149
Views
0
CrossRef citations to date
0
Altmetric
Review

On the persistence of sectoral electricity consumption in Iran: a GARCH-based unit root approach

, & ORCID Icon

References

  • Akram, V., P. K. Sahoo, and B. P. Jangam. 2019. Do shocks to electricity consumption revert to its equilibrium? Evidence from Indian states. Utilities Policy 61:100977. doi:10.1016/j.jup.2019.100977.
  • Apergis, N., D. Loomis, and J. E. Payne. 2010a. Are fluctuations in coal consumption transitory or permanent? Evidence from a panel of US states. Applied Energy 87 (7):2424–26. doi:10.1016/j.apenergy.2009.12.005.
  • Apergis, N., D. Loomis, and J. E. Payne. 2010b. Are shocks to natural gas consumption temporary or permanent? Evidence from a panel of US states. Energy Policy 38 (8):4734–36. doi:10.1016/j.enpol.2010.03.016.
  • Apergis, N., and J. E. Payne. 2010. Structural breaks and petroleum consumption in US states: Are shocks transitory or permanent? Energy Policy 38 (10):6375–78. doi:10.1016/j.enpol.2010.06.015.
  • Aslan, A. 2011. Does natural gas consumption follow a nonlinear path over time? Evidence from 50 US States. Renewable and Sustainable Energy Reviews 15 (9):4466–69. doi:10.1016/j.rser.2011.07.105.
  • Aslan, A., and H. Kum. 2011. The stationary of energy consumption for Turkish disaggregate data by employing linear and nonlinear unit root tests. Energy 36 (7):4256–58. doi:10.1016/j.energy.2011.04.018.
  • Bai, J., and P. Perron. 2003. Computation and analysis of multiple structural change models. Journal of Applied Econometrics 18 (1):1–22. doi:10.1002/jae.659.
  • Bank, W. 2007. Iran - Power sector note. World Bank. http://documents.worldbank.org/curated/en/713571468038694421/Iran-Power-sector-note.
  • Barros, C. P., L. A. Gil-Alana, and J. E. Payne. 2012. Evidence of long memory behavior in US renewable energy consumption. Energy Policy 41:822–26. doi:10.1016/j.enpol.2011.11.052.
  • Barros, C. P., L. A. Gil-Alana, and J. E. Payne. 2013. Evidence of long memory behavior in US nuclear electricity net generation. Energy Systems 4 (1):99–107. doi:10.1007/s12667-012-0072-y.
  • Cai, Y., and A. N. Menegaki. 2019. Fourier quantile unit root test for the integrational properties of clean energy consumption in emerging economies. Energy Economics 78:324–34. doi:10.1016/j.eneco.2018.11.012.
  • Cai, Y., and C. Magazzino. 2019. Are shocks to natural gas consumption transitory or permanent? A more powerful panel unit root test on the G7 countries. Natural Resources Forum 43 (2):111–20. doi:10.1111/1477-8947.12169.
  • Caporale, G. M., L. A. Gil-Alana, and M. Monge 2019. Energy consumption in the GCC countries: Evidence on persistence. CESifo Working Paper No.7470.
  • Chen, P.-F., and -C.-C. Lee. 2007. Is energy consumption per capita broken stationary? New evidence from regional-based panels. Energy Policy 35 (6):3526–40. doi:10.1016/j.enpol.2006.12.027.
  • Cook, S. 2008. Joint maximum likelihood estimation of unit root testing equations and GARCH processes: Some finite-sample issues. Mathematics and Computers in Simulation 77 (1):109–16. doi:10.1016/j.matcom.2007.02.009.
  • Demir, E., and G. Gozgor. 2018. Are shocks to renewable energy consumption permanent or temporary? Evidence from 54 developing and developed countries. Environmental Science and Pollution Research 25 (4):3785–92. doi:10.1007/s11356-017-0801-9.
  • Destek, M. A., and S. A. Sarkodie. 2020. Are fluctuations in coal, oil and natural gas consumption permanent or transitory? Evidence from OECD countries. Heliyon 6 (2):1–6. doi:10.1016/j.heliyon.2020.e03391.
  • Enders, W. 2008. Applied econometric time series.New York: John Wiley & Sons.
  • Engle, R. F. 1982. Autoregressive conditional heteroscedasticity with estimates of the variance of United Kingdom inflation. Econometrica: Journal of the Econometric Society 50 (4):987–1007. doi:10.2307/1912773.
  • Erdogan, S., G. Akalin, and O. Oypan. 2020. Are shocks to disaggregated energy consumption transitory or permanent in Turkey? New evidence from fourier panel KPSS test. Energy 197:117–74. doi:10.1016/j.energy.2020.117174.
