Exploring the impact of green technology, renewable energy and globalization towards environmental sustainability in the top ecological impacted countries

Abstract

Green environmental technologies, renewable energy and globalization are interconnected pillars that impact economies and societies. By effectively fostering these resources, environmental policies can help achieve economic prosperity, sustainable development and environmental protection. The current study seeks to address environmental and economic predicaments by empirically examining the role of green technology and renewable energy in influencing the load capacity factor and ecological footprint with the highest ecological impact. Given that these nations are also significant players in the global economy, we also examine the impact of Globalization and economic growth within econometric investigation. The current study uses moments quantile regression (MMQR) as an econometric strategy to report that while innovations in green technology and renewable energy positively influence load factor capacity and help reduce ecological footprint, certain facets of globalization worsen the ecological footprint, thereby unsettling its load factor capacity. These findings underscore the pressing need for policymakers to prioritize integrating environmental and trade policy agreements to ensure progress towards long-term environmental goals.

Keywords

Green technology / Renewable Energy / Globalization / Ecological footprint / Load factor capacity

References

A.O. Acheampong, S. Adams, E. Boateng. Do globalization and renewable energy contribute to carbon emissions mitigation in Sub-Saharan Africa?. Sci. Total Environ., 677 (2019), pp. 436-446,

S. Afshan, I. Ozturk, T. Yaqoob. Facilitating renewable energy transition, ecological innovations and stringent environmental policies to improve ecological sustainability: Evidence from MM-QR method. Renew. Energy, 196 (2022), pp. 151-160,

A. Ahmad, Y. Zhao, M. Shahbaz, S. Bano, Z. Zhang, S. Wang, Y. Liu. Carbon emissions, energy consumption and economic growth: An aggregate and disaggregate analysis of the Indian economy. Energy Policy, 96 (2016), pp. 131-143,

M. Ahmed, K. Shimada. The effect of renewable energy consumption on sustainable economic development: Evidence from emerging and developing economies. Energies (Basel), 12 (2019), p. 2954,

R. Aichele, G. Felbermayr. Kyoto and the carbon footprint of nations. J. Environ. Econ. Manage., 63 (2012), pp. 336-354

A. Antimiani, V. Costantini, E. Paglialunga. Fossil fuels subsidy removal and the EU carbon neutrality policy. Energy Econ., 119 (2023), Article 106524,

B. Aslam, J. Hu, M. Hafeez, D. Ma, T.S. AlGarni, M. Saeed, M.A. Abdullah, S. Hussain. Applying environmental Kuznets curve framework to assess the nexus of industry, globalization, and CO2 emission. Environ. Technol. Innov., 21 (2021), Article 101377,

A. Bandyopadhyay, S. Rej. Can nuclear energy fuel an environmentally sustainable economic growth? Revisiting the EKC hypothesis for India. Environ. Sci. Pollut. Res., 28 (2021), pp. 63065-63086

Beise, M., Rennings, K., 2003. Lead Markets of Environmental Innovations: A Framework for Innovation and Environmental Economics, ZEW Discussion Papers, No. 03-01, Zentrum für Europäische Wirtschaftsforschung (ZEW), Mannheim. ftp://ftp.zew.de/pub/zew-docs/dp/dp0301.pdf.

F. Belaïd, A.H. Elsayed, A. Omri. Key drivers of renewable energy deployment in the MENA Region: Empirical evidence using panel quantile regression. Struct. Chang. Econ. Dyn., 57 (2021), pp. 225-238

R. Best. Switching towards coal or renewable energy? The effects of financial capital on energy transitions. Energy Econ., 63 (2017), pp. 75-83,

M. Bhattacharya, S.A. Churchill, S.R. Paramati. The dynamic impact of renewable energy and institutions on economic output and CO2 emissions across regions. Renew. Energy, 111 (2017), pp. 157-167

F. Biermann, R. Brohm. Implementing the Kyoto Protocol without the USA: The strategic role of energy tax adjustments at the border. Clim. Pol., 4 (2004), pp. 289-302,

C.E. Carrión-Flores, R. Innes. Environmental innovation and environmental performance. J. Environ. Econ. Manage., 59 (2010), pp. 27-42,

H. Chen. Coupling high natural resources and carbon emission efficiency on economic growth in China. Resour. Policy, 85 (2023), Article 103709,

C. Chen, M. Pinar, T. Stengos. Determinants of renewable energy consumption: Importance of democratic institutions. Renew. Energy, 179 (2021), pp. 75-83

