Impact of Hydropower on Air Pollution and Economic Growth in China

Abstract

The development of renewable clean energy such as hydropower can not only ensure energy security, but also help achieve the United Nation’s Sustainable Development Goals. This paper uses the annual data of 30 provinces in China from 2000 to 2017, and constructs a dynamic spatial Durbin model and a geographically weighted regression model to empirically test the dynamic impact of hydropower on haze pollution and economic growth at the national and provincial levels. The empirical results show that the promoting effect of hydropower on economic growth in Western China is less than that in Eastern China, which further aggravates the economic development gap between the eastern and western regions. In addition, the suppression effect of hydropower on the haze pollution in the western region is greater than that in the eastern region, where the haze pollution is serious. From the national level, hydropower can promote regional economic growth and inhibit haze pollution, and the spatial spillover effects of these two effects are greater than the local effects, and the long-term impact is greater than the short-term impact. The research conclusions of this paper will help China realize the sustainable development goals of energy saving and emission reduction.