  • Fallahi, F. 2018. Persistence and stationarity of sectoral energy consumption in the US: A confidence interval approach. Energy and Environment 30 (5):882–97. doi:10.1177/0958305X18813688.
  • Fallahi, F., M. Karimi, and M.-C. Voia. 2016. Persistence in world energy consumption: Evidence from subsampling confidence intervals. Energy Economics 57:175–83. doi:10.1016/j.eneco.2016.04.021.
  • Feng, G.-F., Q.-J. Wang, Y. Chu, J. Wen, and C.-P. Chang. 2019. Does the shale gas boom change the natural gas price-production relationship? Evidence from the US market. Energy Economics 104327. doi:10.1016/j.eneco.2019.03.001.
  • Gil-Alana, L. A., D. Loomis, and J. E. Payne. 2010. Does energy consumption by the US electric power sector exhibit long memory behavior? Energy Policy 38 (11):7512–18. doi:10.1016/j.enpol.2010.07.018.
  • Gil-Alana, L. A., and J. Payne. 2017. Time series dynamics of US retail gasoline prices: Evidence from fractional integration. Energy Sources, Part B: Economics, Planning, and Policy 12 (12):1066–73. doi:10.1080/15567249.2017.1360965.
  • Golpe, A. A., M. Carmona, and E. Congregado. 2012. Persistence in natural gas consumption in the US: An unobserved component model. Energy Policy 46:594–600. doi:10.1016/j.enpol.2012.04.021.
  • Haldrup, N. 1994. Heteroscedasticity in non-stationary time series, some Monte Carlo evidence. Statistical Papers 35 (1):287–307.
  • Hasanov, M., and E. Telatar. 2011. A re-examination of stationarity of energy consumption: Evidence from new unit root tests. Energy Policy 39 (12):7726–38. doi:10.1016/j.enpol.2011.09.017.
  • Hsu, Y.-C., -C.-C. Lee, and -C.-C. Lee. 2008. Revisited: Are shocks to energy consumption permanent or temporary? New evidence from a panel SURADF approach. Energy Economics 30 (5):2314–30. doi:10.1016/j.eneco.2007.09.007.
  • Hu, H., W. Wei, and C.-P. Chang. 2019. Do shale gas and oil productions move in convergence? An investigation using unit root tests with structural breaks. Economic Modelling 77:21–33. doi:10.1016/j.econmod.2018.12.006.
  • IPRC - Islamic Parliament Research Center. 2018. Assessment of dimensions of summer electricity crisis and strategies for coping with it. https://rc.majlis.ir/fa/report/show/1064293.
  • IPRC - Islamic Parliament Research Center. 2019. About energy subsidies in Iran (1. Hidden Subsidies and Its Considerations). https://rc.majlis.ir/fa/mrc_report/show/1305846.
  • Kim, K., and P. Schmidt. 1993. Unit root tests with conditional heteroskedasticity. Journal of Econometrics 59 (3):287–300. doi:10.1016/0304-4076(93)90027-3.
  • Kula, F. 2014. Is per capita electricity consumption non-stationary? A long-span study for Turkey. Energy Sources, Part B: Economics, Planning, and Policy 9 (2):161–64. doi:10.1080/15567249.2010.483447.
  • Kula, F., A. Aslan, and I. Ozturk. 2012. Is per capita electricity consumption stationary? Time series evidence from OECD countries. Renewable and Sustainable Energy Reviews 16 (1):501–03. doi:10.1016/j.rser.2011.08.015.
  • Kum, H. 2012. Are fluctuations in energy consumption transitory or permanent? Evidence from a panel of East Asia and Pacific countries. International Journal of Energy Economics and Policy 2 (3):92–96.
  • Lean, H. H., and R. Smyth. 2009. Long memory in US disaggregated petroleum consumption: Evidence from univariate and multivariate LM tests for fractional integration. Energy Policy 37 (8):3205–11. doi:10.1016/j.enpol.2009.04.017.
  • Lean, H. H., and R. Smyth. 2013. Are fluctuations in US production of renewable energy permanent or transitory? Applied Energy 101:483–88. doi:10.1016/j.apenergy.2012.06.022.
  • Lean, H. H., and R. Smyth. 2014. Are shocks to disaggregated energy consumption in Malaysia permanent or temporary? Evidence from LM unit root tests with structural breaks. Renewable and Sustainable Energy Reviews 31:319–28. doi:10.1016/j.rser.2013.10.040.
