IDEAS home Printed from https://ideas.repec.org/a/eee/ecanpo/v85y2025icp1846-1866.html
   My bibliography  Save this article

From algorithms to green growth: Can artificial intelligence drive enterprise energy transformation?

Author

Listed:
  • Huang, Meiying
  • Li, Quan
  • Li, Bowen

Abstract

As global priorities shift towards sustainability and climate change mitigation, the impact of artificial intelligence (AI) as an emerging technological force on enterprise energy transformation (EET) remains insufficiently explored. This study treats the “Smart Manufacturing Pilot Policy” as a quasi-natural experiment, uses data from A-share listed companies between 2007 and 2022, and applies the standard Difference-in-Differences model to examine the impact of AI on EET. The findings reveal that AI adoption significantly enhances EET, with more pronounced effects observed in state-owned enterprises, firms in eastern and coastal regions, and those with advanced digital transformation. Four key mechanisms are identified: fostering green technology innovation, enhancing human capital structure, improving environmental information disclosure, and reducing financing constraints. Overall, this study provides novel insights into the economic impact of AI and offers a framework for sustainable, energy-efficient development that can be applied to countries with similar economic structures and development trajectories.

Suggested Citation

  • Huang, Meiying & Li, Quan & Li, Bowen, 2025. "From algorithms to green growth: Can artificial intelligence drive enterprise energy transformation?," Economic Analysis and Policy, Elsevier, vol. 85(C), pages 1846-1866.
    • Handle: RePEc:eee:ecanpo:v:85:y:2025:i:c:p:1846-1866
    DOI: 10.1016/j.eap.2025.02.029
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0313592625000608
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.eap.2025.02.029?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    More about this item

    Keywords

    Artificial intelligence; Enterprise energy transformation; Smart manufacturing pilot policy;
    All these keywords.

    JEL classification:

    • Q55 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Technological Innovation
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth
    • O38 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Government Policy
    • O44 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Environment and Growth

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:ecanpo:v:85:y:2025:i:c:p:1846-1866. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.journals.elsevier.com/economic-analysis-and-policy .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.