Current World Environment

Environmental Impact of Tanzania’s Economic Transition Shaped by Industrialisation, Urbanisation, Energy Consumption, and Investment

Dorika Jeremiah Mwamtambulo ^*

¹ Department of Accounting and Finance, The University of Dodoma, Dodoma, The United Republic of Tanzania

Corresponding author Email: mwamtambulo@yahoo.co.uk

DOI: http://dx.doi.org/10.12944/CWE.20.3.12

Abstract

This research analyses the key factors influencing carbon dioxide (CO2) emissions in Tanzania by incorporating economic structure, population dynamics, and technological advancement. Using the Autoregressive Distributed Lag (ARDL) approach alongside the Error Correction Model (ECM), the study evaluates both short-term and long-term impacts of industrial expansion, financial sector development, urban growth, technological progress, trade integration, renewable energy consumption, and foreign direct investment on CO2 emission levels. The findings revealed that industrialisation, renewable energy usage, and managed urbanisation are associated with a long-term reduction in CO2 emissions, while rapid urbanisation and technological innovation are associated with increased emissions in the short run, though these effects are temporary. The study highlighted the complex interplay between development, urbanisation, and environmental outcomes in Tanzania and highlights the need for balanced policy interventions to achieve sustainable growth.

Keywords

CO2 emission; Industrialisation; Renewable energy usage; Technological innovation; Tanzania

Copy the following to cite this article:

Mwamtambulo D. J. Environmental Impact of Tanzania’s Economic Transition Shaped by Industrialisation, Urbanisation, Energy Consumption, and Investment. Curr World Environ 2025;20(3). DOI:http://dx.doi.org/10.12944/CWE.20.3.12

Copy the following to cite this URL:

Mwamtambulo D. J. Environmental Impact of Tanzania’s Economic Transition Shaped by Industrialisation, Urbanisation, Energy Consumption, and Investment. Curr World Environ 2025;20(3).

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