Digitalization and Renewable Energy Transition Synergy in ASEAN Economies: Pathways to Environmental Sustainability

Digitalization and Renewable Energy Transition Synergy in ASEAN Economies: Pathways to Environmental Sustainability | Research Square window.SnipcartSettings = { analytics: { enabled: false } }; (function() { var accessVector = localStorage.getItem('access_vector') || ''; window.dataLayer = window.dataLayer || []; if (accessVector) { window.dataLayer.push({ user: { profile: { profileInfo: { snid: accessVector } } } }); } })(); (function(w,d,s,l,i){w[l]=w[l]||[];w[l].push({'gtm.start':new Date().getTime(),event:'gtm.js'});var f=d.getElementsByTagName(s)[0],j=d.createElement(s),dl=l!='dataLayer'?'&l='+l:'';j.async=true;j.src='https://www.googletagmanager.com/gtm.js?id='+i+dl;f.parentNode.insertBefore(j,f);})(window,document,'script','dataLayer','GTM-K279D39R'); Browse Preprints In Review Journals COVID-19 Preprints AJE Video Bytes Research Tools Research Promotion AJE Professional Editing AJE Rubriq About Preprint Platform In Review Editorial Policies Our Team Advisory Board Help Center Sign In Submit a Preprint Cite Share Download PDF Research Article Digitalization and Renewable Energy Transition Synergy in ASEAN Economies: Pathways to Environmental Sustainability Shoaib Akhtar, Jamal Hussain This is a preprint; it has not been peer reviewed by a journal. https://doi.org/ 10.21203/rs.3.rs-8238790/v1 This work is licensed under a CC BY 4.0 License Status: Posted Version 1 posted You are reading this latest preprint version Abstract This study empirically investigates the synergistic effects of digitalization and the renewable energy transition on environmental sustainability—measured by the Load Capacity Factor (LCF)—in five ASEAN economies (Indonesia, Malaysia, the Philippines, Thailand, Vietnam) from 1995 to 2022. Utilizing a composite digitalization index constructed via Principal Component Analysis (PCA), the research employs robust panel methodologies (AMG, CCEMG, and CS-ARDL) to account for cross-sectional dependence and heterogeneity. The findings demonstrate that both digitalization and renewable energy significantly enhance LCF, with a one-standard-deviation increase in the digital index boosting LCF by 12.6%. Conversely, economic growth exerts a detrimental effect. Causality tests confirm a reinforcing bidirectional relationship between sustainability and its key drivers. The study concludes that integrated policies fostering low-carbon digital infrastructure and incentivizing renewables are crucial for achieving Sustainable Development Goals in these rapidly evolving, resource-dependent regions. Digitalization Renewable Energy transition Environmental Sustainability Load Capacity Factor (LCF) ASEAN Full Text Additional Declarations No competing interests reported. Cite Share Download PDF Status: Posted Version 1 posted You are reading this latest preprint version Research Square lets you share your work early, gain feedback from the community, and start making changes to your manuscript prior to peer review in a journal. As a division of Research Square Company, we’re committed to making research communication faster, fairer, and more useful. We do this by developing innovative software and high quality services for the global research community. Our growing team is made up of researchers and industry professionals working together to solve the most critical problems facing scientific publishing. Also discoverable on Platform About Our Team In Review Editorial Policies Advisory Board Help Center Resources Author Services Accessibility API Access RSS feed Manage Cookie Preferences © Research Square 2026 | ISSN 2693-5015 (online) Privacy Policy Terms of Service Do Not Sell My Personal Information {"props":{"pageProps":{"initialData":{"identity":"rs-8238790","acceptedTermsAndConditions":true,"allowDirectSubmit":true,"archivedVersions":[],"articleType":"Research Article","associatedPublications":[],"authors":[{"id":568557935,"identity":"5c71b443-ed18-407e-a5df-27a7c83c884f","order_by":0,"name":"Shoaib Akhtar","email":"","orcid":"","institution":"Karakoram International University","correspondingAuthor":false,"prefix":"","firstName":"Shoaib","middleName":"","lastName":"Akhtar","suffix":""},{"id":568557937,"identity":"cbbb7907-5063-43a3-8a41-87f4f433ffa4","order_by":1,"name":"Jamal