Environmental taxes and renewable energy consumption nexus: Role of environmental governance and technological innovation

The effectiveness of environmental taxes in promoting renewable energy consumption (REC) depends on strong institutional and technological support. This study investigates how environmental taxes influence REC in OECD nations, emphasizing the mediating roles of environmental governance and environme...

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Main Authors: Kanchan Kumar Sen, Shahadat Hosan, Shamal Chandra Karmaker, Andrew J Chapman, Bidyut Baran Saha
Format: Article
Language:English
Published: Elsevier 2025-06-01
Series:Sustainable Futures
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Online Access:http://www.sciencedirect.com/science/article/pii/S2666188825003909
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author Kanchan Kumar Sen
Shahadat Hosan
Shamal Chandra Karmaker
Andrew J Chapman
Bidyut Baran Saha
author_facet Kanchan Kumar Sen
Shahadat Hosan
Shamal Chandra Karmaker
Andrew J Chapman
Bidyut Baran Saha
author_sort Kanchan Kumar Sen
collection DOAJ
description The effectiveness of environmental taxes in promoting renewable energy consumption (REC) depends on strong institutional and technological support. This study investigates how environmental taxes influence REC in OECD nations, emphasizing the mediating roles of environmental governance and environmental-related technological innovation. Econometric analyses reveal that taxes alone have a limited impact on REC, but their effectiveness increases significantly when reinforced by robust governance and innovation. Findings highlight the need for an integrated policy framework where taxation, governance, and innovation work together to accelerate the clean energy transition. These insights offer valuable guidance for achieving SDG 7 and advancing sustainable energy policies.
format Article
id doaj-art-cab1d7bdb5cf4b839e6715d18fc0c32d
institution DOAJ
issn 2666-1888
language English
publishDate 2025-06-01
publisher Elsevier
record_format Article
series Sustainable Futures
spelling doaj-art-cab1d7bdb5cf4b839e6715d18fc0c32d2025-08-20T03:20:06ZengElsevierSustainable Futures2666-18882025-06-01910082510.1016/j.sftr.2025.100825Environmental taxes and renewable energy consumption nexus: Role of environmental governance and technological innovationKanchan Kumar Sen0Shahadat Hosan1Shamal Chandra Karmaker2Andrew J Chapman3Bidyut Baran Saha4International Institute for Carbon-Neutral Energy Research (WPI-I2CNER), Kyushu University, 744 Motooka, Nishi-ku, Fukuoka-shi, Fukuoka 819-0395, Japan; Mechanical Engineering Department, Kyushu University, 744 Motooka, Nishi-ku, Fukuoka-shi, Fukuoka 819-0395, Japan; Department of Statistics, University of Dhaka, Dhaka 1000, BangladeshInternational Institute for Carbon-Neutral Energy Research (WPI-I2CNER), Kyushu University, 744 Motooka, Nishi-ku, Fukuoka-shi, Fukuoka 819-0395, JapanInternational Institute for Carbon-Neutral Energy Research (WPI-I2CNER), Kyushu University, 744 Motooka, Nishi-ku, Fukuoka-shi, Fukuoka 819-0395, Japan; Department of Statistics, University of Dhaka, Dhaka 1000, BangladeshInternational Institute for Carbon-Neutral Energy Research (WPI-I2CNER), Kyushu University, 744 Motooka, Nishi-ku, Fukuoka-shi, Fukuoka 819-0395, JapanInternational Institute for Carbon-Neutral Energy Research (WPI-I2CNER), Kyushu University, 744 Motooka, Nishi-ku, Fukuoka-shi, Fukuoka 819-0395, Japan; Mechanical Engineering Department, Kyushu University, 744 Motooka, Nishi-ku, Fukuoka-shi, Fukuoka 819-0395, Japan; Corresponding author at: International Institute for Carbon-Neutral Energy Research (WPI-I2CNER), Kyushu University, 744 Motooka, Nishi-ku, Fukuoka-shi, Fukuoka 819-0395, Japan.The effectiveness of environmental taxes in promoting renewable energy consumption (REC) depends on strong institutional and technological support. This study investigates how environmental taxes influence REC in OECD nations, emphasizing the mediating roles of environmental governance and environmental-related technological innovation. Econometric analyses reveal that taxes alone have a limited impact on REC, but their effectiveness increases significantly when reinforced by robust governance and innovation. Findings highlight the need for an integrated policy framework where taxation, governance, and innovation work together to accelerate the clean energy transition. These insights offer valuable guidance for achieving SDG 7 and advancing sustainable energy policies.http://www.sciencedirect.com/science/article/pii/S2666188825003909Environmental governanceEnvironmental taxesMediating effectRenewable energy consumptionTechnological innovation
spellingShingle Kanchan Kumar Sen
Shahadat Hosan
Shamal Chandra Karmaker
Andrew J Chapman
Bidyut Baran Saha
Environmental taxes and renewable energy consumption nexus: Role of environmental governance and technological innovation
Sustainable Futures
Environmental governance
Environmental taxes
Mediating effect
Renewable energy consumption
Technological innovation
title Environmental taxes and renewable energy consumption nexus: Role of environmental governance and technological innovation
title_full Environmental taxes and renewable energy consumption nexus: Role of environmental governance and technological innovation
title_fullStr Environmental taxes and renewable energy consumption nexus: Role of environmental governance and technological innovation
title_full_unstemmed Environmental taxes and renewable energy consumption nexus: Role of environmental governance and technological innovation
title_short Environmental taxes and renewable energy consumption nexus: Role of environmental governance and technological innovation
title_sort environmental taxes and renewable energy consumption nexus role of environmental governance and technological innovation
topic Environmental governance
Environmental taxes
Mediating effect
Renewable energy consumption
Technological innovation
url http://www.sciencedirect.com/science/article/pii/S2666188825003909
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AT andrewjchapman environmentaltaxesandrenewableenergyconsumptionnexusroleofenvironmentalgovernanceandtechnologicalinnovation
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