What is the role of green ICT innovation in lowering carbon emissions in China? A provincial-level analysis

Abstract

Green information and communication technology (ICT) is key to attaining carbon neutrality and a low-carbon economy. Applying panel data of 30 provinces in China, this study explores the internal mechanism and heterogeneous effect of green ICT innovation at lowering carbon emissions (CE) in China. The results disclose the following. Green ICT innovation significantly reduces the nation's provincial carbon emission, and the results remain valid after endogenous treatment and robustness test. Furthermore, green ICT innovation and CE do not exhibit a U-shape relationship, indicating the absence of a rebound effect. Green ICT innovation has an energy-saving effect and a productivity effect, demonstrating that energy intensity and green total factor productivity play an intermediary role. A better ICT development foundation strengthens green ICT innovation's carbon reduction effect. Besides, the CE reduction effect has three-dimensional heterogeneity depending on different economic development levels, type of green ICT innovation, and different carbon emissions regions. Finally, based on these results, the paper offers policy implications.