The nexus between ecological footprint, economic growth, and energy poverty in sub-Saharan Africa: a technological threshold approach

In this study, we investigate the impact of energy poverty on macroeconomic variables. In particular, this study focuses on the technological threshold-based energy poverty approach due to its merits over other techniques to explore the dynamic link between ecological footprint and energy poverty in sub-Saharan African countries from 1995 to 2018. To do so, this study uses second-generation panel unit root and panel cointegration tests. First, the results derived from the cointegration tests reveal the existence of a long-run relationship among the selected variables. Second, this study applies both the random effect model and fully modified ordinary least squares estimates to calculate the long-run elasticities. The results obtained from the above tests indicate that energy poverty significantly reduces the ecological footprint; however, it does not affect the economic growth in sub-Saharan Africa. Therefore, from a policy perspective, developing countries can target energy poverty as a development indicator for protecting the environment.