L.K. Chu, T.H. Tran. The nexus between environmental regulation and ecological footprint in OECD countries: Empirical evidence using panel quantile regression. Environ. Sci. Pollut. Res., 29 (2022), pp. 49700-49723,

G. Fang, K. Yang, G. Chen, L. Tian. Environmental protection tax superseded pollution fees, does China effectively abate ecological footprints?. J. Clean. Prod., 388 (2023), Article 135846,

P. Gao, Y. Wang, Y. Zou, X. Su, X. Che, X. Yang. Green technology innovation and carbon emissions nexus in China: Does industrial structure upgrading matter?. Front. Psychol., 13 (2022),

G. Garrett. The causes of globalization. Comp. Polit. Stud., 33 (2000), pp. 941-991,

C. Guan, T. Rani, Z. Yueqiang, T. Ajaz, M.I. Haseki. Impact of tourism industry, globalization, and technology innovation on ecological footprints in G-10 countries. Econ. Res.-Ekonomska Istraživanja, 35 (2022), pp. 6688-6704

A. Haldar, N. Sethi. Environmental effects of information and communication technology - Exploring the roles of renewable energy, innovation, trade and financial development. Renew. Sustain. Energy Rev., 153 (2022), Article 111754,

A. Haseeb, E. Xia, S. Saud, A. Ahmad, H. Khurshid. Does information and communication technologies improve environmental quality in the era of globalization? An empirical analysis. Environ. Sci. Pollut. Res., 26 (2019), pp. 8594-8608

S. Huang, H. Lin, Y. Zhou, H. Ji, N. Zhu. The influence of the policy of replacing environmental protection fees with taxes on enterprise green innovation—evidence from China’s heavily polluting industries. Sustainability, 14 (2022), p. 6850

R. Inglesi-Lotz, E. Dogan. The role of renewable versus non-renewable energy to the level of CO2 emissions a panel analysis of sub- Saharan Africa’s Βig 10 electricity generators. Renew. Energy, 123 (2018), pp. 36-43,

A.B. Jaffe, R.G. Newell, R.N. Stavins. Environmental policy and technological change. Environ. Resour. Econ. (Dordr), 22 (2002), pp. 41-70

Kalaycı, C., Hayaloğlu, P. 2019. The impact of economic globalization on CO2 emissions.

D. Kirikkaleli, M.O. Oyebanji. Consumption-based carbon emissions, trade, and globalization: an empirical study of Bolivia. Environ. Sci. Pollut. Res., 29 (2022), pp. 29927-29937

E. Koçak, A. Şarkgüneşi. The renewable energy and economic growth nexus in Black Sea and Balkan countries. Energy Policy, 100 (2017), pp. 51-57,

R. Koenker, G. Bassett Jr. Regression quantiles. Econometrica (1978), pp. 33-50

J. Lee, J.-S. Yang. Global energy transitions and political systems. Renew. Sustain. Energy Rev., 115 (2019), Article 109370

T. Mäkitie, J. Hanson, S. Damman, M. Wardeberg. Digital innovation’s contribution to sustainability transitions. Technol. Soc., 73 (2023), Article 102255,

K. Menyah, Y. Wolde-Rufael. Energy consumption, pollutant emissions and economic growth in South Africa. Energy Econ., 32 (2010), pp. 1374-1382,

Z. Nurgazina, Q. Guo, U. Ali, M.T. Kartal, A. Ullah, Z.A. Khan. Retesting the influences on CO2 emissions in China: Evidence from dynamic ARDL approach. Front. Environ. Sci., 10 (2022), Article 868740,

S. Obradović, N. Lojanica. Energy use, CO2 emissions and economic growth–causality on a sample of SEE countries. Econ. Res.-Ekonomska Istraživanja, 30 (2017), pp. 511-526

O.S. Ojekemi, H. Rjoub, A.A. Awosusi, E.B. Agyekum. Toward a sustainable environment and economic growth in BRICS economies: Do innovation and globalization matter?. Environ. Sci. Pollut. Res., 29 (2022), pp. 57740-57757

O. Ozkan, R.A. Haruna, A.A. ALOLA, W. Ghardallou, O. Usman. Investigating the nexus between economic complexity and energy-related environmental risks in the USA: Empirical evidence from a novel multivariate quantile-on-quantile regression. Struct. Chang. Econ. Dyn., 65 (2023), pp. 382-392,

U.K. Pata, A.E. Caglar. Investigating the EKC hypothesis with renewable energy consumption, human capital, globalization and trade openness for China: Evidence from augmented ARDL approach with a structural break. Energy, 216 (2021), Article 119220,

