Issue #1 (Volume 17 2026)

Type of the article: Research Article

Abstract
This paper aims to examine the role of artificial intelligence (AI) training effectiveness in achieving a green growth strategy in Jordan, particularly at the Jordanian Electric Power Company, which represents the Jordanian energy sector. The analysis is supported by the multifaceted program evaluation framework by Daniel Stufflebeam (CIPP). AI training is considered a strategic intangible asset that promotes the growth of rare and invaluable intangible human capital. Quantitative cross-sectional research design was applied, targeting employees of the Jordanian Electric Power Company. Using a simple random sampling, 178 valid responses were directly engaged. The assessment of the theoretical and structural models was done using SPSS and SmartPLS. The results indicated that AI training effectiveness is a significant predictor of the green growth strategy’s outcomes (β = 0.562, t = 8.990, p < 0.001), explaining 31.6% of the variance. The strongest predictor among the CIPP dimensions was the dimension of input (β = 0.556, R2 = 0.310), then the dimensions of context (β = 0.532, R2 = 0.283), process (β = 0.516, R2 = 0.266), and product (β = 0.487, R2 = 0.237). These findings indicate that highly developed training programs, when designed according to the organizational context, resource-rich, and executed effectively, yield quantifiable skills development and play an influential role in meeting the goals of the national green growth strategy.

Acknowledgment
Gratitude is expressed to the Middle East University, Amman, Jordan, for the financial support to cover this article’s publishing fee.

Type of the article: Research Article

Abstract
This study examines the effect of ESG reporting on the financial performance of green companies listed in Indonesia between 2020 and 2024, totaling 85 companies with 425 observations. Using ESG scores and corporate financial data from Bloomberg, three panel models were estimated: a random-effects model for ROA, a fixed-effects model for ROE, controlling for size, leverage, growth, and cash flow, and a test for sectoral differences between energy and non-energy companies. The results indicate that governance scores are positively associated with ROA (β = 0.011, p = 0.092), whereas ESG scores are weakly positively associated with ROA (β = 0.020, p = 0.080). Environmental and social scores are not statistically significant to ROA or ROE. For ROE, firm size is the main significant predictor (β = 2.126, p = 0.042). The results observe significant differences between the energy and non-energy sectors, with the energy sector reporting higher financial performance after controlling for ESG. Finally, this study indicates that ESG reporting policies that promote good governance can yield faster returns to shareholders.

Acknowledgment
This study was supported by the Ministry of Research, Technology, and Greater Education and Al-Madani School of Economic Sciences. 

Type of the article: Research Article

Abstract
This study aims to empirically examine the dynamic effects of geopolitical risk, economic policy uncertainty, and climate policy uncertainty on CO₂ emissions in G7 economies, utilizing annual data from 1990 to 2022. To account for cross-sectional dependence and parameter heterogeneity, the analysis employs a cross-sectional autoregressive distributed lag (CS-ARDL) model. Diagnostic tests confirm significant cross-sectional dependence and slope heterogeneity among the variables. All variables are integrated of order one, I (1), confirmed by unit root tests. In contrast, the cointegration test provides a strong indication of a stable long-run relationship among geopolitical risk, policy uncertainty measures, and CO₂ emissions. The outcomes show that a 1% rise in the geopolitical risk index leads to a statistically significant long-run rise of 0.042% in per capita CO₂ emissions. In addition, a 1% increase in economic policy uncertainty and climate policy uncertainty is associated with long-run increases of 0.028% and 0.015%, respectively. These results remain robust across alternative estimators. Overall, the evidence suggests that heightened geopolitical risk and policy-related uncertainties significantly exacerbate environmental degradation in G7 economies, highlighting the necessity for strategies that improve stability, reduce uncertainty, and encourage renewable energy adoption as part of a long-term environmental strategy.

Type of the article: Research Article

Abstract
This study aims to investigate the economic effect of climate change by providing rigorous evidence of its impact in the most climate-susceptible economies, with Vietnam as a representative case. The study scrutinizes the economic growth impact of climate change while examining the intervening roles of renewable energy usage, trade openness, and the interaction between renewable energy usage and financial development in both the short and long run. Applying the ARDL framework using Vietnam’s data from 1992 to 2022, the results provide evidence that climate change exerts a direct influence on growth across both time horizons. Specifically, a one-degree Celsius increase in temperature is associated with an approximate 0.18% increase in GDP in the long run, and 0.018% in the short run. The findings suggest that greater reliance on renewable energy contributes positively to economic performance, as a 1% increase in the renewable energy share within the energy mix corresponds to a 1.1% expansion in GDP. In contrast, increased trade openness is found to adversely affect long-run growth, with a 1% rise in openness linked to a GDP contraction of about 0.004%. Furthermore, the joint effect of renewable energy utilization and financial development does not display a statistically significant influence on long-run growth. Conversely, short-run dynamics indicate that changes in this interaction support growth, while adjustments in renewable energy consumption and trade openness tend to dampen growth performance. The study recommends policies that enhance climate resilience, promote renewable energy, and support trade strategies to strengthen production value chains for sustainable growth.

