Empirical analysis of renewable and non-renewable energy resources consumption impact on economic development in Uzbekistan

Abstract

In this paper the association among renewable, non-renewable energy consumption and GDP growth is analyzed by using the secondary date of The World Bank and International Energy Agency for the period 1990-2021 of Uzbekistan. The paper employs the Autoregressive Distributed Lags (ARDL) model to estimate the long-run and short-run dynamic multipliers of energy consumption variables. Empirical results show that hydropower energy consumption (renewable energy) has a positive effect on GDP growth in the long term. Also, consumption of non-renewable energy resources (coal, natural gas, oil) has a positive effect on GDP growth in the short and long term. In addition, the increase in the consumption of non-renewable energy resources has a positive effect on CO2 emissions, which in turn means that the government should take measures to increase the share of renewable energy resources.