The Nexus between Hydropower Energy and Environmental Quality: Evidence from Granger Causality and Wavelet Coherence

Authors

  • Iin Shabrina Hilal Department of Civil Engineering, Faculty of Engineering, Universitas Syiah Kuala, Banda Aceh 23111, Indonesia
  • Ghalieb Mutig Idroes Energy and Green Economics Unit, Graha Primera Saintifika, Aceh Besar 23371, Indonesia

DOI:

https://doi.org/10.60084/ljes.v4i2.403

Keywords:

Climate change, Envionmental quality, Sustainability, Energy, Analysis

Abstract

This study examines the relationship between hydropower energy and environmental quality in Indonesia over the period 1965–2024 using Granger causality and wavelet coherence approaches. Environmental quality is proxied by ecological footprint (EFP), greenhouse gas emissions (GHG), and carbon dioxide emissions (CO2). The findings reveal that unidirectional causality runs from EFP and CO2 to hydropower. In contrast, bidirectional causality is observed between hydropower and GHG. Furthermore, the wavelet coherence results show that these relationships are time-varying and frequency-dependent, broadly supporting the Granger causality findings while revealing how they evolve across different time horizons. Overall, the findings indicate that hydropower development in Indonesia is primarily driven by ecological footprint and carbon emissions, while its relationship with GHG emissions is characterized by mutual interaction, highlighting a differentiated and time-varying linkage across environmental indicators. This suggests that hydropower planning should be more closely aligned with environmental trends rather than treated as an independent driver of environmental improvement.

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2026-09-06

How to Cite

Hilal, I. S., & Idroes, G. M. (2026). The Nexus between Hydropower Energy and Environmental Quality: Evidence from Granger Causality and Wavelet Coherence. Leuser Journal of Environmental Studies, 4(2), 113–125. https://doi.org/10.60084/ljes.v4i2.403

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Vol. 4 No. 2 (2026): October 2026 (In Press)

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