Abstract:
The relationship between the use of energy, GDP and CO2 emissions in Rwanda within side the duration of 1990-2019 were analyzed by the use of VECM. Primarily, the main problem leading to performing this study was to discover the cause of CO2 emissions in Rwanda, referring on current status of CO2 emissions which was 0.08metric tons in 2020. The main goal for the research is to discover the effects of energy usage in Rwanda on CO2 emissions in atmosphere. Furthermore, other objective is the analysis of causal relationship among GDP and CO2 emissions. One of the recognize methods of analyzing causal relationship scenarios known VEC model were used to analyze the Effects of Energy usage on CO2 Emissions in Rwanda. With the help of VECM, the results show that there is long-term correlation among GDP and CO2 emissions. It turned into determined that the rise of 1.07% of Energy consumed (in TJ) is associated with a rise of 1% of million tons of CO2 emissions. Findings confirm that more energy use results in more CO2 emissions. However, the rise of 0.02% in GDP per capita is associated with 1% increase of metric tons of carbon emitted in atmosphere. Moreover, in shortrun analysis energy usage same as GDP per capita resulted in CO2 emissions. In short, increase of GDP per capita requires energy usage; some of the energy used generates CO2 emissions.
The researcher recommends that the government should enforce policies and strategies related to the use of green energy in order to reduce CO2 emissions. Society is recommended to reduce the use of oil fueled vehicles in favor of charged vehicles and motor cycles.
