Energy Consumption, Power Transmission Losses, and Environmental Degradation in Nigeria

Environmental degradation has become a major challenge in Nigeria due to increasing energy demand, electricity sector inefficiencies, and rising carbon dioxide (CO₂) emissions. This study examined the effects of energy consumption, electric power transmission and distribution losses, economic growth, and population growth on environmental degradation in Nigeria using annual data from 1990-2025 and the Autoregressive Distributed Lag (ARDL) approach. The data were sourced from World Development Bank (WDI.). Unit root, bounds cointegration, and diagnostic tests were conducted to ensure model reliability. The long-run results revealed that energy consumption, economic growth, and population growth positively influenced environmental degradation, while power transmission losses exerted a negative effect; however, these relationships were statistically insignificant. In the short run, energy consumption significantly increased environmental degradation, whereas economic growth, population growth, and power transmission losses exhibited significant dynamic effects. The error correction term confirmed a stable long-run equilibrium. The study recommends investment in renewable energy, modernization of electricity infrastructure, improved energy efficiency, and strengthened environmental policies to achieve sustainable environmental management in Nigeria.

Keywords: Environmental degradation, energy consumption, power transmission losses, ARDL, carbon dioxide emissions, Nigeria.