Study of the industrial sectors of Bangladesh to analyse sectoral GHG emissions via SDA in an environmentally extended IO table

This study has been conducted to understand the patterns of greenhouse gas emissions in the industrial sectors of Bangladesh and to analyse the driving forces behind these patterns. Environmentally extended input−output tables of Bangladesh for the period from 1991 − 2021 from the EORA database and Asian Development Bank have been used in this paper. Through structural decomposition analysis, the driving forces influencing carbon emissions, such as carbon emission intensity, the Leontief effect, the industrial structure of final demand, and the total final demand effect, have been analysed. The results show that emission intensity and final demand play the most important roles in the increase in emissions, whereas the Leontief effect has a decreasing impact on greenhouse gas emissions. In addition, sectoral-level analysis reveals that a volumetric increase in the electricity, gas and water sector and an escalating shift in the transport sector positively impact the increase in GHG gas emissions.