Type of the article: Research Article

Abstract
This study investigates the long-run and short-run determinants of CO₂ emissions in African countries, with a particular focus on the roles of globalization, renewable energy consumption, and economic growth for 24 African countries over 1990–2021. Using a panel ARDL framework with PMG, MG, and DFE estimators, we estimate both short-run and long-run relationships and conduct co-integration, cross-section dependence, and robustness checks. The PMG long-run estimates confirm an Environmental Kuznets Curve: GDP has a positive long-run elasticity of 0.237 with CO₂ (p < 0.01), while its square indicates a turning point; renewable energy reduces emissions (long-run elasticity −0.158, p < 0.01); globalization (KOF index) is associated with higher emissions (elasticity 0.350, p < 0.01). Non-renewable energy results are sensitive to estimator choice. Error-correction terms are negative and significant, indicating adjustment to the long-run equilibrium. Results are robust to alternative specifications and subsamples. Policy implications include accelerating renewable deployment and adopting trade and investment policies that favor cleaner technologies to align growth with climate objectives.

Type of the article: Research Article

Abstract
Aligning environmental objectives with economic performance is an ongoing challenge in the renewable energy transition, especially in emerging solar markets facing operational inefficiencies and uneven policy implementation. This paper examines the environmental and economic efficiency of large-scale solar energy conversion projects by employing a Material Flow Cost Accounting methodology based on ISO 14051 standards. Based on the operating and financial performance data of 83 solar energy conversion projects (46 from India and 37 from Jordan) covering the period 2017–2023, avoidable energy loss costs due to dust settling, heat stress, grid curtailment, and plant downtime have been estimated and quantified cumulatively in both settings. The findings indicate a technical efficiency of 88.4% and 77.9% with an average energy loss potential of 128 and 274 gigawatt-hours per year in both settings of Jordan and India, respectively, causing an economic loss potential of 9.2% and 18.7%, respectively, collectively amounting to a financial loss potential of about 54.6 million annually. Systematic plant maintenance and coordinated use in electric grids increased output potential by about 16% and lowered costs by 13%, with efficient management options collectively leading to an 11.5% increase in financial returns in Jordan and a 19.3% boost in India’s financial performance. Based on findings, MFCA methodology is indeed capable of interlinking environmental protection with economic performance for efficient, sustainable energy policymaking within developing nations.

Type of the article: Research Article

Abstract
This study delves into the combined impact of foreign direct investment (FDI) and renewable energy consumption (REC) on carbon emissions (CO₂) in developing countries. The primary objective is to assess the moderating role of renewable energy consumption in the impact of FDI on CO₂ emissions in 50 developing countries from 2013 to 2021. To ensure rigorous accuracy in addressing potential endogenous issues in the proposed model, this study employs a two-step systematic generalization estimation (S-GMM) method. The results show that the individual impact of FDI on CO₂ emissions is positive and statistically significant, further verifying the Pollution Haven Hypothesis. Meanwhile, the combined impact of FDI and REC is inversely related to CO₂ emissions. This is considered a significant finding because renewable energy consumption can mitigate the negative impact of FDI on CO₂ emissions, supporting the Pollution Halo Hypothesis. Furthermore, REC and innovation are important supporting factors in emission reduction, implying that if developing countries prioritize clean energy use and clean technology transfer, it will significantly reduce environmental pressure. On the other hand, trade openness, natural resource rents, and economic growth have statistically significant positive effects on CO₂ emissions; increases in these variables lead to higher CO₂ emissions. Overall, the importance of REC shows that policies promoting clean energy transition are necessary for FDI to play a positive role in reducing carbon emissions instead of becoming an increasing source of environmental pollution.

Acknowledgment
We are grateful for the valuable contributions made by the peer reviewers in shaping this paper into its final form. Their commitment to scholarly excellence and their dedication to advancing the field have been instrumental in improving the quality and impact of this research.

