Politická ekonomie X:X | DOI: 10.18267/j.polek.1533

Role of Technological Innovation in Strengthening Energy Security and Advancing Carbon Neutrality: Implications for Green Investment in China

Huma Naz, Zhang Jingxiao, Inayat Khan
Huma Naz, School of Economic & Management, Chang'an University, Xi'an, Shaangxi, China
Zhang Jingxiao (corresponding author), School of Economic & Management, Chang'an University, Xi'an, Shaangxi, China
Inayat Khan (corresponding author), School of Economic & Management China, University of Mining and Technology, Xuzhou, Jiangsu, China

This study examines the impact of advanced technologies, including built environment technology, electricity grade technology, hydrogen technology, offshore water technology, electric vehicles technology and renewable energy integration, on China\\\'s transition toward a low-carbon economy. Utilizing time-series data from the World Development Indicators and the Global Electric Vehicle databases (1991-2022), we analyzed the effectiveness of these innovations in reducing carbon emissions while fostering economic and environmental resilience. Our findings reveal that technological advancements contribute to decarbonization efforts and drive substantial green investments, reinforcing China\\\'s position as a global leader in sustainable energy transitions. The findings also show a significant positive influence of vehicle electrification on green investment and zero-carbon capture in the country. The results offer valuable insights for policymakers and investors on environmental sustainability to balance energy security. It also provides guidelines for global economies seeking to achieve economic growth.

Keywords: Energy security, technological innovation, carbon neutrality, green investment

Received: March 27, 2025; Revised: September 14, 2025; Accepted: September 20, 2025; Prepublished online: April 4, 2026 

Download citation
  • BibTeX (.bib)
  • Bookends (.ris)
  • EasyBib (.ris)
  • EndNote (.enw)
  • EndNote 8 (.xml)
  • ISI WoS (.isi)
  • Medlars (.medlars)
  • Mendeley (.ris)
  • MODS (.xml)
  • Papers (.ris)
  • RefWorks (.txt)
  • RefManager (.ris)
  • RIS (.ris)
  • MS Word (.xml)
  • Zotero (.ris)
    • Open full article