P. Pedroni. Panel cointegration: asymptotic and finite sample properties of pooled time series tests with an application to the PPP hypothesis. Econ. Theor., 20 (2004), pp. 597-625

Y. Pei, Y. Zhu, S. Liu, X. Wang, J. Cao. Environmental regulation and carbon emission: The mediation effect of technical efficiency. J. Clean. Prod., 236 (2019), Article 117599,

S. Proença, P. Fortes. The social face of renewables: Econometric analysis of the relationship between renewables and employment. Energy Rep., 6 (2020), pp. 581-586,

M.A. Rehman, Z. Fareed, F. Shahzad. When would the dark clouds of financial inclusion be over, and the environment becomes clean? The role of national governance. Environ. Sci. Pollut. Res., 29 (2022), pp. 27651-27663

S.K. Rout, M. Gupta, M. Sahoo. The role of technological innovation and diffusion, energy consumption and financial development in affecting ecological footprint in BRICS: an empirical analysis. Environ. Sci. Pollut. Res. (2022), pp. 1-18

A. Rudolph, L. Figge. Determinants of ecological footprints: what is the role of globalization?. Ecol Indic, 81 (2017), pp. 348-361

S.A. Sarkodie, V. Strezov. Effect of foreign direct investments, economic development and energy consumption on greenhouse gas emissions in developing countries. Sci. Total Environ., 646 (2019), pp. 862-871,

T.S. Schmidt, S. Sewerin. Measuring the temporal dynamics of policy mixes – An empirical analysis of renewable energy policy mixes’ balance and design features in nine countries. Res. Policy, 48 (2019), Article 103557,

B. Serener, D. Kirikkaleli, K. Addai. Patents on environmental technologies, financial development, and environmental degradation in Sweden: Evidence from novel Fourier-based approaches. Sustainability, 15 (2022), p. 302

P. Sethi, D. Chakrabarti, S. Bhattacharjee. Globalization, financial development and economic growth: Perils on the environmental sustainability of an emerging economy. J. Policy Model, 42 (2020), pp. 520-535,

S. Shafiei, R.A. Salim. Non-renewable and renewable energy consumption and CO2 emissions in OECD countries: A comparative analysis. Energy Policy, 66 (2014), pp. 547-556,

M. Shahbaz, T.H.V. Hoang, M.K. Mahalik, D. Roubaud. Energy consumption, financial development and economic growth in India: New evidence from a nonlinear and asymmetric analysis. Energy Econ., 63 (2017), pp. 199-212,

M. Shahbaz, S.J.H. Shahzad, M.K. Mahalik, S. Hammoudeh. Does globalisation worsen environmental quality in developed economies?. Environ. Model. Assess., 23 (2018), pp. 141-156

T. Shi, S. Si, J. Chan, L. Zhou. The carbon emission reduction effect of technological innovation on the transportation industry and its spatial heterogeneity: Evidence from China. Atmosphere (Basel), 12 (2021), p. 1169,

D. Valente, P.P. Miglietta, D. Porrini, M.R. Pasimeni, G. Zurlini, I. Petrosillo. A first analysis on the need to integrate ecological aspects into financial insurance. Ecol. Model., 392 (2019), pp. 117-127,

Q. Wang, F. Zhang. Does increasing investment in research and development promote economic growth decoupling from carbon emission growth? An empirical analysis of BRICS countries. J. Clean. Prod., 252 (2020), Article 119853

J. Wen, N. Mughal, J. Zhao, M.S. Shabbir, G. Niedbała, V. Jain, A. Anwar. Does globalization matter for environmental degradation? Nexus among energy consumption, economic growth, and carbon dioxide emission. Energy Policy, 153 (2021), Article 112230,

J. Westerlund. Error correction based panel cointegration tests. Oxf. Bull. Econ. Stat., 69 (2007), pp. 709-748

X. Yang, S. Lin, Y. Li, M. He. Can high-speed rail reduce environmental pollution? Evidence from China. J. Clean. Prod., 239 (2019), Article 118135,

J. Zheng, X. Wang. Can mobile information communication technologies (ICTs) promote the development of renewables?-evidence from seven countries. Energy Policy, 149 (2021), Article 112041,

J. Zhou, Y. Zhou, X. Bai. Can green-technology innovation reduce atmospheric environmental pollution?. Toxics, 11 (2023), p. 403,

X. Zou. VECM model analysis of carbon emissions, GDP, and international crude oil prices. Discrete Dyn. Nat. Soc., 2018 (2018)