Analyzing The Nexus Between Green Energy, Natural Resources, and Poverty Alleviation In Pakistan

The paper analyses the relationship between green energy derived from renewable natural resources, access to these resources, and poverty alleviation in developing countries like Pakistan. Based on a long sample (1990-2022), this study applies an ARDL dynamic model aiming to investigate the short- and long-run relationship between these variables. Results imply that there is a substantial negative long-run association between green energy consumption and poverty rates; therefore, promoting the consumption of renewable energy could reduce poverty. Paradoxically, resource abundance is associated with an increase in poverty, and hence, effective resource management is necessary to ensure sustainable development. The findings further show that although the increase in human inhabitants only minimally slows poverty reduction, economic expansion and greening of energy policies have a far stronger effect. The model is robust, and there is no trace of multicollinearity or heteroskedasticity, ensuring the reliability of the results. According to these findings, the study suggests that it is necessary to adopt comprehensive policies to facilitate the development of clean energy and the optimal use of resources to achieve sustainable economic growth and living standards without sacrificing ecological and social dimensions.