Skip to content
Research Article Open access CC BY 4.0

Effect of Non - Renewable Energy on Manufacturing Output in Nigeria

Abayomi Awujola, Obumneke Ezie, Effiong Emmanuel Sunday

Asian Journal of Economics, Business and Accounting · pp. 182–196 · Published 19 Oct 2023

10.9734/ajeba/2023/v23i211126

Abstract

The role of energy, especially non-renewable energy in promoting manufacturing sector activities and operations in developing countries like Nigeria cannot be over-emphasized. This paper investigated the effect of non-renewable energy on textile and clothing output as a sub-sector of the manufacturing sector in Nigeria using time series data covering the period 1986 to 2021. Expost -Facto design was employed as a guide. The study used annual time series data on hydro-electricity, petroleum and gas energy respectively as components of non-renewable energy and textile and clothing manufacturing sub-sector output in Nigeria spanning from 1986 to 2022.  Data used were obtained from the Central Bank of Nigeria (CBN) Publication and the World Development Indicators (WDI) considered as reliable sources of data for econometric analysis. The ARDL regression technique was used to estimate depicting the relationship between the variables, while the econometric properties of the data were determined using the Phillip-Perron (PP) unit root test and the Bounds cointegration methods. Mean, kurtosis and skewness were employed to describe the data. Results showed among others, that textile and clothing (coefficient, 1.25449; probability value, 0. 000) has significant positive effect on output level. Coal energy consumption (CEC) (coefficient, -6.665467; p, 0.7170), while petroleum energy consumption (PEC) (coefficient, -0.090996; p-value, 0. 6910) had no significant negative effect on textile and clothing output level. Furthermore, gas energy consumption (GEC (coefficient, 19.80158, p, 0.0069) had significant positive effect on textile and clothing output in Nigeria. The Paper concluded that non-renewable energy has no significant effect on textile and clothing output in Nigeria. The study recommended among others, that alternative energy sources, particularly renewable sources should be explored by the federal ministry of petroleum for enhanced economic growth, particularly of textile and clothing output.

Non-Renewable Energy Hydro-electricity Energy Petroleum Energy Gas Energy Textile Clothing Output

References (25)

  1. 1 Increasing Returns and Long-Run Growth [DOI]
  2. 2 Pooled Mean Group Estimation of Dynamic Heterogeneous Panels [DOI]
  3. 3 The global environmental injustice of fast fashion [DOI]
  4. 4 The role of non-renewable energy consumption in economic growth and carbon emission: Evidence from oil producing economies in Africa [DOI]
  5. 5 Circular Economy — Challenges for the Textile and Clothing Industry [DOI]
  6. 6 Supply Chain of Waste Cotton Recycling and Reuse: A Review [DOI]
  7. 7 MEDIATION ROLE OF ENVIRONMENTAL MANAGEMENT ACCOUNTING ON THE EFFECT OF GREEN COMPETITIVE ADVANTAGE ON SUSTAINABLE PERFORMANCE [DOI]
  8. 8 Energy use for economic growth: A trivariate analysis from Tunisian agriculture sector [DOI]
  9. 9 The Effects of Electricity Consumption on Industrial Growth in Nigeria
  10. 10 Modelling the Non-Linear Energy Intensity Effect Based on a Quantile-on-Quantile Approach: The Case of Textiles Manufacturing in Asian Countries [DOI]
  11. 11 Electricity Supply and Manufacturing Output in Nigeria: Autoregressive Distributed Lag (ARDL) Bound Testing Approach
  12. 12 ELECTRICITY CONSUMPTION AND MANUFACTURING SECTOR PERFORMANCE: EVIDENCE FROM NIGERIA [DOI]
  13. 13 ELECTRIC POWER DEFICIT AND ECONOMIC GROWTH IN NIGERIA: A SECTORAL ANALYSIS [DOI]
  14. 14 Do disaggregated manufacturing sectors matter in Nigerias economic growth: VECM approach? [DOI]
  15. 15 Electricity Consumption and Manufacturing Sector Output in Nigeria: Evidence from ARDL Approach [DOI]
  16. 16 Electricity Supply and Manufacturing Sector Output in Nigeria [DOI]
  17. 17 Analysis of Energy Balance on Nigeria’s Economic Growth: Evidence On Electricity Sector: 1970-2010.
  18. 18 Journal of Economics and Sustainable Development [DOI]
  19. 19 International Journal of Energy Economics and Policy [DOI]
  20. 20 JOURNAL OF SUSTAINABILITY SCIENCE AND MANAGEMENT [DOI]
  21. 21 INTERNATIONAL JOURNAL OF ACCOUNTING AND TAXATION [DOI]
  22. 22 East African Scholars Journal of Economics, Business and Management [DOI]
  23. 23 Asian Journal of Economic Modelling [DOI]
  24. 24 Impact of Energy Consumption on Industrial Growth in a Transition Economy: Evidence from Nigeria
  25. 25 Impact of Electricity Consumption on Manufacturing Output in Nigeria From 1980 – 2021 [DOI]

Cited by 0

No indexed citations yet.

Related research

Article metrics

Real usage data collected on this platform.

5

Page views

0

PDF downloads

5

Outbound clicks

0

Citations

Views over time

Views by country

Approximate, from request IP at view time — not citizenship or institution. Countries with fewer than 5 views are grouped as "Other".

Traffic sources

Referring site, by host.

Views and downloads exclude known bots/crawlers. Citations combines this platform's own DOI-resolved index with each external source's own reported total — see Cited by above for individually listed citing works. Last refreshed 0 seconds ago.