Econometric Analysis of Renewable Energy Consumption and Economic Growth: The Case of Kazakhstan and Kyrgyzstan

Abstract

Finding renewable resources against depleted resources has become very important in almost every field. Especially in the energy sector, the availability of renewable energy sources is of great importance. The aim of this study is to measure the effect of the renewable energy sector of Kazakhstan and Kyrgyzstan, which are selected Turkish states, on the growth of the economy. The data included in the analysis cover the period from 1996 to 2018. The variables included in the analysis as economic growth and renewable energy consumption were subjected to a series of assumption tests. As a final step, a conclusion was reached by applying regression analysis. It has been determined that there is a positive relationship between the economic growth in both countries and the renewable energy consumed in this country.

The Relationship between Energy Consumption, Agricultural and Industrial Production, and Economic Growth: ARDL Border Value Approach in the Case of Kazakhstan

“…They determined that although none of the independent variables alone had a causal effect on economic growth, the model with three independent variables together had. Sartbayeva et al (2023) conducted a study analyzing the relationship between energy consumption, economic growth, and developments in the agricultural industrial sector in Kazakhstan from 1991 to 2021. They used the Hierarchical Regression model to examine how these factors interact with one another.…”

“…Over the years, the ratio of the agriculture and livestock sector in GDP has decreased. However, with the introduction of technological innovations and agricultural regulations, production in this sector has increased in recent years (Timor et al, 2018;Sartbayeva et al, 2023). It is worth noting that the agriculture and livestock sector is Kazakhstan's third largest export item, following the energy (oil, natural gas) and mining sectors.…”

The Effect of Energy Production and Foreign Trade on the Economic Growth of Turkic Republics: A Study Using Panel Data Analysis Method

“…Kazakhstan's natural resources eased this painful transition process (Kazakhstan has approximately 3% of the world's total oil reserves, approximately 1.1% of natural gas reserves, and approximately 3.3% of coal reserves, and ranks second in the world in terms of uranium reserves.) (Mudarissov and Lee, 2014;Xiong et al, 2015;Bolganbayev et al, 2021;Kelesbayev et al, 2022a;Mashirova et al, 2023;Sartbayeva et al, 2023;Husnain et al, 2024). Kazakhstan's rich natural energy resources make it an attractive country for foreign direct investments.…”

“…Kazakhstan's rich natural energy resources make it an attractive country for foreign direct investments. Kazakhstan has a remarkable position among other developing countries with the economic growth it has achieved thanks to the reforms and investments it has made in the 32 years since its independence (Sabenova et al, 2023;Dyussembekova et al, 2023;Issayeva et al, 2023;Mukhtarov et al, 2020;Kelesbayev et al, 2022b). Kazakhstan has the highest GDP in the CIS after Russia (Syzdykova, 2022).…”

Comparison of Renewable and Non-Renewable Energy in the Long and Short Term of Indonesia Economy

“…Renewable energy consumption which continues to grow exponentially has become an important issue for almost every country. Development of the renewable energy sector is essential for countries that depend on foreign energy to be self-sufficient, (Sarkhanov and Huseynli, 2022).…”