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<p>The escalating environmental consequences of current energy systems have accelerated the global transition toward renewable energy adoption and stricter environmental regulations. Despite this transition, scarce empirical evidence exists on how environmental policy stringency and green technological innovation interact with renewable and non-renewable energy consumption to influence environmental sustainability, particularly across countries with different sustainability performance levels. To address this empirical gap, this study estimates the heterogeneous effects of economic growth, renewable energy consumption, non-renewable energy consumption, environmental policy stringency, and environmental-related technologies on environmental sustainability in major energy transition economies using panel data from 1994 to 2020. The study employs the advanced Method of Moments Quantile Regression (<i>MMQR</i>) estimator to capture the heterogeneous effects of these determinants across the lower (0.25), middle (0.50), upper-middle (0.75), and upper (0.90) quantiles of environmental sustainability. The empirical findings demonstrate that renewable energy consumption and environmental-related technologies significantly enhance environmental sustainability across most quantiles. In contrast, non-renewable energy consumption and economic growth have significant adverse effects on environmental sustainability across all quantiles. However, these effects become more pronounced at upper quantiles. Furthermore, environmental policy stringency has a negative but statistically insignificant effect on environmental sustainability across all quantiles, suggesting that stricter environmental regulations alone may be insufficient to improve sustainability outcomes in energy transition economies. In conclusion, the findings reveal substantial heterogeneity in environmental policy effectiveness across different sustainability levels, suggesting that uniform environmental strategies may generate uneven outcomes across economies.</p>

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Environmental policy stringency and environmental sustainability in energy transition countries: the synergetic role of renewable energy and green technologies

  • 期刊论文

  • 发表日期：

    2026年6月3日

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  • Huri Gül Aybudak,
  • Abdul Rafay,
  • Waqar Khalid,
  • Ahmed Samour,
  • Ashfa Ashraf,
  • Muhammad Usman

摘要

The escalating environmental consequences of current energy systems have accelerated the global transition toward renewable energy adoption and stricter environmental regulations. Despite this transition, scarce empirical evidence exists on how environmental policy stringency and green technological innovation interact with renewable and non-renewable energy consumption to influence environmental sustainability, particularly across countries with different sustainability performance levels. To address this empirical gap, this study estimates the heterogeneous effects of economic growth, renewable energy consumption, non-renewable energy consumption, environmental policy stringency, and environmental-related technologies on environmental sustainability in major energy transition economies using panel data from 1994 to 2020. The study employs the advanced Method of Moments Quantile Regression (MMQR) estimator to capture the heterogeneous effects of these determinants across the lower (0.25), middle (0.50), upper-middle (0.75), and upper (0.90) quantiles of environmental sustainability. The empirical findings demonstrate that renewable energy consumption and environmental-related technologies significantly enhance environmental sustainability across most quantiles. In contrast, non-renewable energy consumption and economic growth have significant adverse effects on environmental sustainability across all quantiles. However, these effects become more pronounced at upper quantiles. Furthermore, environmental policy stringency has a negative but statistically insignificant effect on environmental sustainability across all quantiles, suggesting that stricter environmental regulations alone may be insufficient to improve sustainability outcomes in energy transition economies. In conclusion, the findings reveal substantial heterogeneity in environmental policy effectiveness across different sustainability levels, suggesting that uniform environmental strategies may generate uneven outcomes across economies.