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Automating the Construction of Environmental Policy Knowledge Graph with Large Language Models

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  • Yuexiang Yang

    (School of Management, China University of Mining & Technology (Beijing), Beijing 100083, China)

  • Xuewen Liu

    (School of Management, China University of Mining & Technology (Beijing), Beijing 100083, China)

  • Xinyu Tu

    (School of Management, China University of Mining & Technology (Beijing), Beijing 100083, China)

  • Yali Lu

    (School of Management, China University of Mining & Technology (Beijing), Beijing 100083, China)

  • Yue Wang

    (China Energy Technology & Economics Research Institute (CETERI) of CHN Energy, Beijing 102209, China)

Abstract

Enterprises engaged in transnational operations are confronted with increasingly complex environmental policies and compliance challenges. A critical hurdle to achieving sustainable development lies in rapidly and accurately extracting environmental protection requirements from vast volumes of policy. To address this, our study introduces an automated framework for knowledge graph construction, termed iteration–extraction–optimization (IEO), driven by a large language model (LLM). Diverging from conventional linear extraction methods, the IEO framework employs an iterative enhancement process to progressively build and refine a policy knowledge network, capturing the intricate relationships among legislation, institutions, and environmental obligations. As a case study, we applied the framework to Niger’s environmental policy, constructing a large-scale knowledge graph with 61,912 entities and 81,389 relations. Preliminary evaluations demonstrate the framework’s high performance in knowledge capture completeness, achieving a recall of 0.93 and an F1-score of 0.84. This research presents a novel paradigm for the intelligent parsing of environmental policy texts, providing a knowledge graph that serves as a vital decision-support tool for corporate environmental risk management and strategic sustainability planning.

Suggested Citation

  • Yuexiang Yang & Xuewen Liu & Xinyu Tu & Yali Lu & Yue Wang, 2025. "Automating the Construction of Environmental Policy Knowledge Graph with Large Language Models," Sustainability, MDPI, vol. 17(22), pages 1-19, November.
  • Handle: RePEc:gam:jsusta:v:17:y:2025:i:22:p:10282-:d:1796576
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