The synthesis of logistics performance and technological innovation on environmental quality

Abstract

PurposeThis study aims to examine the impact of logistics performance and technological innovation on environmental quality in Africa, focusing on carbon dioxide (CO2) emissions and renewable energy consumption as indicators of environmental quality.Design/methodology/approachThe study employs a panel data analysis of 43 African countries over the period 1990–2021. Data on logistics performance, technological innovation, CO2 emissions, and renewable energy consumption are sourced from the World Development Indicators database of the World Bank. Grounded in the Triple Bottom Line (TBL) framework, which integrates economic, social and environmental dimensions of sustainability, the analysis utilises the generalised method of moments (GMM) technique to address the issue of endogeneity.FindingsThe regression results reveal significant relationships between logistics performance, technological innovation and environmental quality indicators. Logistics performance demonstrates a negative impact on CO2 emissions, while technological innovation positively influences renewable energy consumption. The interactive effect of logistics performance and technological innovation mitigates CO2 emissions, aligning with the TBL framework’s environmental dimension by promoting sustainability. Furthermore, trade openness exhibits a significant negative effect on both CO2 emissions and renewable energy consumption. The findings highlight the potential synergies between logistics performance and technological innovation in driving environmental sustainability while offering economic benefits and addressing social well-being.Practical implicationsThe findings suggest the importance of prioritising investments in enhancing logistics performance and fostering technological innovation to achieve environmental sustainability goals in Africa.Originality/valueTo the best of the researchers’ knowledge, this study presents an initial attempt to examine the nexus between logistics performance and environmental quality in Africa using the logistics performance index. Furthermore, beyond assessing the individual effects of logistics performance and technological innovation on environmental quality, we delve into their interactive dynamics, adding novelty to the study.