  • Lean, H. H., V. Mishra, and R. Smyth. 2016. Conditional convergence in US disaggregated petroleum consumption at the sector level. Applied Economics 48 (32):3049–61. doi:10.1080/00036846.2015.1133901.
  • Lee, J., and M. C. Strazicich. 2003. Minimum Lagrange multiplier unit root test with two structural breaks. The Review of Economics and Statistics 85 (4):1082–89. doi:10.1162/003465303772815961.
  • Ling, S., W. Li, and M. McAleer. 2003. Estimation and testing for unit root processes with GARCH (1, 1) errors: Theory and Monte Carlo evidence. Econometric Reviews 22 (2):179–202. doi:10.1081/ETC-120020462.
  • Ling, S., and W. K. Li. 1998. Limiting distributions of maximum likelihood estimators for unstable autoregressive moving-average time series with general autoregressive heteroscedastic errors. The Annals of Statistics 26 (1):84–125. doi:10.1214/aos/1030563979.
  • Magazzino, C. 2017. Is per capita energy use stationary? Time series evidence for the EMU countries. Energy Exploration and Exploitation 35 (1):24–32. doi:10.1177/0144598716679926.
  • Maslyuk, S., and R. Smyth. 2009. Non-linear unit root properties of crude oil production. Energy Economics 31 (1):109–18. doi:10.1016/j.eneco.2008.09.004.
  • Mishra, A., V. Mishra, and R. Smyth. 2015. The random-walk hypothesis on the Indian stock market. Emerging Markets Finance and Trade 51 (5):879–92.
  • Mishra, V., and R. Smyth. 2016. Are natural gas spot and futures prices predictable? Economic Modelling 54:178–86. doi:10.1016/j.econmod.2015.12.034.
  • Mishra, V., S. Sharma, and R. Smyth. 2009. Are fluctuations in energy consumption per capita transitory? Evidence from a panel of Pacific Island countries. Energy Policy 37 (6):2318–26. doi:10.1016/j.enpol.2009.02.022.
  • Narayan, P. K., and R. Liu. 2011. Are shocks to commodity prices persistent? Applied Energy 88 (1):409–16. doi:10.1016/j.apenergy.2010.07.032.
  • Narayan, P. K., and R. Liu. 2015. A unit root model for trending time-series energy variables. Energy Economics 50:391–402. doi:10.1016/j.eneco.2014.11.021.
  • Narayan, P. K., R. Liu, and J. Westerlund. 2016. A GARCH model for testing market efficiency. Journal of International Financial Markets, Institutions and Money 41:121–38. doi:10.1016/j.intfin.2015.12.008.
  • Narayan, P. K., and R. Smyth. 2007. Are shocks to energy consumption permanent or temporary? Evidence from 182 countries. Energy Policy 35 (1):333–41. doi:10.1016/j.enpol.2005.11.027.
  • Narayan, P. K., S. Narayan, and R. Smyth. 2008. Are oil shocks permanent or temporary? Panel data evidence from crude oil and NGL production in 60 countries. Energy Economics 30 (3):919–36. doi:10.1016/j.eneco.2007.07.005.
  • Narayan, P. K., S. Narayan, and S. Popp. 2010. Energy consumption at the state level: The unit root null hypothesis from Australia. Applied Energy 87 (6):1953–62. doi:10.1016/j.apenergy.2009.10.022.
  • Narayan, P. K., and S. Popp. 2010. A new unit root test with two structural breaks in level and slope at unknown time. Journal of Applied Statistics 37 (9):1425–38. doi:10.1080/02664760903039883.
  • Narayan, P. K., and S. Popp. 2013. Size and power properties of structural break unit root tests. Applied Economics 45 (6):721–28. doi:10.1080/00036846.2011.610752.
  • NG, H. R., and K. P. Lam 2006. How does sample size affect GARCH Models? 9th Joint International Conference on Information Sciences (JCIS-06). Atlantis Press, Taiwan, ROC.
  • Osman, M., A. Hoque, and G. Gachino. 2018. Structural breaks and energy consumption in the Gulf Cooperation Council Countries: Are random shocks transitory or permanent? Australian Economic Papers 57 (4):446–55. doi:10.1111/1467-8454.12124.
  • Ozcan, B. 2013. Are shocks to energy consumption permanent or temporary? The case of 17 middle east countries. Energy Exploration and Exploitation 31 (4):589–605. doi:10.1260/0144-5987.31.4.589.
  • Ozturk, I., and A. Aslan. 2011. Are fluctuations in energy consumption per capita transitory? Evidence from Turkey. Energy Exploration and Exploitation 29 (2):161–67. doi:10.1260/0144-5987.29.2.161.
