The relationship between good governance and CO2 emissions in oil- and non-oil-producing countries: a dynamic panel study of sub-Saharan Africa

Sarpong, Steve Yaw; Bein, Murad A.

doi:10.1007/s11356-020-08680-w

Research Article
Published: 13 April 2020

The relationship between good governance and CO₂ emissions in oil- and non-oil-producing countries: a dynamic panel study of sub-Saharan Africa

Steve Yaw Sarpong¹ &
Murad A. Bein¹

Environmental Science and Pollution Research volume 27, pages 21986–22003 (2020)Cite this article

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Abstract

This study empirically examined the relationship between CO₂ emissions and good governance in oil- and non-oil-producing countries in the SSA region. The findings from this paper revealed very interesting results proving that good governance has a negative relationship with CO₂ emissions. Oil-producing countries have good governance system to help control and reduce CO₂ emissions as compared to non-oil-producing countries. Particularly, in oil-producing countries, business regulatory environment, budget and fiscal management, as well as fiscal policy have a significant negative relationship with CO₂ emissions. But there is rather a positive relationship between these indicators and CO₂ emissions in non-oil-producing countries as they do not have the required structures and arrangements to control CO₂ emissions. Also, in oil-producing countries, property rights and rules have positive relationship with CO₂ emissions but in the case of non-oil-producing countries, there is a negative relationship, meaning that non-oil-producing countries have good legal system and rule-based governance structures that is capable of protecting property rights. There is positive relationship between quality of government administration and CO₂ emissions in oil-producing countries but negative for non-oil-producing countries. Trade liberalization and economic growth have positive relationship with CO₂ emissions in both categories. But urbanization has a negative relationship with CO₂ emissions in non-oil-producing countries but positive for oil-producing. The findings point that effective and efficient institutions is a vital element for SSA countries to help combat the increased emissions of CO₂ to engender growth.

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Steve Yaw Sarpong & Murad A. Bein

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Table 5 Definition of variables

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Table 6 Descriptive statistics of variables. Aggregate SSA: oil- and non-oil-producing countries

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Table 7 List of countries

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Sarpong, S.Y., Bein, M.A. The relationship between good governance and CO₂ emissions in oil- and non-oil-producing countries: a dynamic panel study of sub-Saharan Africa. Environ Sci Pollut Res 27, 21986–22003 (2020). https://doi.org/10.1007/s11356-020-08680-w

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Received: 06 March 2020
Accepted: 30 March 2020
Published: 13 April 2020
Issue Date: June 2020
DOI: https://doi.org/10.1007/s11356-020-08680-w

Keywords

CO₂ emissions
Good governance
Environment
Oil producing
Non-oil producing

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