    References

    1. Ardito, L., Procaccianti, G., Menga, G., & Morisio, M. (2013). Smart grid technologies in Europe: An overview. Energies, 6(1), 251-281. Go to original source...
    2. Abdul-Salam, Y., & Phimister, E. (2016). The politico-economics of electricity planning in developing countries: A case study of Ghana. Energy Policy, 88, 299-309. Go to original source...
    3. Abraham, Y. S., & Anumba, C. J. (2020). Identifying Operational Considerations for Sustainable and Resilient Building Systems. Paper presented at the Construction Research Congress 2020: Infrastructure Systems and Sustainability. Go to original source...
    4. Bazilian, M., Rogner, H., Howells, M., Hermann, S., Arent, D., Gielen, D., Tol, R. S. (2011). Considering the energy, water, and food nexus: Towards an integrated modelling approach. Energy Policy, 39(12), 7896-7906. Go to original source...
    5. Bian, Y., Lv, K., & Yu, A. (2017). China's regional energy and carbon dioxide emissions efficiency evaluation with the presence of recovery energy: An interval slacks-based measure approach. Annals of Operations Research, 255(1), 301-321. Go to original source...
    6. Deng, J., Li, M., Liu, F., & Ding, Y. (2025). Impact of green technology innovation on firm performance: does firm lifecycle stage matter? Applied Economics, 1-16. Go to original source...
    7. Di Giuliano, A., & Gallucci, K. (2018). Sorption enhanced steam methane reforming based on nickel and calcium looping: a review. Chemical Engineering and Processing-Process Intensification, 130, 240-252. Go to original source...
    8. Durakovic, G., del Granado, P. C., & Tomasgard, A. (2023). Powering Europe with North Sea offshore wind: The impact of hydrogen investments on grid infrastructure and power prices. Energy, 263, 125654. Go to original source...
    9. Emodi, N. V., Lovell, H., Levitt, C., & Franklin, E. (2021). A systematic literature review of societal acceptance and stakeholders' perception of hydrogen technologies. International Journal of Hydrogen Energy, 46(60), 30669-30697. Go to original source...
    10. Farhangi, H. (2009). The path of the smart grid. IEEE Power and Energy Magazine, 8(1), 18-28. Go to original source...
    11. Font-Palma, C., Cann, D., & Udemu, C. (2021). Review of cryogenic carbon capture innovations and their potential applications. C, 7(3), 58. Go to original source...
    12. Gao, X., Pishdad-Bozorgi, P., Shelden, D. R., & Tang, S. (2021). Internet of things enabled data acquisition framework for smart building applications. Journal of Construction Engineering and Management, 147(2), 04020169. Go to original source...
    13. George, A., Shen, B., Craven, M., Wang, Y., Kang, D., Wu, C., & Tu, X. (2021). A Review of Non-Thermal Plasma Technology: A novel solution for CO2 conversion and utilization. Renewable and Sustainable Energy Reviews, 135, 109702. Go to original source...
    14. Ghiat, I., & Al-Ansari, T. (2021). A review of carbon capture and utilisation as a CO2 abatement opportunity within the EWF nexus. Journal of CO2 Utilization, 45, 101432. Go to original source...
    15. Hills, C. D., Tripathi, N., & Carey, P. J. (2020). Mineralization technology for carbon capture, utilization, and storage. Frontiers in Energy Research, 8, 142. Go to original source...
    16. Hoshino, Y., Imamura, K., Yue, M., Inoue, G., & Miura, Y. (2012). Reversible absorption of CO2 triggered by phase transition of amine-containing micro-and nanogel particles. Journal of the American Chemical Society, 134(44), 18177-18180. Go to original source...
    17. IEA (2025). Global EV Data Explorer. [Retrieved 2025-03-27] Available at: https://www.iea.org/data-and-statistics/data-tools/global-ev-data-explorer
    18. Ivson, P., Moreira, A., Queiroz, F., Santos, W., & Celes, W. (2019). A systematic review of visualization in building information modeling. IEEE Transactions on Visualization and Computer Graphics, 26(10), 3109-3127. Go to original source...
    19. Jia, R., Jin, B., Jin, M., Zhou, Y., Konstantakopoulos, I. C., Zou, H., Arghandeh, R. (2018). Design automation for smart building systems. Proceedings of the IEEE, 106(9), 1680-1699. Go to original source...
    20. Jimada-Ojuolape, B., & Teh, J. (2022). Composite reliability impacts of synchrophasor-based DTR and SIPS cyber-physical systems. IEEE Systems Journal, 16(3), 3927-3938. Go to original source...
    21. Kadapure, S. A. (2021). The biotechnology approach for sustainable concrete material-a review. Magazine of Concrete Research, 73(24), 1241-1249. Go to original source...
    22. Kim, S.-G., Hur, S.-I., & Chae, Y.-J. (2010). Smart grid and its implications for electricity market design. Journal of Electrical Engineering and Technology, 5(1), 1-7. Go to original source...
    23. Koshkin, M. (2020). Technology "smart grid" at production facilities of the energy complex. Paper presented at the MATEC Web of Conferences.
