Sustaining Low-Carbon Emission Development: An Energy Efficient Transportation Plan for CPEC

Climate change has become a major challenge for sustainable development of human society. This study is an attempt to analyze existing literature to identify economic indicators that hamper the process of global warming. This paper includes case studies based on various countries to examine the nexus for environment and its relationship with Foreign Direct Investment, transportation, economic growth and energy consumption. Furthermore, the observations are analyzed from the perspective of China-Pakistan Economic Corridor (CPEC) and probable impact on carbon emission of Pakistan. A major portion of CPEC investment is allocated for transportation. However, it is evident that transportation sector is substantial emitter of carbon dioxide (CO2) gas. Unfortunately, there is no empirical work on the subject of CPEC and carbon emission for vehicular transportation. This paper infers that empirical results from various other countries are ambiguous and inconclusive. Moreover, the evidence for the pollution haven hypothesis and the halo effect hypothesis is limited in general and inapplicable for CPEC in particular. The major contribution of this study is the proposal of an energy efficient transportation model for reducing CO2 emission. In the end, the paper suggests strategies to climate researchers and policymakers for adaptation and mitigation of greenhouse gases (GHG).

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