Exploring the Influence of Digital Transformation on Clean Energy Transition, Climate Change, and Economic Growth among Selected Oil-Export Countries through the Panel ARDL Approach

Abstract

Amid global imperatives to combat climate change and achieve sustainable economic development, the convergence of digital transformation and the transition to clean energy has emerged as a critical focal point for oil-exporting nations. This study comprehensively investigates the interplay of digital technology, clean energy transition, climate change, and economic growth among selected oil-exporting nations. Drawing upon a diverse set of economic and geographical contexts, this study uses panel data analysis of data from the World Bank’s Economic Indicators and the United Nations Development Program for the period from 2006 to 2020. The results show that digital technology reduces climate change by improving environmental quality, but internet and mobile access have insignificant and negative effects on environmental quality, respectively. Meanwhile, all technology variables negatively impact green energy and economic growth, while the Happy Planet Index and financial development positively impact the green energy transition. This study is important for regulators, producers, and consumers, as it provides a better understanding of the crucial role of digital transformation in sustainable development within oil-export countries. This study’s findings can be used to develop policy recommendations for a low-carbon economy, the promotion of digital transformation through green energy, and the management of climate change.

The Effect of Environmental Smart Technology and Renewable Energy on Carbon Footprint: A Sustainability Perspective from the MENA Region

“…Via employing CS-ARDL and Q-ARDL models in 118 cities, green tech investments have significantly boosted environmental sustainability across quantiles, thus validating the EKC hypothesis. In contrast, Sarabdeen et al [18] examined how digital revolution affects oil-exporting countries' GDP, their contribution toward climate change, and their shift to sustainable energy. This study utilized panel data from the World Bank spanning from 2006 to 2020.…”