Drivers of Carbon Emissions in Turkey and Indonesia: The Roles of Energy Use, Natural Disasters, and Technological Change-Scilight

New Energy Exploitation and Application

Article

Drivers of Carbon Emissions in Turkey and Indonesia: The Roles of Energy Use, Natural Disasters, and Technological Change

Downloads

Igunnu, P. O., & Ali , M. (2025). Drivers of Carbon Emissions in Turkey and Indonesia: The Roles of Energy Use, Natural Disasters, and Technological Change. New Energy Exploitation and Application, 4(2), 47–64. https://doi.org/10.54963/neea.v4i2.1365

Authors

  • Peter Oluwasegun Igunnu

    Banking and Finance Department, Economic and Business Administrative Science Faculty, Near East University, TRNC Mersin 10, 99138 Nicosia, Turkey
  • Mumtaz Ali

    Banking and Finance Department, Economic and Business Administrative Science Faculty, Near East University, TRNC Mersin 10, 99138 Nicosia, Turkey

Received: 28 June 2025; Revised: 14 August 2025; Accepted: 18 August 2025; Published: 27 August 2025

Switching to renewable energy is key to environmental resilience, especially with the growing problems of fossil fuel dependence and increasing natural disasters. This study looks into how fossil fuel consumption, natural disasters, and adoption of renewable energy technologies affect carbon dioxide (CO2) emissions in Turkey and Indonesia. The analysis is based on the Method of Moments Quantile Regression (MMQR) approach, which captures the heterogeneous effects of these variables across different emission levels. Additionally, Feasible Generalized Least Squares (FGLS) is employed as a robustness check to validate the consistency of the results. The findings show that fossil fuel use contributes to higher CO2 emissions, especially at the lower and middle quantiles. Natural disasters further increase emissions due to the increased energy demand for emergency response and recovery. On the other hand, the expansion of renewable energy leads to consistent and significant reductions of emissions across all levels. These results highlight the need for Turkey and Indonesia to invest in renewable energy infrastructure, implement carbon mitigation policies, integrate disaster risk management in energy planning, and promote innovation in green technologies to achieve long‑term sustainability and environmental protection.

Keywords:

