ABSTRACT: – The aim of this study is to investigate the impact of non-renewable energy (NRE) on economic growth in selected Organization of Petroleum Exporting Countries (OPEC). Secondary data sourced obtained from IEA, WDI, and OPEC database for data between 2014 and 2022 were utilized in this study. The variables employed in this study are RGDP (proxy for economic growth), Non-renewable energy (NRE) and Global competitiveness indicator (GCI). In order to address issues of endogeneity across the OPEC this paper utilized a difference generalized method of moment (GMM) (N>T) and established that NRE is a positive and significant enabler of economic growth in OPEC. On the other hand, the result showed that the global competitiveness Index has a negative impact on economic growth in OPEC. The paper therefore concluded that NRE although a contributor to greenhouse gas (GHG) provides revenue for fiscal operations and is a supplier of cost-effective energy for industry that in turn stimulates economic growth in OPEC. In conclusion, this paper submitted that NRE is a significant enabler of economic growth in OPEC. This study therefore recommended that OPEC should utilize gradual approach in achieving its energy diversification and transition policy since NRE has a robust role in enabling growth in the region.  

Keywords: Economic Growth, NREC, Difference GMM