Academy of Strategic Management Journal (Print ISSN: 1544-1458; Online ISSN: 1939-6104)

Abstract

Innovative Multivariate Energy Governance Model for Climate Compatible Development: The Case of Pakistan

Author(s): Kanwar Muhammad Javed Iqbal, Sergey Yevgenievich Barykin, Andrei Viktorovich Kharlamov, Tatiana L???vovna Kharlamova, Muhammad Irfan Khan

Energy sector has quite challenging path for sustainable and Climate Compatible Development (CCD) due to various governance issues worldwide. Pakistan’s Nationally Determined Contribution (NDC) Statement 2016 committed to curtail its present 46% GHG emission which is likely to increase up to 56% by 2030 and the target is set to reduce it by 20% with estimated abatement cost of 40 billion US$. The sustainability agenda for a low carbon and resilient future under SDG-7 and SDG-13 requires inclusive governance mechanism to devise and implement energy sector specific holistic climate response strategies with cross-sectoral integrations at all constituencies’ level in Pakistan. This paper resulted from a study aimed to produce governance indices for assessing adequacy of overall state of energy governance for CCD by employing an innovative mix-method analysis model, based on six governance components and MCDA method with SMART’s Ratio Scale. Six novel principles of climate governance and good governance with 281 Indicators of 09 CCD Criteria were used for cross-section data collected through 340 KIIs and 17 FGDs. Empirical results provide baseline and decipher that country’s climate response towards energy governance is in readiness phase and the null hypothesis of basic research question retained. Statistical validation of results was done by employing Non-parametric Kruskal-Wallis test, 1-tailed Pearson Correlation and Regression. It indicates lack of political will, inadequate fiscal resources, overlapping policy instruments and their implementation problem, coordination issues between constituencies after 18th amendment in national Constitution and actor’s capacity gaps as key limiting factors, and suggests a way forward. Finally, it looks at implications of this model for open innovation concept.

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