Examining the impact of tourism on carbon neutrality and environmental sustainability in China: The role of renewable energy

Abstract

The increasing effects of climate change have prompted the initiation of various programs aimed at achieving carbon neutrality and environmental sustainability. Tourism, through activities such as air travel and hotel stay, significantly contributes to global warming. This study examines the relationship between carbon emissions and tourism in China, using data from 1990 to 2022, and applies the Autoregressive Distributed Lag (ARDL) approach to estimate both long-run and short-run coefficients. The results indicate that tourism exacerbates the challenges China faces in achieving carbon neutrality, with long-term carbon emissions being positively correlated with the number of travelers, fossil fuel energy consumption, economic growth, financial development, gross fixed capital formation, and population growth. However, a negative correlation is observed between carbon emissions and the use of renewable energy. These findings are further validated through Fully Modified Ordinary Least Squares (FMOLS), Dynamic Ordinary Least Squares (DOLS), and Canonical Cointegration Regression (CCR) techniques. The study suggests that enhancing the use of renewable energy is crucial for developing sustainable tourism practices and aiding China in its efforts to reach carbon neutrality.