Unpacking the role of green supply chain and renewable energy innovation in advancing environmental sustainability: A Quantile-Based approach

Sami Ullah and Boqiang Lin ()

Renewable and Sustainable Energy Reviews, 2025, vol. 218, issue C

Abstract: Renewable energy innovations and the green supply chain are essential to sustainable development goal 9. Furthermore, these elements play a key role in facilitating eco-friendly energy generation, indirectly aiding the progress towards SDG 9. Transitioning from conventional to green energy sources is vital for long-term sustainability and promoting an environmentally conscious framework. Consequently, this study explores the primary drivers of environmental sustainability, measured through the load capacity factor (LCF), from 1990Q1 to 2022Q4. Additional factors such as energy prices, GDP, and financial development are also analyzed. To address the asymmetric distribution and non-linearity of the data, this study applies advanced quantile-based methods, including quantile-on-quantile regression (QQR), quantile-on-quantile Granger causality (QQGC), and wavelet quantile regression (WQR). The results indicate that green supply chain (GSC) practices, energy prices (ENP), renewable energy innovations (REI), and financial development (FinD) all positively contribute to enhancing environmental sustainability, as reflected in the increased LF. In contrast, GDP has a negative impact on environmental sustainability, reducing LF across all quantiles. The findings of QQGC demonstrate that all key variables, including GSC, REI, ENP, GDP, and FinD, are significant predictors of LCF at different quantiles. Based on these insights, the study proposes policy recommendations aligned with SDG 9 to improve environmental sustainability further.

Keywords: Renewable energy innovations; Green supply chain; Energy prices; Environmental sustainability; Financial development (search for similar items in EconPapers)
Date: 2025
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DOI: 10.1016/j.rser.2025.115810

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