Type of the article: Research Article

Abstract
Public infrastructure projects can generate complex and potentially irreversible environmental and social effects; hence, the adequacy of Environmental Impact Assessment (EIA) frameworks is central to safeguarding people and ecosystems. This study provides a structured comparative analysis of Morocco’s EIA framework (Law 12-03 and its reform Law 49-17) and the World Bank’s Environmental and Social Framework (ESF), using a 17-criterion performance model to identify key alignments, gaps, and priorities for regulatory reform. A documentary analysis of binding laws, decrees, and official guidance was conducted, and each criterion was rated as met, partially met, not met, or not assessed. The ESF fully meets 15 criteria, partially meets one (climate change), and one criterion (costs and benefits) could not be assessed. Morocco’s framework fully meets 11 criteria, partially meets three, does not meet two, and the costs–benefits criterion could not be assessed. Convergence is observed in core project-level requirements, including the legal basis, scope, standardized reporting, review, mitigation, impact monitoring, and consultation. Remaining gaps in Morocco are concentrated in operational and system-level instruments, notably screening, implementation of strategic assessments, system monitoring, and explicit treatment of ecosystem services; climate change adaptation is also not operationalized in either system. The findings highlight practical implications for both frameworks, while identifying prioritized implementation directions for Morocco, particularly regulatory operationalization and institutional strengthening, to improve alignment with contemporary assessment standards.

Type of the article: Research Article

Abstract
Government entities play a critical role in designing and implementing effective mitigation and adaptation strategies to address climate change. At the same time, cities are key actors in applying local environmental policies. This paper evaluates and compares the environmental performance of urban areas and countries to identify the most effective level of governance. To achieve this, an innovative quantitative index is computed: the Deterioration of Environmental Performance Index (DEPI). This composite index offers valuable insights into the sustainability of territorial development strategies. The DEPI’s annual evolution is examined for ten OECD countries and their respective urban areas over the period 2001–2020. Statistical analysis reveals that, in most cases, national-level environmental management outperforms urban areas. Specifically, all countries with non-ambiguous results exhibit lower DEPI scores (indicating better performance) than their corresponding urban areas, except for New Zealand. The results for Belgium, South Korea, and the United States of America are inconclusive. These findings highlight the vulnerability of cities to climate-related risks. In summary, national governments seem to demonstrate greater effectiveness than cities in managing five key environmental challenges: air pollution, river flooding, coastal flooding, wildfires, and heatwaves.

Acknowledgment
We thank Federica Daniele from the OECD for her valuable comments and remarks.

Type of the article: Research Article

Abstract
The study considers the impact of green governance on investor wealth through the sustainability performance of manufacturing firms in Nigeria from 2015 to 2024. The green governance variables considered in the study include environmental expense ratio, sustainability index score, social expense ratio, and environmental, social, and governance (ESG) facilitators score against earnings per share (EPS) as a proxy for investor wealth. The study adopts the ex post facto research design. This paper employed fixed-effects panel regression to analyze panel data from Dangote Cement, Lafarge Africa, and BUA Cement. The model has an overall predictive ability of 67.4%; therefore, the model was found to be appropriate (p = .001, F = 12.83). The sustainability index score (β = 0.186, p = 0.013), social expense ratio (β = 5.487, p = 0.027), and ESG facilitators scores (β = 0.212, p = 0.018) were found to be significantly and positively related to profitability, while the environmental expense ratio (β = – 1.908, p = 0.312) was found to be non-significant. It can be argued based on the findings that sustainability initiatives combined with social investment and transparent governance practices can increase the wealth of investors. But the environmental expense ratio might take more time before it turns into profitability. The research findings highlighted the theoretical and practical importance of long-term investment in sustainability practices.

Type of the article: Research Article

Abstract
This study examines the relationship between renewable energy consumption and economic growth in Morocco, while accounting for trade openness and CO₂ emissions per capita. Using annual data covering the period 1990–2024 and applying the Autoregressive Distributed Lag (ARDL) approach, the analysis captures both short-run dynamics and long-run relationships among the variables. The empirical results proved a long-term equilibrium relationship, as the bounds test rejects the null hypothesis of no cointegration, with the calculated F-statistic exceeding the upper critical bound I (1) at 10%, 5%, and 1% significance levels, and the error correction term being negative and highly significant (ECT = −0.2909), indicating that approximately 29% of short-run deviations from equilibrium are corrected each year. In the short term, the effects of renewable energy consumption on economic growth are mixed and largely delayed: while contemporaneous changes are not statistically significant, a positive and significant effect emerges after two periods. Trade openness exerts a positive and statistically significant influence with lagged effects, suggesting that increased trade activity stimulates economic growth in the short term. By contrast, CO₂ emissions per capita show an immediate positive but insignificant effect, followed by delayed negative and significant effects, reflecting short-term growth gains accompanied by subsequent environmental pressures. In the long run, renewable energy consumption and CO₂ emissions per capita are associated with a positive and statistically significant effect on economic growth, whereas the long-run impact of trade openness, despite a positive coefficient, remains statistically insignificant.

