Environ Sci Pollut Res Int. 2023 Dec 1. doi: 10.1007/s11356-023-30763-7. Online ahead of print.
This analysis explores the complicated relationship between oil price fluctuations, the oil industry’s finances, and the resulting increase or decrease in carbon emissions. Oil price changes have far-reaching effects on the global economy because of its dependence on fossil fuels; therefore, understanding these patterns is essential for effective policymaking and long-term energy planning. The study uses a dataset built from secondary data collected in China over 15 years, starting in 2008 and ending in 2022. This information comes from a wide range of authoritative places, including public records, trade journals, university studies, and the records of international organizations, and provides a solid foundation for study. Oil prices on a global and national scale, oil sector financial performance indicators (such as revenues, earnings, and investment levels), and carbon emission statistics are all significant factors under investigation. As one of the world’s largest oil consumers, China has been singled out in this study to allow for a more comprehensive analysis of reactions within this crucial subset of the energy industry. To understand the complex interplay between oil price shocks, the financial dynamics of the oil sector, and carbon emissions, the research utilizes statistical and econometric methods, most notably time-series analysis and regression models. The results are meant to shed light on how oil price shocks consistently affect the monetary aspects of the oil business and, by extension, the patterns in carbon emissions. This study helps us understand these vital interrelationships more completely and nuancedly.