Hussain","email":"data:image/png;base64,iVBORw0KGgoAAAANSUhEUgAAAZAAAAAyAQMAAABI0h/eAAAABlBMVEX///8AAABVwtN+AAAACXBIWXMAAA7EAAAOxAGVKw4bAAABC0lEQVRIiWNgGAWjYBACxgYg8YDhAJhzgKEigQfEkABiA7xaEuBazhChBQxgWhgY2xIYCGphbj+d+CGB4U7i/P7DDw8XzkuTMTjAfPA2D8MdY5wO68ndLJHA8Cxxw400g8Mzt+XwGBxgS7bmYXhmhtsvuRuAWg4nbpBgMDjMu60CqIXHTJqH4bANTi39bzf/AGmZ33/8w2HeOSAt/N/wa5mRuw1sS8OBHKAtDSCH8bCBtOB22Iy32ywSDA4bb7iRU3CY51gaj+RhNmPLOQbPcHrfsD93840PFYdlgQ7b/JmnJtme73jzwxtvKu4YNuDSApZAiQNmsMgBXJYwyOOSwK1lFIyCUTAKRhwAALGkXoGCEMAWAAAAAElFTkSuQmCC","orcid":"","institution":"Karakoram International University","correspondingAuthor":true,"prefix":"","firstName":"Jamal","middleName":"","lastName":"Hussain","suffix":""}],"badges":[],"createdAt":"2025-11-29 18:38:14","currentVersionCode":1,"declarations":"","doi":"10.21203/rs.3.rs-8238790/v1","doiUrl":"https://doi.org/10.21203/rs.3.rs-8238790/v1","draftVersion":[],"editorialEvents":[],"editorialNote":"","failedWorkflow":false,"files":[{"id":99592398,"identity":"e88d8d67-d161-4795-b27d-4991efcd6963","added_by":"auto","created_at":"2026-01-06 09:06:47","extension":"docx","order_by":0,"title":"","display":"","copyAsset":false,"role":"acdc-reference","size":444701,"visible":true,"origin":"","legend":"","description":"","filename":"Manuscript.docx","url":"https://assets-eu.researchsquare.com/files/rs-8238790/v1/5d1c21d8888c886cc9f0749a.docx"},{"id":99592396,"identity":"695df66d-755c-4431-9430-bbfc2bd0d82f","added_by":"auto","created_at":"2026-01-06 09:06:47","extension":"json","order_by":1,"title":"","display":"","copyAsset":false,"role":"acdc-reference","size":3917,"visible":true,"origin":"","legend":"","description":"","filename":"d5a3cbb036964fe495d2d3779e4e4c7f.json","url":"https://assets-eu.researchsquare.com/files/rs-8238790/v1/aba97c622b1edc7411d12786.json"},{"id":99792646,"identity":"7570c469-6d02-4e61-b2a8-50d40715c231","added_by":"auto","created_at":"2026-01-08 13:23:24","extension":"xml","order_by":2,"title":"","display":"","copyAsset":false,"role":"acdc-reference","size":190542,"visible":true,"origin":"","legend":"","description":"","filename":"d5a3cbb036964fe495d2d3779e4e4c7f1enriched.xml","url":"https://assets-eu.researchsquare.com/files/rs-8238790/v1/134fc032923f1f63a42aa7c2.xml"},{"id":99792346,"identity":"3309b13c-49b8-49db-b941-ed5f522cf398","added_by":"auto","created_at":"2026-01-08 13:18:26","extension":"eps","order_by":4,"title":"","display":"","copyAsset":false,"role":"acdc-reference","size":224802,"visible":true,"origin":"","legend":"","description":"","filename":"drawingimage2.eps","url":"https://assets-eu.researchsquare.com/files/rs-8238790/v1/a14a5cee3961b802ab2920a9.eps"},{"id":99592402,"identity":"606f9909-748f-4c8a-b38c-4142194fca0a","added_by":"auto","created_at":"2026-01-06 09:06:47","extension":"jpeg","order_by":9,"title":"","display":"","copyAsset":false,"role":"acdc-reference","size":218706,"visible":true,"origin":"","legend":"","description":"","filename":"floatimage1.jpeg","url":"https://assets-eu.researchsquare.com/files/rs-8238790/v1/c12b44c2332e2ccb41fee6af.jpeg"},{"id":99592397,"identity":"eabbc1bf-8ab8-436d-881c-15b600f8e8d5","added_by":"auto","created_at":"2026-01-06 09:06:47","extension":"png","order_by":10,"title":"","display":"","copyAsset":false,"role":"acdc-reference","size":48433,"visible":true,"origin":"","legend":"","description":"","filename":"Onlinefloatimage1.png","url":"https://assets-eu.researchsquare.com/files/rs-8238790/v1/ea57fe5c68f841219e03c836.png"},{"id":99792719,"identity":"b7ec988e-f049-45ec-9379-90e2d22b4af4","added_by":"auto","created_at":"2026-01-08 13:25:15","extension":"xml","order_by":11,"title":"","display":"","copyAsset":false,"role":"acdc-reference","size":187259,"visible":true,"origin":"","legend":"","description":"","filename":"d5a3cbb036964fe495d2d3779e4e4c7f1structuring.xml","url":"https://assets-eu.researchsquare.com/files/rs-8238790/v1/0b9562a10f473dd88b75ef9c.xml"},{"id":99592403,"identity":"321d3dc2-5084-4e88-97b7-116715dc385e","added_by":"auto","created_at":"2026-01-06 09:06:47","extension":"html","order_by":12,"title":"","display":"","copyAsset":false,"role":"acdc-reference","size":202938,"visible":true,"origin":"","legend":"","description":"","filename":"earlyproof.html","url":"https://assets-eu.researchsquare.com/files/rs-8238790/v1/5d22481a66d479fca8dae144.html"},{"id":99804041,"identity":"aa013f78-e603-4757-a2b7-27b7c4917571","added_by":"auto","created_at":"2026-01-08 