Abstract
Purpose – Addressing the imperative of sustainable development and environmental conservation, this study investigates the intricate relationship between carbon dioxide emissions and annual fossil fuel subsidies in Slovenia and North Macedonia. Methodology/Approach – Utilizing regression analysis aligned with the indicators of the twelfth Sustainable Development Goal (SDG), we discern trends in sulfur dioxide, carbon monoxide, nitrogen monoxide, and total suspended particulate matter emissions. Findings – For every billion dollars in subsidies, North Macedonia experiences an average annual reduction of 40.073 kilotons in carbon dioxide emissions, while Slovenia sees an increase of 6.999.431 kilotons per year. The results point out the negative impact fossil fuel subsidies have on the environment by making fossil fuels more affordable, thus warranting further regulation by lowering or eliminating this type of subsidy. Implications – The implications address the need for research advancement and enhanced SDG reporting in North Macedonia, coupled with a demand for improved environmental indicators in Slovenia. Policymakers can leverage these findings for air pollution regulation, and managers can champion socially responsible practices for a green economy. Originality/Value – This study fills a critical gap in the literature regarding cross-country comparisons in this area, identified through a Scopus database search.
Publisher
University of Maribor Press