Predictive analysis of CO₂ emissions and the role of environmental technology, energy use and economic output: evidence from emerging economies

In 2019. the BICS (Brazil, India, China and South Africa) group remained not only one of the largest global CO₂ emitter, but also most of the projected carbon emissions in the future and highly vulnerable to negative impacts of climate are associated with them. However, the recent literature finds number of studies having contradictory numbers about present and future carbon emissions in the BICS. It does not only affect the existing environmental regulations in the BICS but also mislead the future policy framework for the climate change. Thus, this study develops comprehensive forecasting model using Grey system theory approach for policy analysis. The variables (i.e. CO₂ emissions, environmental related technological change, fossil fuel and renewable energy consumption, and economic output) are used to predict CO₂ emissions. The results find that the emissions intensity will continue to rise in BICS region. However, the significant progress at environmental technology front can reduce the CO₂ emissions intensity while achieving the economic growth targets. The results also find that the fossil fuels will remain the significant source of energy mix in BICS countries. The use of renewable energy is expected to increase during the projection period. The results are useful for BICS countries in shaping future environmental policy.