International Journal of Science, Engineering and TechnologyAuthors: Dr. D. Pavan Kumar
Abstract: The transition toward a low-carbon global economy requires not only increased investment in green technologies but also improvements in the efficiency with which such innovations contribute to decarbonization. This study evaluates the efficiency of green technology innovation in promoting global decarbonization using a Data Envelopment Analysis (DEA) framework based on the Charnes–Cooper–Rhodes (CCR) model, which assumes constant returns to scale. Drawing on cross-country panel data, the study constructs an efficiency model incorporating green innovation inputs—such as research and development (R&D) expenditure, renewable energy patents, and clean energy investment—and desirable outputs including carbon emission reductions and renewable energy generation. The empirical analysis assesses relative efficiency across countries and identifies best-performing frontiers in transforming green technological inputs into decarbonization outcomes. The results reveal substantial heterogeneity in efficiency levels, with several economies operating below the optimal frontier, indicating untapped potential in leveraging green innovation for climate mitigation. Furthermore, scale efficiency decomposition highlights that both technological capability gaps and suboptimal innovation scale contribute to observed inefficiencies. The findings offer important policy implications. First, increasing investment in green innovation alone does not guarantee proportional decarbonization gains; improving innovation efficiency is equally critical. Second, countries can benefit from benchmarking against frontier economies to optimize resource allocation and institutional support mechanisms. Overall, this study contributes to the literature on climate policy and sustainable development by providing an efficiency-based perspective on the role of green technological innovation in achieving global decarbonization targets.
DOI: https://doi.org/10.5281/zenodo.19442356
