Impact Of Energy Supply On Industrial Output In Nigeria:- Obinyeluaku, Emmaunel U

ABSTRACT

 This study investigates the impact of public expenditure on the economic growth of nigeria (1981-2018) using the ordinary least square method which incorporates endogenity in its estimation, the unit root test was carried out for each of the variables using the adj (augmented dickey fuller) which shows that rgdp is stationary at 2° difference, while energy generated and energy supply are stationary at JS' difference. The cointegraton was also conducted to determine if there.exists a long run relationship among variables. Finding from the study shows that energy supply (ecn) has a positive and significant impact on real gross domestic product, therefore, we reject the null hypothesis and conclude that energy supply has a significant impact on real gross domestic product. From the granger causality test conducted, it is seen that energy supply has a unilateral causal relationship with gross domestic product. Therefore, we reject the null hypothesis and conclude that there is a causal relationship between energy supply and real gross domestic product. The study recommends among others that the government should fully exploit and promote renewable energy resources, energy efficiency practices, as well as applying energy conservation measures in the industrial sector. Nigeria should diversify the energy sources in industrial sector, domestic and commercial sectors and also adopt new technologies to help reduce energy wastage and also save cost.