HARMONY IN TRANSITION: ASSESSING THE ENVIRONMENTAL LANDSCAPE OF ECONOMIC CHANGE IN CENTRAL ASIA

Abstract

The transition from centrally planned economies to market-based systems in Central Asian countries during the 1990s had profound environmental implications. In 2021, these nations, including Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan, and Uzbekistan, marked the 30th anniversary of their independence from the Soviet Union. This transition brought about significant political, social, and economic changes but also resulted in environmental challenges. This study investigates the environmental consequences of Central Asia's shift from a command-based economy to a market-oriented one. Despite a notable decrease in carbon emissions since 1990, the region still contributes approximately 15 percent of global greenhouse gas emissions. The main drivers of increased CO2 emissions include economic reforms, rising energy consumption, shifting consumption patterns, and environmental policies. To mitigate CO2 emissions, a transition away from solid fuels towards greater reliance on renewable energy sources is essential. This research employs various econometric methods, including unit root tests, cointegration analyses, and causality tests, to explore the relationship between economic reforms and CO2 emissions in Central Asia. The findings reveal the complex dynamics at play and provide insights into policy measures needed to curb emissions and address environmental degradation in the region.