Energy Efficiency and Energy Rebound Effect in Pakistan


  • Farahnaz Turi university of peshawar
  • Dr Kashif Saeed khan Assistant professor of Economics, Department of Economics, University of Peshawar Pakistan
  • Dr. Yasir Arafat


Energy rebound effect, technological improvement, energy saving, energy efficiency



Energy is at the center of worldwide concern, and estimating energy rebound effects is of critical importance for energy policy. In this research the impact of technical development that causes increase in energy consumption is calculated, which is based on the estimation of the three components of the production function: i.e. labor, capital and aggregate energy consumption. Pakistan's energy rebound effect in terms of technological progress is estimated over the past 37 years for the period of 1984-2021, with a Cob-Douglas production function. The outcomes show that the energy rebound effect varies significantly from year to year, with an average level of -244.246%. This specifies that energy conservation potential is achieved by technological progress. Technological developments, lead to improved efficiency of energy and reduced energy utilization. Therefore, improving the energy consumption structure could help to decrease the energy rebound effect and increase energy conservation. It is therefore recommended to relay more on non-renewable resources instead of renewable resources, new inventions and better energy policies could decrease the consumption of energy.

Key words: energy rebound effect, technological improvement, energy saving, energy efficiency

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