    24. Kumar, S., Arzaghi, E., Baalisampang, T., Garaniya, V., & Abbassi, R. (2023). Insights into decision-making for offshore green hydrogen infrastructure developments. Process Safety and Environmental Protection.
    25. Lawal, O. A., & Teh, J. (2023a). Dynamic line rating forecasting algorithm for a secure power system network. Expert Systems with Applications, 219, 119635. Go to original source...
    26. Lawal, O. A., & Teh, J. (2023b). A framework for modelling the reliability of dynamic line rating operations in a cyber-physical power system network. Sustainable Energy, Grids and Networks, 35, 101140. Go to original source...
    27. Lai, Ching-Ming, and Jiashen The (2022). Network topology optimisation based on dynamic thermal rating and battery storage systems for improved wind penetration and reliability. Applied Energy, 305, 117837. Go to original source...
    28. Lai, C. M., & Teh, J. (2022). Comprehensive review of the dynamic thermal rating system for sustainable electrical power systems. Energy Reports, 8, 3263-3288. Go to original source...
    29. Li, G., Luo, Z., & Liao, C. (2025). Power capacity optimization and long-term planning for a multi-energy complementary base towards carbon neutrality. Energy, 137644. Go to original source...
    30. Li, J., Liang, M., Cheng, W., & Wang, S. (2021). Life cycle cost of conventional, battery electric, and fuel cell electric vehicles considering traffic and environmental policies in China. International Journal of Hydrogen Energy, 46(14), 9553-9566. Go to original source...
    31. Li, W., Long, R., Chen, H., Chen, F., Zheng, X., He, Z., & Zhang, L. (2020). Willingness to pay for hydrogen fuel cell electric vehicles in China: A choice experiment analysis. International Journal of Hydrogen Energy, 45(59), 34346-34353. Go to original source...
    32. Li, Y., Qian, K., Wang, Z., & Xu, A. (2024). The evolution of China's wind power industry innovation network from the perspective of multidimensional proximity. Technology Analysis & Strategic Management, 1-15.
    33. Liu, F., Zhao, F., Liu, Z., & Hao, H. (2018). The impact of fuel cell vehicle deployment on road transport greenhouse gas emissions: The China case. International Journal of Hydrogen Energy, 43(50), 22604-22621. Go to original source...
    34. Lee, W. J., Li, C., Prajitno, H., Yoo, J., Patel, J., Yang, Y., & Lim, S. (2021). Recent trend in thermal catalytic low temperature CO2 methanation: A critical review. Catalysis Today, 368, 2-19. Go to original source...
    35. Lian, S., Song, C., Liu, Q., Duan, E., Ren, H., & Kitamura, Y. (2021). Recent advances in ionic liquids-based hybrid processes for CO2 capture and utilization. Journal of Environmental Sciences, 99, 281-295. Go to original source...
    36. Liu, G., Kong, Z., Sun, W., Li, J., Qi, Z., Wu, C., & Li, C. (2023). Impacts of offshore wind power development on China's marine economy and environment: A study from 2006 to 2019. Journal of Cleaner Production, 423, 138618. Go to original source...
    37. Liu, F., Zhao, F., Liu, Z., & Hao, H. (2018). The impact of fuel cell vehicle deployment on road transport greenhouse gas emissions: The China case. International Journal of Hydrogen Energy, 43(50), 22604-22621. Go to original source...
    38. Luo, J., Zhuo, W., & Xu, B. (2024). A deep neural network-based assistive decision method for financial risk prediction in carbon trading market. Journal of Circuits, Systems and Computers, 33(08), 2450153. Go to original source...
    39. Luo, J., Zhuo, W., Liu, S., & Xu, B. (2024). The optimization of carbon emission prediction in low carbon energy economy under big data. IEEE Access. Go to original source...
    40. Noussan, M., Raimondi, P. P., Scita, R., & Hafner, M. (2020). The role of green and blue hydrogen in the energy transition: A technological and geopolitical perspective. Sustainability, 13(1), 298. Go to original source...
    41. Ma, S.-C., Fan, Y., & Feng, L. (2017). An evaluation of government incentives for new energy vehicles in China focusing on vehicle purchasing restrictions. Energy Policy, 110, 609-618. Go to original source...
    42. Mathews, J., Thurbon, E., Kim, S. Y., & Tan, H. (2023). Gone with the wind: how state power and industrial policy in the offshore wind power sector are blowing away the obstacles to East Asia's green energy transition. Review of Evolutionary Political Economy, 4(1), 27-48. Go to original source...
    43. Merli, R., Preziosi, M., Acampora, A., Lucchetti, M. C., & Petrucci, E. (2020). Recycled fibers in reinforced concrete: A systematic literature review. Journal of Cleaner Production, 248, 119207. Go to original source...
    44. Miller, E., Randolph, K., & Peterson, D. (2018). The Hydrogen Consortium: Foundational early stage water-splitting research supporting diversification of the domestic hydrogen supply chain. Current Opinion in Electrochemistry, 12, 196-201. Go to original source...
    45. Park, J. H., Yang, J., Kim, D., Gim, H., Choi, W. Y., & Lee, J. W. (2022). Review of recent technologies for transforming carbon dioxide to carbon materials. Chemical Engineering Journal, 427, 130980. Go to original source...