  • Öztürk, I., and A. Aslan. 2015. Are fluctuations in electricity consumption permanent or transitory? Evidence from a nonlinear unit root test in high-income OECD countries. Energy Sources, Part B: Economics, Planning, and Policy 10 (3):257–62. doi:10.1080/15567249.2010.543947.
  • Pan, L., and S. Maslyuk-Escobedo. 2019. Stochastic convergence in per capita energy consumption and its catch-up rate: Evidence from 26 African countries. Applied Economics 51 (24):2566–90. doi:10.1080/00036846.2018.1549793.
  • Perron, P. 1989. The great crash, the oil price shock, and the unit root hypothesis. Econometrica: Journal of the Econometric Society 57 (6):1361–401. doi:10.2307/1913712.
  • Pindyck, R. S. 1986. Risk aversion and determinants of stock market behavior (No. w1921). National Bureau of Economic Research.
  • Salisu, A. A., and A. I. Adeleke. 2016. Further application of Narayan and Liu .2015. unit root model for trending time series. Economic Modelling 55:305–14. doi:10.1016/j.econmod.2016.02.026.
  • Salisu, A. A., U. B. Ndako, and T. F. Oloko. 2019. Assessing the inflation hedging of gold and palladium in OECD countries. Resource Policy 62:357–77. doi:10.1016/j.resourpol.2019.05.001.
  • Salisu, A. A., U. B. Ndako, T. F. Oloko, and L. O. Akanni. 2016. Unit root modelling for trending stock market series. Borsa Istanbul Review 16 (2):82–91. doi:10.1016/j.bir.2016.05.001.
  • Seo, B. 1999. Distribution theory for unit root tests with conditional heteroskedasticity. Journal of Econometrics 91 (1):113–44. doi:10.1016/S0304-4076(98)00051-7.
  • Shahbaz, M., A. K. Tiwari, F. A. Jam, and I. Ozturk. 2014b. Are fluctuations in coal consumption per capita temporary? Evidence from developed and developing economies. Renewable and Sustainable Energy Reviews 33:96–101. doi:10.1016/j.rser.2014.01.086.
  • Shahbaz, M., A. K. Tiwari, I. Ozturk, and A. Farooq. 2013. Are fluctuations in electricity consumption per capita transitory? Evidence from developed and developing economies. Renewable and Sustainable Energy Reviews 28:551–54. doi:10.1016/j.rser.2013.08.007.
  • Shahbaz, M., N. Khraief, M. K. Mahalik, and K. U. Zaman. 2014a. Are fluctuations in natural gas consumption per capita transitory? Evidence from time series and panel unit root tests. Energy 78:183–95. doi:10.1016/j.energy.2014.09.080.
  • Solarin, S. A., and H. H. Lean. 2016. Are fluctuations in oil consumption permanent or transitory? Evidence from linear and nonlinear unit root tests. Energy Policy 88:262–70. doi:10.1016/j.enpol.2015.10.034.
  • Solarin, S. A., L. A. Gil-Alana, and C. Lafuente. 2019. Persistence in carbon footprint emissions: An overview of 92 countries. Carbon Management 10 (4):405–15. doi:10.1080/17583004.2019.1620038.
  • Tavanir. 2017. Electric power industry in Iran. Tehran: Islamic Republic of Iran, Ministry of Energy and Tavanir Expert Holding Company.
  • Wang, Y., L. Li, J. Kubota, X. Zhu, and G. Lu. 2016. Are fluctuations in Japan’s consumption of non-fossil energy permanent or transitory? Applied Energy 169:187–96. doi:10.1016/j.apenergy.2016.02.009.
  • Yilanci, V., and Ç. B. Tunali. 2014. Are fluctuations in energy consumption transitory or permanent? Evidence from a Fourier LM unit root test. Renewable and Sustainable Energy Reviews 36:20–25. doi:10.1016/j.rser.2014.04.002.
  • Zhu, H., and P. Guo. 2016. Are shocks to nuclear energy consumption per capita permanent or temporary? A global perspective. Progress in Nuclear Energy 88:156–64. doi:10.1016/j.pnucene.2015.12.013.

Reprints and Corporate Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

To request a reprint or corporate permissions for this article, please click on the relevant link below:

Academic Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

Obtain permissions instantly via Rightslink by clicking on the button below:

If you are unable to obtain permissions via Rightslink, please complete and submit this Permissions form. For more information, please visit our Permissions help page.