Factors affecting methane emissions in OPEC member countries: does the agricultural production matter?

The aim of this study was to study the factors affecting methane emission in Organization of the Petroleum Exporting Countries (OPEC) member countries. Also, the effect of agricultural production including crop and livestock production on methane emissions is surveyed by employing the environmental Kuznets curve framework. To achieve these goals, a panel data of 11 OPEC member countries were examined over the period of 1995–2012. According to stationary properties of the variables, Hausman test, homogeneity test, cross-sectional dependence test, and co-integration tests, the panel dynamic ordinary least square and error correction model were investigated. The empirical results provided the evidence supporting N-shaped nexus between gross domestic production and methane emission in OPEC member countries. In addition, the results indicated that there is a significant positive relationship between energy consumption and methane emission. Also, results revealed that crop and livestock production have a significant positive effect on methane emission in OPEC member countries. According to the long-run estimated parameters, livestock activities were more likely to cause methane contamination than crop production in agricultural production. The results of this study showed that the OPEC member countries should focus on agricultural crop production instead of livestock production for diversify of their income. Also, a vegetarian diet can have a significant effect on the reduction of the methane emission in OPEC member countries, by decreasing the livestock production demand.