ABSTRACT
This study employs Fully Modified Ordinary Least Squares, Common Correlated Effects and Dumitrescu-Hurlin panel causality techniques to investigate the environmental impacts of nuclear energy generation in European Union countries from 1990 to 2022. The ongoing debate within the European Union and the empirical contradictions in the literature, coupled with the overall singular-dimensionality surrounding the impacts of nuclear energy on the environment, necessitate a broader and comprehensive examination of its effects across various environmental dimensions. These dimensions include the presence of CO2 emissions and the ecological footprint generated. The findings reveal that nuclear energy adoption by countries tends to affect CO2 emissions but this relationship goes from CO2 to nuclear energy consumption as per the causality test, while the ecological footprint variable does not exhibit a causal relationship with nuclear energy consumption. We estimated that a higher presence of air pollutants promotes the generation of nuclear energy as an alternative to fossil fuel energy sources. The study highlights that while nuclear energy generation produces no air pollution, it does impose significant land use requirements, potentially leading to ecosystem degradation. Factors such as uranium extraction, nuclear waste management, disposal, and accidents contribute to this impact. Further research is needed to understand the specific mechanisms and factors contributing to the observed environmental degradation associated with nuclear energy generation.
