LAUSR

The aim of the present paper is to determine residential energy environmental Kuznets curve (EKC) in Next-11 and BRICS countries with the specific consideration on the role of economic growth, renewable energy consumption, and financial development from an era of 1990–2015. In order to determine the cross-section independence and to control the heterogeneity between cross-sections in the paper, we have applied unique and advanced techniques of econometrics panel data. Moreover, the following tests have been applied which are the CIPS unit root test, co-integration test, fully modified ordinary least square (FMOLS), and heterogeneous panel causality technique. The outcomes revealed that in the long run, all the variables are co-integrated. Moreover, there is a significant and positive influence of residential energy consumption, economic growth, and financial development on environmental degradation. However, in the reduction of carbon dioxide (CO 2 ) emissions, essential role is performed by renewable energy. On the other hand, findings show great support for the residential energy EKC hypothesis in emerging countries.