Hind Alofaysan, Magdalena Radulescu, Izabela Dembińska, K. Si Mohammed
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The effect of digitalization and green technology innovation on energy efficiency in the European Union
This paper aims to scrutinize the effect of Green technology innovation, digitalization, renewable energy use, environmental taxes, GDP, energy prices, and population on energy efficiency in a panel comprising 22 member nations of the European Union. Using the generalized least squares and the panel-corrected standard error, we found (1) the positive effect of digitalization, green patterns, and renewable sources on energy efficiency. (2) The environmental tax has a limited and insignificant effect. (3) On the contrary, the population, GDP, and energy prices negatively affect energy efficiency. Based on the findings, relevant economic and environmental policies have been proposed for energy, technology stakeholders, and policy decision-makers, including substantial investment in digital infrastructure to facilitate the adoption of smart grids, Internet of Things devices, and advanced data analytics for energy management
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