14:11:37","extension":"pdf","order_by":1,"title":"","display":"","copyAsset":false,"role":"manuscript-pdf","size":992562,"visible":true,"origin":"","legend":"","description":"","filename":"Manuscript.pdf","url":"https://assets-eu.researchsquare.com/files/rs-8238790/v1_covered_b42de735-f5c3-4dd1-b16b-afd8aa581f45.pdf"}],"financialInterests":"No competing interests reported.","formattedTitle":"Digitalization and Renewable Energy Transition Synergy in ASEAN Economies: Pathways to Environmental Sustainability","fulltext":[],"fulltextSource":"","fullText":"","funders":[],"hasAdminPriorityOnWorkflow":false,"hasManuscriptDocX":false,"hasOptedInToPreprint":true,"hasPassedJournalQc":"","hasAnyPriority":false,"hideJournal":true,"highlight":"","institution":"","isAcceptedByJournal":false,"isAuthorSuppliedPdf":true,"isDeskRejected":"","isHiddenFromSearch":false,"isInQc":false,"isInWorkflow":false,"isPdf":true,"isPdfUpToDate":true,"isWithdrawnOrRetracted":false,"journal":{"display":true,"email":"[email protected]","identity":"researchsquare","isNatureJournal":false,"hasQc":true,"allowDirectSubmit":true,"externalIdentity":"","sideBox":"","snPcode":"","submissionUrl":"/submission","title":"Research Square","twitterHandle":"researchsquare","acdcEnabled":true,"dfaEnabled":false,"editorialSystem":"","reportingPortfolio":"","inReviewEnabled":false,"inReviewRevisionsEnabled":true},"keywords":"Digitalization, Renewable Energy transition, Environmental Sustainability, Load Capacity Factor (LCF), ASEAN","lastPublishedDoi":"10.21203/rs.3.rs-8238790/v1","lastPublishedDoiUrl":"https://doi.org/10.21203/rs.3.rs-8238790/v1","license":{"name":"CC BY 4.0","url":"https://creativecommons.org/licenses/by/4.0/"},"manuscriptAbstract":"\u003cp\u003eThis study empirically investigates the synergistic effects of digitalization and the renewable energy transition on environmental sustainability\u0026mdash;measured by the Load Capacity Factor (LCF)\u0026mdash;in five ASEAN economies (Indonesia, Malaysia, the Philippines, Thailand, Vietnam) from 1995 to 2022. Utilizing a composite digitalization index constructed via Principal Component Analysis (PCA), the research employs robust panel methodologies (AMG, CCEMG, and CS-ARDL) to account for cross-sectional dependence and heterogeneity. The findings demonstrate that both digitalization and renewable energy significantly enhance LCF, with a one-standard-deviation increase in the digital index boosting LCF by 12.6%. Conversely, economic growth exerts a detrimental effect. Causality tests confirm a reinforcing bidirectional relationship between sustainability and its key drivers. The study concludes that integrated policies fostering low-carbon digital infrastructure and incentivizing renewables are crucial for achieving Sustainable Development Goals in these rapidly evolving, resource-dependent regions.\u003c/p\u003e","manuscriptTitle":"Digitalization and Renewable Energy Transition Synergy in ASEAN Economies: Pathways to Environmental Sustainability","msid":"","msnumber":"","nonDraftVersions":[{"code":1,"date":"2026-01-06 09:06:42","doi":"10.21203/rs.3.rs-8238790/v1","editorialEvents":[{"type":"communityComments","content":1}],"status":"published","journal":{"display":true,"email":"[email protected]","identity":"researchsquare","isNatureJournal":false,"hasQc":true,"allowDirectSubmit":true,"externalIdentity":"","sideBox":"","snPcode":"","submissionUrl":"/submission","title":"Research Square","twitterHandle":"researchsquare","acdcEnabled":true,"dfaEnabled":false,"editorialSystem":"","reportingPortfolio":"","inReviewEnabled":false,"inReviewRevisionsEnabled":true}}],"origin":"","ownerIdentity":"43395877-6f28-4059-b4ef-251735a8df7a","owner":[],"postedDate":"January 6th, 2026","published":true,"recentEditorialEvents":[],"rejectedJournal":[],"revision":"","amendment":"","status":"posted","subjectAreas":[],"tags":[],"updatedAt":"2026-05-10T10:09:56+00:00","versionOfRecord":[],"versionCreatedAt":"2026-01-06 09:06:42","video":"","vorDoi":"","vorDoiUrl":"","workflowStages":[]},"version":"v1","identity":"rs-8238790","journalConfig":"researchsquare"},"__N_SSP":true},"page":"/article/[identity]/[[...version]]","query":{"redirect":"/article/rs-8238790","identity":"rs-8238790","version":["v1"]},"buildId":"XKTyCvWXoU3ODBz1xrDgd","isFallback":false,"isExperimentalCompile":false,"dynamicIds":[84888],"gssp":true,"scriptLoader":[]}