Fossil Energy Natural Disaster Renewable Energy Carbon Emissions MMQR Approach

References

  1. Kahn, M.E.; Mohaddes, K.; Ng, R.N.C.; et al. Long-Term Macroeconomic Effects of Climate Change: A Cross-Country Analysis. Energy Econ. 2021, 104, 105624.
  2. Dolan, D.A. Multiple Partial Couplings in the Multiple Streams Framework: The Case of Extreme Weather and Climate Change Adaptation. Policy Stud. J. 2021, 49, 164–189.
  3. Vacek, Z.; Vacek, S.; Cukor, J. European Forests Under Global Climate Change: Review of Tree Growth Processes, Crises and Management Strategies. J. Environ. Manag. 2023, 332, 117353.
  4. Bača, P.; Mašán, V.; Vanýsek, P.; et al. Evaluation of the Thermal Energy Potential of Waste Products from Fruit Preparation and Processing Industry. Appl. Sci. 2024, 14, 1080.
  5. Fuhr, H. The Rise of the Global South and the Rise in Carbon Emissions. Third World Q. 2021, 42, 2724–2746.
  6. Ersoy, A.E.; Ugurlu, A. Bioenergy's Role in Achieving a Low-Carbon Electricity Future: A Case of Türkiye. Appl. Energy 2024, 372, 123799.
  7. McCauley, D.; Pettigrew, K. Building a Just Transition in Asia-Pacific: Four Strategies for Reducing Fossil Fuel Dependence and Investing in Clean Energy. Energy Policy 2023, 183, 113808.
  8. Lee, C.C.; Wang, C.W.; Ho, S.J.; et al. The Impact of Natural Disaster on Energy Consumption: International Evidence. Energy Econ. 2021, 97, 105021.
  9. Zhao, X.X.; Zheng, M.; Fu, Q. How Natural Disasters Affect Energy Innovation? The Perspective of Environmental Sustainability. Energy Econ. 2022, 109, 105992.
  10. Över, S.; Demirci, A.; Özden, S. Tectonic Implications of the February 2023 Earthquakes (Mw 7.7, 7.6 and 6.3) in South-Eastern Türkiye. Tectonophysics 2023, 866, 230058.
  11. Our World in Data. Ritchie, H.; Rosado, P.; Roser, M. Natural Disasters. 2022. Available online: https://ourworldindata.org/natural-disasters?fbclid=IwAR2C1uQR2N1_jegLjxUHjMuLP_ClFJMz5CHdLuSf5ce9L46yQxe9Ls0H1OE#article-citation (accessed on 14 May 2025).
  12. Supendi, P.; Winder, T.; Rawlinson, N.; et al. A Conjugate Fault Revealed by the Destructive Mw 5.6 (21 November 2022) Cianjur Earthquake, West Java, Indonesia. J. Asian Earth Sci. 2023, 257, 105830.
  13. Rahman, M.H.; Majumder, S.C. RETRACTED ARTICLE: Empirical Analysis of the Feasible Solution to Mitigate the CO2 emission: evidence from Next-11 countries. Environ. Sci. Pollut. Res. 2022, 29, 73191–73209.
  14. Ali, M.; Igunnu, P.O.; Tursoy, T. Do Green Finance and Energy Prices Unlock Environmental Sustainability in Pakistan? Fresh Evidence from RALS‐EG Cointegration. OPEC Energy Rev. 2024, 48, 370–390.
  15. Schreurs, M.A. Reconstruction and Revitalization in Fukushima a Decade After the “Triple Disaster” Struck: Striving for Sustainability and a New Future Vision. Int. J. Disaster Risk Reduct. 2021, 53, 102006.
  16. Achakulwisut, P.; Erickson, P.; Guivarch, C.; et al. Global Fossil Fuel Reduction Pathways Under Different Climate Mitigation Strategies and Ambitions. Nat. Commun. 2023, 14, 5425.
  17. Ma, Z.; Awan, M.B.; Lu, M.; et al. An Overview of Emerging and Sustainable Technologies for Increased Energy Efficiency and Carbon Emission Mitigation in Buildings. Buildings 2023, 13, 2658.
  18. Guerhardt, F.; Silva, T.A.F.; Gamarra, F.M.C.; et al. A Smart Grid System for Reducing Energy Consumption and Energy Cost in Buildings in São Paulo, Brazil. Energies 2020, 13, 3874.
  19. Rao, A.; Kumar, S.; Karim, S. Accelerating Renewables: Unveiling the Role of Green Energy Markets. Appl. Energy 2024, 366, 123286.
  20. Yulianto, E.; Yusanta, D.A.; Utari, P.; et al. Community Adaptation and Action During the Emergency Response Phase: Case Study of Natural Disasters in Palu, Indonesia. Int. J. Disaster Risk Reduct. 2021, 65, 102557.
  21. global Carbon Atlas. Available online: http://www.globalcarbonatlas.org/en (accessed on 13 May 2025).
  22. Khan, Z.; Ali, S.; Dong, K.; et al. How Does Fiscal Decentralization Affect CO2 Emissions? The Roles of Institutions and Human Capital. Energy Econ. 2021, 94, 105060.
