Beyond Growth: The Triple Green Strategy (Green Energy, Green Innovation, and Green Finance) for Sustainable Emissions Reduction in BRICS Countries

In recent decades, rapid development in emerging economies, particularly within the BRICS bloc, has intensified climate challenges, threatening environmental sustainability. Green energy, technological innovation, and carbon pricing strategies have emerged as key tools for mitigating these impacts while promoting green economic growth, aligning with international goals such as the 2030 SDGs and the pledge for carbon neutrality by 2060. However, balancing socio‐economic growth with environmental sustainability remains a significant challenge for BRICS countries. This study investigates the impact of green energy, green innovation, technological diffusion, green finance, economic growth, and natural resource rents on CO2 emissions in BRICS economies from 1995 to 2022. The research employs advanced panel data techniques, specifically the Augmented Mean Group (AMG) and Common Correlated Effects Mean Group (CCEMG) models, to account for cross‐sectional dependence and heterogeneity. The empirical results show that green energy, green innovation, and green finance all have a significant negative impact on CO2 emissions, contributing to emission reductions. In contrast, economic growth and technological diffusion are positively associated with CO2 emissions, indicating that higher economic growth and technological diffusion lead to an increase in emissions. The Dumitrescu and Hurlin panel causality tests reveal bidirectional causal relationships, suggesting that not only do these factors influence emissions, but emissions also impact the advancement of green technologies and economic growth. Based on these findings, the study recommends policy actions to support SDG targets, particularly SDG 7, SDG 8, SDG 9, and SDG 13, through the promotion of green energy, innovation, R&D, and circular economy practices.