Governance Matters: Evidence from Global Analysis on Environmental Sustainable Development Goals

This study explores how governance acts as a critical mediator between key environmental Sustainable Development Goals (SDGs)—SDG 13 (Climate Action), SDG 14 (Life Below Water), and SDG 15 (Life on Land)—and overall sustainability performance. Leveraging global datasets from the UN SDG framework and World Bank Governance Indicators, we construct a composite governance index using Principal Component Analysis (PCA) to capture institutional quality. Through mediation and path analysis, we reveal striking patterns: governance amplifies the positive impact of SDG 15 on the overall SDG Index, underscoring its role in biodiversity and land management. Conversely, governance introduces an adverse indirect effect for SDG 13, highlighting institutional and regulatory gaps that weaken climate policy outcomes. No significant mediation is observed for SDG 14, indicating strong contextual dependencies in marine governance. These findings confirm governance as a pivotal driver—either reinforcing or constraining environmental progress. Strengthening governance frameworks through transparency, accountability, and regulatory quality can accelerate progress toward the SDGs and advance the 2030 Agenda. This study provides empirical evidence on governance as a mediator and deepens understanding of institutional mechanisms shaping sustainability trajectories.