The Impact of Electricity Consumption on Economic Growth: The Case of Turkiye
نویسندگان
1 Department of Economics, Faculty of Economics and Administrative Sciences, Selçuk University, Konya, Turkiye
2 Chief Tax Inspector, Ministry of Treasury and Finance, Presidency of Tax Inspection Board & High Commission Member, İKSAD (Institute of Economic Development and Social Research), Konya, Turkiye
3 Department of Economics, Zonguldak Bülent Ecevit University Institute of Social Sciences, Zonguldak, Turkiye
doi
10.22097/eeer.2025.521498.1364چکیده
Electricity, as one of the most widely used forms of energy today, is a critical input for production in line with the sustainable development goals of modern economic structures. The dependence of key sectors such as industry, services and agriculture on energy makes electricity consumption both an indicator and a determinant of economic performance. In this context, the interaction between electricity consumption and economic growth in developing economies holds strategic importance not only in terms of energy yield security but also regarding the effectiveness of development policies. The empirical literature reveals various patterns of causality in different directions and forms within this relationship. While some studies argue that electricity consumption is a fundamental determinant of economic growth, others suggest that growth drives electricity demand. Moreover, findings indicating a bidirectional causality, where mutual interaction is observed, are also common. The analysis conducted for the case of Turkey aims to contribute to a more comprehensive understanding of the impact of energy consumption on economic dynamics and to support the structuring of public policies accordingly. In this study, the relationship between electricity consumption and economic growth was examined using quarterly data from 2018 to 2024 through the Granger causality analysis. As a result of the analysis, it was found that economic growth is the Granger cause of electricity consumption.