مجلة الباحث الإقتصادي
Volume 13, Numéro 2, Pages 45-57
2025-12-30

The Role Of Energy Taxes And Renewable Energy Consumption In Achieving Carbon Neutrality: Case Of Sweden

Authors : Hassini Hamida . Meftah Saliha .

Abstract

Abstract : The primary aim of this research is to investigate the role of energy tax reforms, renewable energy use, and economic growth in terms of carbon dioxide (CO2) emissions for Sweden. Using yearly data from 1995–2023, we have estimated a nonlinear autoregressive distributed lag (NARDL) model. The findings portray the role of positive energy consumption trends of renewable sources and taxation in mitigating the adverse impacts of economic activities and boosting growth that degrade the environment, particularly with the ongoing use of fossil fuels, which enhances environmental degradation. Thus, Sweden's new environmental policy calls for continuity above all, as well as support and promotion of renewable utilization of energy in the majority of activities, with extra taxation than the existing rate to lead economic agents' conduct maximally towards sustainable activities. This will allow it to reach its carbon neutrality target.

Keywords

Renewable energy ; Energy tax ; CO2 emissions ; (NARDL) model ; Sweden