- Title
- The determinants of renewable energy in South Africa
- Creator
- Adeniyi, Bamidele Ojo
- Subject
- Renewable energy sources -- South Africa
- Subject
- Power resources -- South Africa
- Subject
- Sustainable development -- Research -- South Africa
- Date Issued
- 2023-12
- Date
- 2023-12
- Type
- Master's theses
- Type
- text
- Identifier
- http://hdl.handle.net/10948/65503
- Identifier
- vital:74163
- Description
- The South African energy system to date has been dominated by the high consumption of fossil fuels and the resultant greenhouse gas emissions. Aside from this, the country has continued to witness incessant power outages, a shortfall in electricity supply, and high electricity prices due to the ageing infrastructure of coal-powered plant. Meanwhile, the United Nations’s Sustainable Development Agenda mandates countries to ensure a sustainable environment by embracing affordable and clean energy in order to mitigate unfavourable climate action by 2030. The attainment of most Sustainable Development Goals depends on renewable energy development which includes solar, wind, hydro, geothermal and biomass energy among others. Therefore, an empirical study of the socio-economic and environmental determinants of renewable energy consumption in South Africa is imperative. Based on Environmental Kuznetz curve and Khan’s sustainable development theories, this study employed the Autoregressive Distributed Lag (ARDL) and Vector Autoregressive (VAR) causality methods to analyse the long-run relationship between economic, environmental and social determinants of renewable energy. The quantile regression method examined the relationship between environmental degradation and economic growth in South Africa between 1985 to 2021. The study shows a long-run relationship between renewable energy and economic factors such as gross domestic product, energy imports, and exchange rate, while gross capital formation and average electricity prices indirectly impact renewable energy consumption. Moreover, there exists a unidirectional influence between gross domestic product and real effective exchange rate to renewable energy consumption. The study suggests that more investment in renewable infrastructures and technology would improve renewable energy consumption in South Africa. The long-run result between environmental factors and renewable energy shows that fossil fuels, deforestation, and carbon dioxide emission indirectly influence renewable energy, while energy depletion increases as renewable energy consumption increases. Meanwhile, a unidirectional causality runs from renewable energy consumption to fossil fuels and carbon dioxide emissions. This suggests that renewable energy consumption would improve environmental quality in South Africa.On the relationship between social factors and renewable energy consumption, the long-run result shows that educational spending and employment rate positively increases renewable energy consumption, while per capita income and urban growth is yet to positively influence renewable energy. Moreover, a bidirectional causal relationship exists between employment rate and renewable energy consumption. This suggests that renewable energy would create job opportunity or the other way round vice versa in South Africa. There is a positive relationship between environmental degradation and economic growth between quantile 10th to 75th, with a quick negative turning seen higher, at quantile 90th. The growth of per capita income also shows a positive relationship at the lower quantile, while an inverse relationship was seen at the higher quantile of 50th to 99th. Non-renewable energy shows a significant and positive relationship to carbon dioxide emission across the quantile curve, while renewable energy shows an inverse relationship to carbon dioxide emissions across the quantile curve; and a quick turn from 25th quantile showing that urban growth does not positively influence renewable energy. This suggests that non-renewable energy use damages the environment, while renewable energy consumption improves the quality of the environment in South Africa. The study recommends that a direct alteration of renewable energy consumption by government is a necessary condition to diffuse clean energy technology across the country. Also, increasing investment in renewable energy infrastructure through public, private and government participation is a necessary move to actualise the achievement of self-sufficiency in the renewable energy sector. Furthermore, since research is an engine room for technological innovation, government should prioritise learning in the form of research, formal and informal training, and short-term courses to equip citizens with the necessary renewable technology skills. It is hoped that the findings of this study would be beneficial to the policymakers in South Africa and also any country where renewable energy consumption is yet to be explored.
- Description
- Thesis (PhD) -- Faculty of Business and Economic Sciences, School of Economics, Development and Tourism, 2023
- Format
- computer
- Format
- online resource
- Format
- application/pdf
- Format
- 1 online resource (xix, 331 pages)
- Format
- Publisher
- Nelson Mandela University
- Publisher
- Faculty of Business and Economic Sciences
- Language
- English
- Rights
- Nelson Mandela University
- Rights
- All Rights Reserved
- Rights
- Open Access
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NMU School for Economics, Development and Tourism
| Thumbnail | File | Description | Size | Format | |||
|---|---|---|---|---|---|---|---|
| View Details Download | SOURCE1 | Adeniyi, B_.pdf | 3 MB | Adobe Acrobat PDF | View Details Download |