The impact of artificial intelligence adoption and financial accessibility on energy sustainability


Taghizadeh-Hesary F.
May 2025Elsevier Ltd

Energy Strategy Reviews
2025#59

This study examines the impact of digital innovation and financial access on energy sustainability in Chinas energy sector from 2010 to 2021, focusing on artificial intelligence (AI) adoption and financial accessibility. Using a panel cointegration approach, the analysis finds that industrial robots—used as a proxy for AI implementation—have not effectively reduced fossil fuel consumption in Chinese industries. Additionally, access to finance does not appear to contribute significantly to lower fossil fuel use. The findings suggest that to facilitate a sustainable energy transition, policymakers should prioritize green finance and enhance accessible funding channels for green projects. Establishing regulations for environmentally responsible AI applications and promoting investments in sustainable technology through tax incentives and grants could further support AI-driven efficiency improvements and sustainable practices across the sector.

Artificial intelligence , Digital innovation , Energy transition , Fossil fuels intensity , Green finance

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Tokai University Research Institute for Environment and Sustainability (TRIES), Tokai University, Tokyo, Japan
Narxoz University, Zhandossov str 55., Almaty, Kazakhstan

Tokai University Research Institute for Environment and Sustainability (TRIES)
Narxoz University

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