  23. Machado, J.A.F.; Silva, J.M.C.S. Quantiles via Moments. J. Econom. 2019, 213, 145–173.
  24. Ali, M.; Seraj, M. Nexus Between Energy Consumption and Carbon Dioxide Emission: Evidence from 10 Highest Fossil Fuel and 10 Highest Renewable Energy-Using Economies. Environ. Sci. Pollut. Res. 2022, 29, 87901–87922.
  25. Bekun, F.V.; Gyamfi, B.A.; Onifade, S.T.; et al. Beyond the Environmental Kuznets Curve in E7 Economies: Accounting for the Combined Impacts of Institutional Quality and Renewables. J. Clean. Prod. 2021, 314, 127924.
  26. Adewuyi, A.O.; Awodumi, O.B. Environmental Pollution, Energy Import, and Economic Growth: Evidence of Sustainable Growth in South Africa and Nigeria. Environ. Sci. Pollut. Res. 2021, 28, 14434–14468.
  27. Dai, H.; Xie, X.; Xie, Y.; et al. Green Growth: The Economic Impacts of Large-Scale Renewable Energy Development in China. Appl. Energy 2016, 162, 435–449.
  28. Danish; Ulucak, R. How Do Environmental Technologies Affect Green Growth? Evidence from BRICS Economies. Sci. Total Environ. 2020, 712, 136504.
  29. Adedoyin, F.; Abubakar, I.; Bekun, F.V.; et al. Generation of Energy and Environmental-Economic Growth Consequences: Is There Any Difference Across Transition Economies? Energy Rep. 2020, 6, 1418–1427.
  30. Liu, H.; Pata, U.K.; Zafar, M.W.; et al. Do Oil and Natural Gas Prices Affect Carbon Efficiency? Daily Evidence from China by Wavelet Transform-Based Approaches. Resour. Policy 2023, 85, 104039.
  31. Voumik, L.C.; Ridwan, M.; Rahman, M.H.; et al. An Investigation into the Primary Causes of Carbon Dioxide Releases in Kenya: Does Renewable Energy Matter to Reduce Carbon Emission? Renew. Energy Focus 2023, 47, 100491.
  32. Smith, L.V.; Tarui, N.; Yamagata, T. Assessing the Impact of COVID-19 on Global Fossil Fuel Consumption and CO2 Emissions. Energy Econ. 2021, 97, 105170.
  33. Alshehry, A.S.; Belloumi, M. Energy Consumption, Carbon Dioxide Emissions and Economic Growth: The Case of Saudi Arabia. Renew. Sustain. Energy Rev. 2015, 41, 237–247.
  34. Simsek, T.; Yigit, E. Causality Analysis of BRICT Countries on Renewable Energy Consumption, Oil Prices, CO2 Emissions, Urbanization and Economic Growth. Eskisehir Osmangazi Univ. J. Econ. Adm. Sci. 2017, 12, 117–136.
  35. Zhao, Y.; Zhang, Y.; Wei, W. Quantifying International Oil Price Shocks on Renewable Energy Development in China. Appl. Econ. 2021, 53, 329–344.
  36. Sakai, Y.; Estudillo, J.P.; Fuwa, N.; et al. Do Natural Disasters Affect the Poor Disproportionately? Price Change and Welfare Impact in the Aftermath of Typhoon Milenyo in the Rural Philippines. World Dev. 2017, 94, 16–26.
  37. Warr, P.; Aung, L.L. Poverty and Inequality Impact of a Natural Disaster: Myanmar’s 2008 Cyclone Nargis. World Dev. 2019, 122, 446–461.
  38. Acheampong, A.O. Economic Growth, CO2 Emissions and Energy Consumption: What Causes What and Where? Energy Econ. 2018, 74, 677–692.
  39. Ogbeide-Osaretin, E.N. Analysing Energy Consumption and Poverty Reduction Nexus in Nigeria. Int. J. Sustain. Energy 2021, 40, 477–493.
  40. Doytch, N.; Klein, Y.L. The Impact of Natural Disasters on Energy Consumption: An Analysis of Renewable and Nonrenewable Energy Demand in the Residential and Industrial Sectors. Environ. Prog. Sustain. Energy 2018, 37, 37–45.
  41. Li, Z.Z.; Li, R.Y.M.; Malik, M.Y.; et al. Determinants of Carbon Emission in China: How Good Is Green Investment? Sustain. Prod. Consum. 2021, 27, 392–401.
  42. Huang, Y.; Xue, L.; Khan, Z. What Abates Carbon Emissions in China: Examining the Impact of Renewable Energy and Green Investment. Sustain. Dev. 2021, 29, 823–834.
  43. Green, F.; Stern, N. China's Changing Economy: Implications for Its Carbon Dioxide Emissions. Clim. Policy 2017, 17, 423–442.
  44. Sampath, K.; Natarajan, P. Traditional Procurement vs Public-Private Partnership Model—A Solution-Based Approach for Indian Sub Continent. Annamalai Int. J. Bus. Stud. Res. 2020, 12, 20–35.
