The impact of economic complexities and energy security on energy efficiency indicators in Iran

Articles in Press

Document Type : Research Article

Authors

1 Associate professor, Department of Economic, Faculty of Humanities and Social Sciences, University of Kurdistan, Sanandaj, Iran.

2 Ph.D. Student in Economics, Department of Economic, Faculty of Humanities and Social Sciences, University of Kurdistan, Sanandaj, Iran

10.22034/jepr.2025.144222.1294

Abstract

Given the vital role of energy in economic development and the growing importance of sustainable energy sources, analyzing the factors that influence energy productivity is highly significant. This paper examines the impact of economic complexity and energy security risk on energy efficiency indicators in Iran. Using macroeconomic data and indices related to energy security and economic complexity, the relationship between these factors and energy productivity was analyzed over the period 1995–2023 employing the Fully Modified Ordinary Least Squares (FMOLS) method. The findings indicate that economic complexity has a positive and significant relationship with energy intensity and carbon emissions, implying that an increase in economic complexity is associated with higher energy consumption and environmental pollution. Conversely, energy security risk shows a negative and significant relationship with energy intensity and a positive and significant relationship with carbon emissions; in other words, as energy security risk increases, energy intensity decreases, but carbon emissions rise. These results highlight the complex interactions between economic indicators and energy security factors and underscore the importance of simultaneously addressing these elements to improve energy productivity and reduce environmental pollution in Iran.

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Main Subjects

Journal of Economic Policies and Research

Articles in Press, Accepted Manuscript
Available Online from 02 November 2025

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History

  • Receive Date: 04 August 2025
  • Revise Date: 27 October 2025
  • Accept Date: 02 November 2025
  • Publish Date: 02 November 2025

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