The impact of agriculture production and renewable energy consumption on CO2 emissions in African countries: The Role of Governance

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Abstract Environmental pollution has aggravated the Climate change issues posing unusual challenges to the survival and growth of humanity, including extreme weather, loss of species, and sustainability of the ecosystem in developing countries. The study therefore examines the effects of governance (corruption) and agriculture production on CO 2 emissions in 20 countries in Africa from 1990 to 2019. Unlike previous studies this paper incorporates corruption into agriculture production-environment nexus. The study employed recent panel econometric approach which accounts for cross section dependence in the variables. The findings of the fixed effect model and panel dynamic ordinary least square (PDOLS) show that forest and renewable energy consumption decrease CO2 emissions. However, corruption, agriculture production, export, and urbanization escalate CO2 emissions in African countries covered in the paper. Moreover, the Dumitrescu-Hurlin granger causality indicates a bidirectional causality between agriculture production and CO2 emissions, renewable energy use, agricultural output and forest. Also, unidirectional granger causality runs from corruption to forest and agriculture production. On these premise, consented effort by governments should be made to support good institutions in order to promote good governance to avert pervasive consequences of corruption on the environment.

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