The development of renewable energy has emerged as a cornerstone of sustainable economic transformation, offering a pathway to reduce carbon dependence and enhance long-term energy security. As a result, this study examines the influence of supply chain digitalization, economic growth, and environmental stringency policies on renewable energy consumption (REC) across 33 OECD countries from 2000 to 2021. Using the Method of Moments Quantile Regression (MMQR) approach, the research provides robust, distribution-sensitive insights into how these factors shape renewable energy dynamics. In addition to the main variables, financial development and economic globalization were included as control variables to capture broader macroeconomic effects. The empirical results reveal that supply chain digitalization exerts a negative and consistent influence on REC across all quantiles, suggesting that technological advancement within supply chains may still be heavily dependent on non-renewable energy inputs. Conversely, environmental stringency policies demonstrate a positive and significant impact on REC at all quantiles, indicating that stricter environmental regulations effectively drive the transition toward cleaner energy sources. However, the effect of economic growth varies across quantiles, reflecting a nonlinear relationship—fostering renewable energy use in some instances while increasing conventional energy demand in others. Among the control variables, economic globalization enhances REC, implying that greater international integration facilitates technology transfer and access to green innovations. In contrast, financial development negatively affects REC, suggesting that current financial systems may still prioritize fossil fuel investments. Overall, the study emphasizes the need to align digital transformation strategies, financial reforms, and policy frameworks to strengthen renewable energy development and ensure a sustainable, low-carbon future across OECD nations.
Hashim et al. (Sun,) studied this question.