From oil and mineral extraction to renewable energy: Analyzing the efficiency of green technology innovation in the transformation of the oil and gas sector in the extractive industry

This study explores the transformation process within the oil and gas sector of the extractive industry. It examines the move from conventional oil and mineral extraction methods towards renewable energy sources facilitated by advancements in green technological innovation. Using the Autoregressive Distributed Lag (ARDL) model, this research looks at the evolution of major oil and gas companies from 2010 to 2021. The issue statement focuses on identifying the drivers behind the extraction industry's transition to renewable energy. This study used the ARDL model to examine the long- and short-term connections between many factors, such as spending on renewable energy, oil output, carbon emissions, and financial performance measures. This research investigates the efficacy of the shift, as mentioned above, by analyzing its environmental and economic ramifications. The study illuminates the viability and efficacy of implementing environmentally friendly technology using a comprehensive methodology that combines environmental impact analyses with economic efficiency evaluations. Using a combination of factual data and case studies, this research brings attention to the possible advantages that may be derived from adopting green technology. These benefits include a decrease in carbon emissions, an improvement in the sustainability of resources, and the possibility of economic diversification. Furthermore, the research highlights the difficulties and obstacles impeding the transition, emphasizing the need for policies and expenditures that assist. This study ultimately adds to the academic conversation on the transition of the extractive sector towards sustainable energy solutions, providing valuable insights for policymakers, industry stakeholders, and environmental campaigners.