Synergistic pathways towards greening and digital transformations of Chinese primary energy producers: Reassessing the microeconomic effects of environmental regulation

Integrating environmental regulation (ER) into the research framework of digital transformation (DT) and total factor productivity (TFP) to address the synergistic pathways towards greening and digital transformations of primary energy producers is essential for socioeconomic sustainable development. This paper innovatively constructs a mediated nonlinear moderation effect model to reassess the dynamic effects, underlying mechanisms, and boundary conditions of ER on the relationship between DT and TFP. The key findings are as follows. (1) DT significantly and sustainably enhances TFP, especially among non-state-owned and fossil energy producers. (2) Improving management efficiency has a greater impact on elevating TFP than enhancing innovation efficiency, primarily due to increased main business revenues, reduced agency costs, and the substitution of low-skilled labor. (3) ER exhibits a significant inverted U-shaped moderation effect on the relationship between DT and TFP, peaking at an ER intensity of 4.61 %. (4) This inverted U-shaped moderation effect can be effectively transmitted through both management and innovation efficiencies. These findings highlight that improving both management and innovation efficiencies creates synergistic pathways for primary energy producers to achieve greening and digital transformations. It provides novel insights for developing countries like China in formulating energy and environmental policies and assessing their microeconomic effects.