International Journal of Scientific Engineering and Science Volume 9, Issue 9, pp. 76-83, 2025. ISSN (Online): 2456-7361 76 http://ijses.com/ All rights reserved Energy Consumption and Unemployment in Nigeria: An Autoregressive Distributed Lag (ARDL) Investigation Adaora Edna Uzokwe, Alwell Nteegah, Boniface Oriji Emerald Energy Institute, University of Port Harcourt. Abstract— The high level of unemployment in spite of the vast energy resource in Nigeria make it imperative to examine how energy consumption has affected unemployment in Nigeria over the period 1990 - 2023. The study proxied energy consumption by automotive gas oil consumption, premium motor spirit consumption, solar energy consumption, hydropower energy, natural gas-to-power consumption. while unemployment in Nigeria was measured by unemployment rate. The data were sourced from the World Bank, National Bureau of Statistics Nigerian National Petroleum Company Ltd annual reports amongst others. The models specified were estimated using the Autoregressive Distributive Lag estimation technique after conducting the required pre-estimation tests. The results showed that: Automotive gas oil consumption and premium motor spirit consumption reduced unemployment rate, solar energy consumption retarded unemployment rate in the short-run and long-run, hydropower energy consumption had negative effect on unemployment while natural gas-to-power consumption also has a negative and significant effect on unemployment rate in the short-run but has a positive and significant effect on unemployment rate in the long-run. Sequel to the findings, the study recommends; increase investment in renewable energy source, domestic refining of crude oil and building of gas infrastructure in order to stabilise price and enhance reduce unemployment in Nigeria. Keywords— Automotive gas oil consumption, premium motor spirit consumption, solar power consumption, natural gas consumption and unemployment rate. I. INTRODUCTION In recent times, many nations aspire for accelerated economic growth and development through implementation of some targeted plan that requires higher energy consumption to boost industrial activities. As such, energy plays a crucial role in the economic growth and development of all nations (Kaygusuz, 2009). Umeh, Ochuba, and Ugwo (2019) state that energy is an essential economic resource that greatly affects people's health, education, employment, industrial advancement, and prosperity as a whole. To fully enjoy economic growth and development, there must be an adequate supply of energy and efficient application of that energy. Africa and other emerging nations have social and economic challenges that energy cannot solve on its own. However, the inability to get inexpensive and dependable energy services is acknowledged as a substantial obstacle to any nation's progress. Consequently, without appropriate energy consumption, affordability of contemporary energy services, and a enough energy capacity, economic growth and development may be hindered (Nkoro, et al 2019). Energy consumption plays a foundational role in driving industrialization and agricultural productivity, two critical pillars of economic development. In both developed and emerging nations, energy is the lifeblood of production. Manufacturing processes rely heavily on electricity and fuel to power machinery, operate plants, and facilitate logistics. In Nigeria, industries i.e. cement, textiles, and food processing depend on a stable energy supply to maintain productivity and ensure competitiveness in both domestic and international markets. Without sufficient energy, industries operate below capacity, leading to reduced output, job losses, and revenue decline. In agriculture, energy is vital for irrigation systems, mechanized farming equipment, fertilizer production, and post- harvest storage. As energy consumption increases and becomes more accessible and affordable, farmers are able to expand their activities, rise yields, and reduce food losses. This enhances food security, raises rural incomes, and promotes job creation and reduces poverty cross the economy. As an result, rising energy consumption directly supports higher output, economic diversification, and resilience, which are all crucial for long term employment generation (Ikpe & Oyedeji, 2023). In furtherance, energy consumption substantially contributes to employment generation and entrepreneurship development. A growing energy sector, particularly in electricity generation, distribution, and renewable energy, creates both direct and indirect job opportunities. Directly, it employs engineers, technicians, and utility workers in building and maintaining energy infrastructure. Indirectly, it supports millions of Micro, small, and medium enterprises (MSMEs) by enabling them to operate more efficiently and expand their production (Okeoma, Nwachukwu, Ezeonye & Osatemple, 2023). More importantly, the International Renewable Energy Agency (IRENA, 2023) reported that the renewable energy industry employed 13.7 million people worldwide in 2022, with solar energy alone accounting for 4.9 million jobs. In Nigeria, the off-grid solar market has created over 50,000 jobs in installation, maintenance, and sales. Additionally, reliable electricity reduces operational costs for small and medium enterprises (SMEs), which employ over 80 percent of Nigeria’s workforce (Manufacturers Association of Nigeria, 2023). Nigeria, despite being Africa’s largest oil producer, faces severe energy crises that have stifled economic growth, exacerbated increased unemployment. Between 1990 and 2023, the nation’s energy sector has been dominated by inefficient