Driving Zero-Carbon Development through Green Innovation and Environmental Regulation

Abstract

The global imperative for a zero-carbon transition has catalyzed a fundamental restructuring of industrial frameworks, yet the link between renewable energy adoption and systemic productivity remains empirically fragmented. While decarbonization is often framed as a technical substitution, its success is deeply dependent on the structural and institutional readiness of diverse economic landscapes. This research aims to synthesize the pathways through which energy transitions influence green total factor productivity (GTFP) across varying developmental contexts. Employing a qualitative research design, the study utilizes a comparative thematic synthesis of secondary data derived from peer-reviewed empirical literature published between 2014 and 2025. Data were analyzed using a standardized extraction matrix to identify mediating variables, including green innovation efficiency, regulatory stringency, and institutional quality. The study employs source triangulation and a rigorous trustworthiness framework to ensure the validity of the synthesized findings. The results demonstrate that the energy-productivity nexus is non-linear and conditional, where advanced economies leverage "innovation compensation" while emerging markets often face structural bottlenecks that hinder green growth. The study concludes that achieving carbon neutrality requires a synchronized integrative mechanism where digital infrastructure and institutional signals align to drive industrial evolution. This research contributes to the field by providing a tiered structural model that explains the geographic and developmental heterogeneity of sustainable development outcomes.