The geopolitical risk index effect on the energy market, emissions and climate change

Over time, global crises have affected the energy market much more than major geopolitical events. In recent years, humanity has been faced with the Covid 19 crisis, which has caused great disruption in the energy market and unprecedented phenomena in oil prices. Also, during the same period, due to the decrease in global production and the low demand for energy, there were unusually large reductions in emissions across the planet. In the post-covid era, the world is faced with the crisis of the Russian -Ukrainian war and the corresponding surge in gas and oil prices. As these critical geopolitical events have the dynamic to affect the entire world, this investigation utilizing the Geopolitical Risk index of Caldara and Iacoviello (2021) aims to identify if events related to energy, green investments, or measures of pollutant emission assessments can be predicted. I) Can the Geopolitical Risk Factor (GPR) be a tool for predicting events related to the energy crisis? II) GPR can be a reference point for green investments III) Does the GPR have the possibility to be a measure of pollutant emission assessment?