oil prices correlate with decreased carbon emissions intensity in both the short and long term. Additionally, the adoption of renewable energy and economic complexity demonstrate a mitigating effect on carbon emissions intensity, while non-renewable energy consumption exhibits a positive correlation.
The findings underscore the urgency for policymakers to prioritize green technology adoption and promote renewable energy sources to counteract the detrimental effects of the transportation sector on environmental quality. Notably, the study suggests a reduction in China’s oil import dependence by diversifying energy sources, prioritizing renewable energy.
Furthermore, stringent policies monitoring the transportation industry’s environmental impact and incentivizing the adoption of environmentally friendly technologies are recommended. This includes transitioning to green energy solutions, such as electric vehicles, and allocating significant resources to research and development in renewable energy technologies.
In response to the study’s findings, several policy recommendations are proposed. These include accelerating the transition to green energy in transportation through private capital mobilization, implementing regulations and green tax legislation to reduce non-renewable resource usage, and prioritizing the electrification of private and commercial vehicles while expanding charging infrastructure.
Moreover, strengthening the public transportation system and incentivizing its use over private vehicles emerges as a significant strategy. By incorporating human capital, research and development spending, and technical innovation, policymakers can further refine strategies to address the complex interplay between oil prices, energy consumption, economic growth, and environmental quality.
This collaborative effort provides valuable insights and actionable recommendations for policymakers in China to navigate towards a sustainable, low-carbon future in its transportation sector, crucial for achieving long-term environmental sustainability and global climate goals.
More Information:
https://link.springer.com/article/10.1007/s11356-023-28053-3
