Estimation of economic benefits associated with the reduction in the CO2 emission due to COVID-19

Abstract

Since World War-II, the COVID-19 pandemic is considered the most serious challenge faced by the mankind. This pandemic has not only adversely affected the health systems but has also disrupted the manufacturing and industrial sectors and thus leading to low CO 2 emissions. Reduction in the carbon dioxide (CO 2 ) gas emission has been noticed nearly everywhere in the world due to shutdown of industries and lockdown imposed by governments as a consequence of the COVID-19 pandemic. In the year 2019, around 37 billion tons of CO 2 emitted globally that has been reduced by 9% in the same period (January to July) for the year 2020 as consequence of COVID-19 pandemic. The Social Cost of Carbon (SCC) of a country reflects the economic damages caused by per ton increase in the CO 2 emissions. Economic and environmental benefits are associated with the reduction of CO 2 emissions as a result of COVID-19 and their estimation is the main theme of the study. Coupling reduction in the CO 2 emissions to the Social Cost of Carbon gives economic benefit for a country. The research presented investigates the long term economic and environmental benefits associated with the reduction in the CO 2 emissions for various regions of the world. The economic benefit due to the reduction in the of the CO 2 emissions as consequence of the COVID-19 to global economy is estimated as 650 billion US Dollars for the period of 6 months (from January to July). The study mainly focuses on the countries that contribute the high percentage of CO 2 emissions to the atmosphere. The first half of year 2020 (from January 2020 to July 2020) is taken into consideration because lockdown was mainly followed in that period. Further, within the country the sectors that contribute the high percentage of CO 2 emissions are also taken into account.

Public Attitude towards Nuclear and Renewable Energy as a Factor of Their Development in a Circular Economy Frame: Two Case Studies

“…In 2019, world CO2 emissions amounted to 34,357 million tons, but in 2020, emissions decreased by 6.03% (to 32,284 million tons) due to the suspension of most enterprises in the world because of the restrictions imposed by most countries due to the COVID-19 pandemic. Enterprises of many industries were forced to reduce production volumes or even suspend work for a certain period of time, which led to a significant reduction of the level of anthropogenic pressure on the environment [15]. World CO2 emissions from 2010 to 2020, million tons (created by the authors using data from [16]).…”

“…In 2019, world CO2 emissions amounted to 34,357 million tons, but in 2020, emissions decreased by 6.03% (to 32,284 million tons) due to the suspension of most enterprises in the world because of the restrictions imposed by most countries due to the COVID-19 pandemic. Enterprises of many industries were forced to reduce production volumes or even suspend work for a certain period of time, which led to a significant reduction of the level of anthropogenic pressure on the environment [15]. Despite the positive environmental impact, the COVID-19 pandemic and restrictive measures had an extremely unfavorable impact on the global economic situation: deterioration of macroeconomic indicators, falling incomes, rising inflation, etc.…”

Does a sanitary crisis drive oil prices and carbon emissions in the USA? Evidence from VECM modeling

“…Other studies investigated the impact of the COVID-19 pandemic on the oil price fluctuations (Atri et al, 2021;Adedeji et al, 2021;Le et al, 2021, Alqahtani et al, 2021Bourghelle et al, 2021;Azomahou et al, 2021), while other recent researches focused on the relationship between COVID-19 and environmental degradation (Syed and Ullah 2021;Wu et al, 2021). Despite the interesting idea, the literature is less conclusive and unambiguous on the impact of a sanitary crisis on, simultaneously, economic growth, environmental degradation, and oil price.…”

Evaluating the COVID-19 response policy's impact on carbon dioxide emissions in the top four CO2 emission countries

“…The stringency policy through restrictions on human movement and daily outdoor activities (Othman and Latif, 2021), therefore, have reduced the hustle and bustle of economic activities and temporarily improved air quality (Abdullah et al, 2020). Carbon dioxide (CO 2 ) emissions have been reduced practically all around the world as a result of the governments' lockdown measures (Syed and Ullah, 2021), the main signal coming from China. At the point when the nation forced an exacting lockdown in late January 2020, the direct emissions of air pollution had reduced sharply (Wang et al, 2020a).…”

“…, 2020). Carbon dioxide (CO 2 ) emissions have been reduced practically all around the world as a result of the governments' lockdown measures (Syed and Ullah, 2021), the main signal coming from China. At the point when the nation forced an exacting lockdown in late January 2020, the direct emissions of air pollution had reduced sharply (Wang et al.…”