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Energy efficiency in the Indian transportation sector: effect on carbon emissions

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Abstract

Energy efficiency gains are advocated to be a plausible strategy to mitigate rising carbon emissions in the Indian transportation sector. This study, thus, estimates the energy efficiency across transportation modes in India for 2000–2014, employing the panel stochastic frontier approach. Further, the long-run effect of energy efficiency gains on carbon emissions is also examined by employing the panel fully modified least square (FMOLS) and panel dynamic ordinary least square (DOLS) estimators. The empirical findings indicate an inverted U-shaped trend in energy efficiency for land transportation and a substantial rise for air transportation with higher volatility. However, the trend in energy efficiency for water transportation only shows a minor uptick with nearly stable movement. The long-run effect reveals that a 1% increase in energy efficiency will reduce carbon emissions in the transportation sector by more than 1%, between 1.343 (FMOLS) and 1.665% (DOLS). Based on such findings, a few implications are discussed to achieve a low-carbon energy system.

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Data Availability

WIOD data can be accessed from the following links: https://www.rug.nl/ggdc/valuechain/wiod/wiod-2016-release, https://joint-research-centre.ec.europa.eu/scientific-activities-z/economic-environmental-and-social-effects-globalisation_en.

Notes

  1. IRADe—Integrated Research and Action for Development; CSTEP—Center for Study of Science, Technology and Policy; CEEW—Council on Energy, Environment and Water; TERI—The Energy and Resources Institute; PNNL—Pacific Northwest National Laboratory (Paladugula et al. 2018); (NITI 2019).

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Authors and Affiliations

  1. Department of Management Studies, Rajiv Gandhi Institute of Petroleum Technology (RGIPT), Jais, Amethi, UP, 229304, India

    Mohd Irfan

  2. School of Social, Financial and Human Sciences, Kalinga Institute of Industrial Technology (KIIT) Deemed to be University, Bhubaneswar, Odisha, 751024, India

    Bamadev Mahapatra

  3. School of Management and Economics, Beijing Institute of Technology, Beijing, China

    Muhammad Shahbaz

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Table 9 Details of the data sources
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Table 10 Descriptive statistics for energy efficiency
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Irfan, M., Mahapatra, B. & Shahbaz, M. Energy efficiency in the Indian transportation sector: effect on carbon emissions. Environ Dev Sustain 26, 6653–6676 (2024). https://doi.org/10.1007/s10668-023-02981-z

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