Type of the article: Research Article

Abstract
This study examines the determinants of sustainable performance by investigating the role of green relational capital, with green innovation and green entrepreneurial orientation as mediators, among 193 tourism-based MSME owners operating across tourism destinations in East Java, Indonesia. The proposed research model was empirically tested using partial least squares–structural equation modeling (PLS-SEM). The findings show that green relational capital has a significant effect on sustainable performance (β = 0.330, p < 0.01) and significantly influences green innovation (β = 0.725, p < 0.01) as well as green entrepreneurial orientation (β = 0.565, p < 0.01). Green innovation significantly affects sustainable performance (β = 0.329, p < 0.01), as does green entrepreneurial orientation (β = 0.287, p < 0.01). Furthermore, green innovation mediates the relationship between green relational capital and sustainable performance (β = 0.162, p < 0.01), while green entrepreneurial orientation also acts as a mediator (β = 0.238, p < 0.01). These results underscore the strategic importance of leveraging environmentally oriented relational networks to enhance innovation capabilities and entrepreneurial orientation in supporting sustainability goals among tourism-sector MSMEs.

Acknowledgment
This study was supported by a grant from the Directorate of Research and Community Service, Ministry of Education, Culture, Research, and Technology of Indonesia, through the Fundamental Basic Research Program 2025, under contract number 128/C3/DT.05.00/PL/2025.

Type of the article: Research Article

Abstract
The study aims to explore the effect of institutional pressures (INP) on environmental management accounting (EMA) and the mediating role of sustainable corporate governance (SCG) on the effects of EMA on sustainability performance. The partial least squares structural equation modeling (PLS-SEM) was applied to test the hypotheses. Data were gathered through a survey of 298 publicly listed companies in Saudi Arabia, using questionnaires distributed to executives, financial managers, accountants, and board members. The results show that INP has a significant positive effect on EMA (β = 0.295, T = 6.062); in turn, EMA has a significant positive effect on environmental (β = 0.295), social (β = 0.332), and economic (β = 0.332) performance. Mediation analysis demonstrates that SCG acts as a significant mediator between INP and EMA (β = 0.113, T = 2.366), and EMA shows significant mediation between INP and environmental (β = 0.115), social (β = 0.126), and economic (β = 0.174) performance. These findings demonstrate that INP has both direct and indirect impacts on sustainability performance through EMA. A robust SCG structure strengthens the linkage between external INP and EMA adoption and provides the linkage with an internal legitimating mechanism. These outcomes bring forward the role of EMA as a mediating variable for materializing the effects of external pressures driven by the legitimacy needs into sustainability performance. The findings add to the body of knowledge of institutional theory by emphasizing the role of concurrent external institutional forces and internal factors that affect corporate sustainability performance.

Type of the article: Research Article

Abstract
The environmental consequences of trade liberalization remain a critical concern for developing countries pursuing World Trade Organization (WTO) membership. Uzbekistan’s recent economic reforms and accelerated integration into global markets necessitate an empirical assessment of how trade openness and economic growth interact with carbon emissions. This study aims to examine the long-run and short-run relationships between real GDP, trade openness, and per capita CO₂ emissions in Uzbekistan. The Autoregressive Distributed Lag (ARDL) bounds testing approach is applied to annual time series data from 1997 to 2024. The Augmented Dickey–Fuller test confirms that all variables are integrated of order I(1), and the ARDL(1,4,0) model is selected based on the Akaike Information Criterion. The bounds test F-statistic (4.607) exceeds the upper critical value at the 5% significance level, confirming long-run cointegration. The estimated long-run elasticities suggest that a 1% increase in GDP is associated with a 0.196% decrease in CO₂ emissions while a 1% increase in trade openness corresponds to a 0.185% reduction in emissions. These findings support the pollution halo hypothesis. The error correction coefficient of −0.94 indicates a rapid adjustment toward equilibrium. Validated by robust diagnostic tests, the results provide empirical evidence that Uzbekistan’s trade integration is compatible with environmental sustainability, offering policy guidance for aligning WTO accession strategies with green development objectives.