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<p>This study investigates the carbon emission mitigation efficiency of innovations arising from energy and environmental technologies across the Nordic countries. Data envelopment analysis (DEA) was employed alongside the use of econometric tools for the period 1994–2019. Overall, the DEA results show an enhanced carbon management system in the Nordic countries while Denmark and Norway show a more efficient average score for the complete period. However, the average efficiency of Denmark, Finland and Sweden shows major improvement for the period of 2010–2019 compared to 1994–2009 and Norway has a 5% average decline. While Denmark is consistently efficient in the last five years, Finland shows the most improvement with 18% average efficiency growth for the periods of 2010–2019. Meanwhile, the econometric approach failed to show that the application of innovation in primary energy development can improve environmental quality, thus suggesting that conventional energy sources in the examined countries’ energy portfolio remain a hindrance to environmental sustainability. However, innovation indeed moderates the effect of primary energy utilization on carbon emission by reducing by ~ 12% (from 1.59 to 1.403) the potency of primary energy utilization and thus causing an increase in carbon emission in the long run. Moreover, innovation in environmental technologies yields a desirable environmental effect considering that innovation, with a 1% increase in innovation, stimulates ~ 0.07% decline in carbon dioxide emissions in the long run.</p> Graphical abstract

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Efficiency of environmental- and energy-related innovation as a driver of environmental quality across the Nordics

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  • 发表日期：

    2026年6月2日

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  • Mustapha D. Ibrahim,
  • Andrew Adewale Alola,
  • Davood Forghani

摘要

This study investigates the carbon emission mitigation efficiency of innovations arising from energy and environmental technologies across the Nordic countries. Data envelopment analysis (DEA) was employed alongside the use of econometric tools for the period 1994–2019. Overall, the DEA results show an enhanced carbon management system in the Nordic countries while Denmark and Norway show a more efficient average score for the complete period. However, the average efficiency of Denmark, Finland and Sweden shows major improvement for the period of 2010–2019 compared to 1994–2009 and Norway has a 5% average decline. While Denmark is consistently efficient in the last five years, Finland shows the most improvement with 18% average efficiency growth for the periods of 2010–2019. Meanwhile, the econometric approach failed to show that the application of innovation in primary energy development can improve environmental quality, thus suggesting that conventional energy sources in the examined countries’ energy portfolio remain a hindrance to environmental sustainability. However, innovation indeed moderates the effect of primary energy utilization on carbon emission by reducing by ~ 12% (from 1.59 to 1.403) the potency of primary energy utilization and thus causing an increase in carbon emission in the long run. Moreover, innovation in environmental technologies yields a desirable environmental effect considering that innovation, with a 1% increase in innovation, stimulates ~ 0.07% decline in carbon dioxide emissions in the long run.

Graphical abstract