The Impacts of ICT and innovation on Carbon Dioxide Emissions in G20 Countries

<jats:title>Abstract</jats:title>
<jats:p>The G20 countries collectively account for a substantial portion of global carbon dioxide (CO<jats:sub>2</jats:sub>) emissions, as they represent the world’s major economies and industrial powers. The continual growth in CO<jats:sub>2</jats:sub> emissions exacerbates the greenhouse effect, which negatively influences the environment and ecosystems by raising temperatures, altering weather patterns, and increasing sea levels. To effectively address global climate action, it is imperative to tackle and reduce CO<jats:sub>2</jats:sub> emissions in G20 nations. The objective of this study is to investigate the impacts of ICT and innovation on CO<jats:sub>2</jats:sub> emissions in G20 countries. Using panel quantile regression, we analyze data spanning from the year 2000 to 2019 to derive meaningful results. The findings demonstrate a strong positive association between ICT and CO<jats:sub>2</jats:sub> in nations that fall between the 10th and 40th quantiles. The countries with carbon dioxide emissions falling between the 30th and 90th quantiles also showed a strong positive correlation between patent applications and CO<jats:sub>2</jats:sub>. The conclusion of this study shows that innovation and ICT do not always reduce CO<jats:sub>2</jats:sub>, especially at levels of CO<jats:sub>2</jats:sub> emission below the 40<jats:sup>th</jats:sup> quantile. As a result, depending on the country’s CO<jats:sub>2</jats:sub> level, different ICT and innovation-related initiatives may have different effects on CO<jats:sub>2</jats:sub>. The novelty of this study reveals that the relationship between ICT, innovation, and CO<jats:sub>2</jats:sub> emissions is underscored by varying levels of CO<jats:sub>2</jats:sub> emissions.</jats:p>