Examining the impact of environmental technologies, environmental taxes, energy consumption, and natural resources on GHG emissions in G-7 economies

The focus areas for COP-27 include fast-tracking our worldwide evolution to decarbonization in the energy industry and clean energy as the stockholder's effort to restrict global warming to 1.5 degrees C (2.7 degrees F) above the levels of pre-industrial. After this COP-27 summit, most of the developing countries will provoke challenges in accomplishing their targets of a carbon neutrality and sustainable economy with the minimum possible greenhouse gas (GHG) emissions. In this regard, the G-7 countries, despite prosperous cautiously, have not prospered in certifying ecological welfare in tandem. Nevertheless, these economies cannot endure their green growth attainments without instantaneously safeguarding their ecological features. To do this, green technologies and environmental taxes are vital apparatuses that can assist in accomplishing carbon neutrality objectives. Consequently, the current study investigates the influence of green technologies, environmental taxes, natural resources, renewable, and fossil fuel energy on GHG emissions in G-7 nations from 1994 to 2020. After confirming the cross-sectional dependency issue, this study uses a battery of second-generation panel methods to estimate the empirical findings. The estimated evidences discovered that green technologies, environmental taxes, and renewable protect environmental quality in the long run. However, natural resources and fossil fuel energy increase the GHG emissions levels. Furthermore, this study suggests that G-7 economies should be more focus on green technologies, imposing environmental taxes eco-innovation related developments, and promote renewable energy projects through the sustainable alteration of their consumption and production processes.