Pathways to environmental sustainability in developing Asia: Insights from environmental policy, green innovation and energy structure

Salman Ahmad

Renewable and Sustainable Energy Reviews, 2025, vol. 216, issue C

Abstract: This study explores the nexus between green innovation (GIN), environmental policies (ENP), and energy structure in enhancing environmental sustainability in developing Asian countries (ADC-16). The motivation for this research stems from the rapid industrialization in Asia, which has led to increased environmental degradation, prompting the need for sustainable energy frameworks. We hypothesize that both GIN and ENP positively influence energy structures and environmental sustainability, while renewable energy (RNE) adoption enhances sustainability, and the use of non-renewable energy (NRE) harms it. To test these hypotheses, we use Dynamic Ordinary Least Squares (DOLS) and Fully Modified Ordinary Least Squares (FMOLS) models to analyze data from 16 developing Asian nations spanning 1990 to 2021. The results confirm that a 1 % increase in GIN reduces ecological footprints (ECF) by 1.10 % (DOLS) and 2.14 % (FM-OLS), and in ENP by 12.05 % (DOLS) and 18.56 % (FMOLS). Moreover, a 1 % rise in RNE enhances environmental sustainability by 5.47 % (DOLS) and 2.68 % (FMOLS), while NRE increases ECF by 4.21 % (DOLS) and 1.26 % (FMOLS). These findings underscore the importance of green innovation and strong environmental policies in promoting sustainable energy systems in ADC-16 countries. In conclusion, increasing investments in green technologies and strengthening environmental regulations are crucial for improving environmental sustainability and achieving climate goals in Asia.

Keywords: Energy structure; Environmental policies; Green innovation; Environmental sustainability; Asia (search for similar items in EconPapers)
Date: 2025
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DOI: 10.1016/j.rser.2025.115646

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