Using territorial- and consumption-based carbon emissions as proxies for carbon risk, the study examined the impact of innovation on carbon risk while controlling for institutional quality and financial development effects in the BRICS countries (Brazil, Russia, India, China, and South Africa) from 1986 to 2021. To address cross-sectional dependence and ensure robustness, we employed the augmented mean group (AMG) and cross-sectional autoregressive distributed lags (CS-ARDL) estimation techniques.

Emerging countries including Ghana have witnessed significant growth in their industrialisation and urbanisation. Getting an understanding of their effects on carbon emissions has gained the attention of researchers in recent times. However, the extant studies lack analysis of the moderating role of an electricity crisis on the carbon emission effect of urbanisation and industrialisation. This study assesses the environmental effect of industrialisation and urbanisation in Ghana by analysing how the electricity crisis interacts with the two to affect carbon emissions.