  45. Yang, Q.; Huo, J.; Saqib, N.; et al. Modelling the Effect of Renewable Energy and Public-Private Partnership in Testing EKC Hypothesis: Evidence from Methods Moment of Quantile Regression. Renew. Energy 2022, 192, 485–494.
  46. Nawaz, M.A.; Seshadri, U,; Kumar, P.; et al. Nexus Between Green Finance and Climate Change Mitigation in N-11 and BRICS Countries: Empirical Estimation Through Difference in Differences (DID) Approach. Environ. Sci. Pollut. Res. 2021, 28, 6504–6519.
  47. Batrancea, I.; Batrancea, L.; Rathnaswamy, M.M.; et al. Greening the Financial System in USA, Canada and Brazil: A Panel Data Analysis. Mathematics 2020, 8, 2217.
  48. Osman, I.; Ma’in, M.; Muda, R.; et al. Determinants of Behavioural Intention Towards Green Investments: The Perspectives of Muslims. Int. J. Islam. Bus. 2019, 4, 16–38.
  49. Ali, M.; Igunnu, P.O.; Seraj, M.; et al. Balancing Green and Growth: Effect of Green Energy and Moderating Role of Financial Institutions and Markets on Economic Growth in Mediterranean Economies by Advanced MMQR Approach. Euro-Mediterr. J. Environ. Integr. 2025, 10, 3231–3251.
  50. Du, K.; Li, J. Towards a Green World: How Do Green Technology Innovations Affect Total-Factor Carbon Productivity. Energy Policy 2019, 131, 240–250.
  51. Niu, J. The Impact of Technological Innovation on Carbon Emissions. In Proceedings of the 2021 International Conference on Economic Innovation and Low-carbon Development (EILCD 2021), Qingdao, China, 28–30 May 2021.
  52. Seyfettin, E. Dynamic Nexus Between Technological Innovation and Buildings Sector’s Carbon Emission in BRICS Countries. J. Environ. Manag. 2021, 293, 112963.
  53. Thi, D.M.T.; Do, T.T.P. The Interrelationships Between Carbon Dioxide Emissions and Innovation: International Evidence. Int. J. Sustain. Energy 2024, 43, 2352515.
  54. Zhang, M.; Li, B.; Yin, S. Is Technological Innovation Effective for Energy Saving and Carbon Emissions Reduction? Evidence From China. IEEE Access 2020, 8, 83524–83537.
  55. Mo, J.Y. Technological Innovation and Its Impact on Carbon Emissions: Evidence From Korea Manufacturing Firms Participating in the Emission Trading Scheme. Technol. Anal. Strateg. Manag. 2022, 34, 47–57.
  56. Alnafisah, N.; Alsmari, E.; Alshehri, A.; et al. Assessing the Impacts of Technological Innovation on Carbon Emissions in MENA Countries: Application of the Innovation Curve Theory. Energies 2024, 17, 904.
  57. Zhu, Y.; Liu, S. Nonlinear Relationship Between Technological Innovation and Carbon Emission: Evidence From Maximal Information Coefficient Approach. Int. J. Low-Carbon Technol. 2024, 19, 1633–1639.
  58. Dou, Y.; Zhao, J.; Dong, J. Re-Estimating the Impact of Natural Gas on Global Carbon Emissions: The Role of Technological Innovation. Front. Energy Res. 2021, 9, 651586.
  59. World Bank Group. Available online: https://databank.worldbank.org/source/world-development-indicators (accessed on 14 May 2025).
  60. Pesaran, M.H. General Diagnostic Tests for Cross Section Dependence in Panels. SSRN preprint. 2004, ssrn.572504.
  61. Pesaran, M.H. Estimation and Inference in Large Heterogeneous Panels With a Multifactor Error Structure. Econometrica 2006, 74, 967–1012.
  62. Dogan, E.; Seker, F. Determinants of CO₂ Emissions in the European Union: The Role of Renewable and Non-Renewable Energy. Renew. Energy 2016, 94, 429–439.
  63. Pesaran, M.H. A Simple Panel Unit Root Test in the Presence of Cross‐Section Dependence. J. Appl. Econ. 2007, 22, 265–312.
  64. Westerlund, J. New Simple Tests for Panel Cointegration. Econom. Rev. 2005, 24, 297–316.
  65. Zhao, X.; Samour, A., AlGhazali, A.; et al. Exploring the Impacts of Natural Resources and Financial Development on Green Energy: Novel Findings From Top Natural Resources Abundant Economies. Resour. Policy 2023, 83, 103639.
  66. Sinha, A. The Nexus Between Urbanization, Renewable Energy Consumption, Financial Development, and CO₂ Emissions: Evidence From Selected Asian Countries; Springer: Cham, Switzerland, 2021; 6556–6576.