Technological Innovation and Renewable Energy Consumption as Determinants of Environmental Pollution: Panel Evidence from BRICS Countries

This study empirically investigates the impact of technological innovation and renewable energy consumption on environmental pollution, specifically CO₂ emissions, by controlling for the effect of economic growth in a panel of BRICS (Brazil, Russian federation, India, China, South Africa) countries over the period 1996–2021. Employing panel data analysis techniques, the study aims to uncover the distinct roles of innovation and clean energy in shaping environmental outcomes in a group of rapidly industrializing and technologically advancing economies. The empirical findings indicate that technological innovation has a positive and statistically significant relationship with CO₂ emissions, suggesting that, in the context of the BRICS countries, innovation may still be closely linked to carbon-intensive industrial processes. In contrast, renewable energy consumption exhibits a negative and statistically significant association with CO₂ emissions, highlighting its potential as an effective instrument for mitigating environmental degradation. These results underscore the need to align innovation strategies with environmental objectives and to increase the share of clean energy in the energy mix to promote sustainable development across the BRICS economies. JEL classification: O33, Q55, C33