From bytes to sustainability: Leveraging supply chain digitization for enhancing energy resilience

Abstract

The escalating global energy demand, coupled with the urgency of climate change, underscores the necessity for innovative approaches to achieve energy resilience and security. This study critically examines the interrelationship between global supply chain breadth, digital transformation, and energy resilience, addressing the key themes of this special issue across different aspects of energy security. This study used robust static panel data models for the assessment. Utilizing unbalanced data of 87 countries in 5 models and 95 countries in 6th model (2008–2022), the analysis results reveal a non-linear relationship between supply chain breadth and the five dimensions of energy security: availability, accessibility, affordability, acceptability, and developability while digitization had shown the moderating effect. The findings suggest that while the initial expansion of global supply chains may heighten vulnerabilities due to complexity and interdependence, long-term development fosters energy security through diversification and operational flexibility. Digital transformation is identified as a crucial moderator, stabilizing this dynamic by optimizing energy flow, reducing inefficiencies, and enabling an effective transition to renewable energy systems. Technologies such as blockchain and IoT enhance monitoring and management capabilities, mitigating disruptions and supporting sustainable energy governance. This study's findings provide actionable insights into how digitization strategies can be leveraged to align supply chain management with energy resilience objectives. By integrating supply chain theory with energy economics, this research offers a unique contribution to understanding the transformative potential of digital tools in mitigating energy risks while addressing broader sustainability goals. The policy implications emphasize the importance of digital infrastructure investment and cross-sector collaboration to design robust energy security strategies. This research study advances the discourse on supply chain digitization within the context of energy resilience, providing novel insights for policymakers, energy economists, and stakeholders aiming to navigate the challenges of a rapidly evolving energy landscape.