    46. Qiu, L., Yu, R., Hu, F., Zhou, H., & Hu, H. (2023). How can China's medical manufacturing listed firms improve their technological innovation efficiency? An analysis based on a three-stage DEA model and corporate governance configurations. Technological Forecasting and Social Change, 194, 122684. Go to original source...
    47. Rentier, G., Lelieveldt, H., & Kramer, G. J. (2023). Institutional constellations and policy instruments for offshore wind power around the North sea. Energy Policy, 173, 113344. Go to original source...
    48. Rochelle, G. T. (2009). Amine scrubbing for CO2 capture. Science, 325(5948), 1652-1654. Go to original source...
    49. Rosen, M. A., & Koohi-Fayegh, S. (2016). The prospects for hydrogen as an energy carrier: an overview of hydrogen energy and hydrogen energy systems. Energy, Ecology and Environment, 1(1), 10-29. Go to original source...
    50. Snegirjovs, A., Shipkovs, P., Kashkarova, G., & Lebedeva, K. (2017). Quasi-autonomous photovoltaic application in North regions. Paper presented at the proceedings of the international scientific conference.
    51. Su, Y., Teh, J., & Chen, C. (2023). Optimal Dispatching for AC/DC Hybrid Distribution Systems With Electric Vehicles: Application of Cloud-Edge-Device Cooperation. IEEE Transactions on Intelligent Transportation Systems.
    52. Su, Y., Teh, J., & Liu, W. (2023). Hierarchical and distributed energy management framework for AC/DC hybrid distribution systems with massive dispatchable resources. Electric Power Systems Research, 225, 109856. Go to original source...
    53. Sun, S., Sun, H., Williams, P. T., & Wu, C. (2021). Recent advances in integrated CO 2 capture and utilization: a review. Sustainable Energy & Fuels, 5(18), 4546-4559. Go to original source...
    54. Sun, Y., Wu, T.-Y., Zhao, G., & Guizani, M. (2014). Efficient rule engine for smart building systems. IEEE Transactions on Computers, 64(6), 1658-1669. Go to original source...
    55. Teh, J., & Lai, C. M. (2019). Reliability impacts of the dynamic thermal rating and battery energy storage systems on wind-integrated power networks. Sustainable Energy, Grids and Networks, 20, 100268. Go to original source...
    56. Tong, Z., & Ho, W. W. (2017). Facilitated transport membranes for CO2 separation and capture. Separation Science and Technology, 52(2), 156-167. Go to original source...
    57. Ünveren, E. E., Monkul, B. Ö., Sarioğlan, ª., Karademir, N., & Alper, E. (2017). Solid amine sorbents for CO2 capture by chemical adsorption: A review. Petroleum, 3(1), 37-50. Go to original source...
    58. US DOE (2016). Carbon capture, utilization and storage: Climate change, economic competitiveness, and energy security. In: Washington, DC: US Department of Energy (US DOE).
    59. Valluri, S., Claremboux, V., & Kawatra, S. (2022). Opportunities and challenges in CO2 utilization. Journal of Environmental Sciences, 113, 322-344. Go to original source...
    60. Wang, K.-H., Wen, C.-P., Long, H., & Moldovan, N.-C. (2024). Towards sustainable development: Exploring the spillover effects of green technology innovation on energy markets and economic cycles. Technological Forecasting and Social Change, 203, 123368. Go to original source...
    61. Wang, X., Gan, Y., Zhou, Y., Si, D., Cui, X., & Yan, J. (2024). Country-level risk and green energy transition: evaluating political risk and human capital in OECD economies. Politická ekonomie, 73(2), 215-242. Go to original source...
    62. Wang, Y., Yu, H., Yong, M., Huang, Y., Zhang, F., & Wang, X. (2018). Optimal scheduling of integrated energy systems with combined heat and power generation, photovoltaic and energy storage considering battery lifetime loss. Energies, 11(7), 1676. Go to original source...
    63. Wang, Y., Qin, Y., Wang, K., Liu, J., Fu, S., Zou, J., & Ding, L. (2022). Where is the most feasible, economical, and green wind energy? Evidence from high-resolution potential mapping in China. Journal of Cleaner Production, 376, 134287. Go to original source...
    64. Wang, Z., Teng, Y. P., Wu, S., & Chen, H. (2023). Does green finance expand China's green development space? Evidence from the ecological environment improvement perspective. Systems, 11(7), 369. Go to original source...
    65. WB (2025). DataBank: World Development Indicators. [Retrieved 2025-03-27] Available at: https://databank.worldbank.org/source/world-development-indicators
    66. Wei, W., Shao, Z., Zhang, Y., Qiao, R., & Gao, J. (2019). Fundamentals and applications of microwave energy in rock and concrete processing-A review. Applied Thermal Engineering, 157, 113751. Go to original source...
    67. Wieczorek, A. J., Negro, S. O., Harmsen, R., Heimeriks, G. J., Luo, L., Hekkert, M. P. J. R., & Reviews, S. E. (2013). A review of the European offshore wind innovation system. Renewable and Sustainable Energy Reviews, 26(6), 294-306. Go to original source...
    68. Wu, X., Hu, Y., Li, Y., Yang, J., Duan, L., Wang, T., Reviews, S. E. (2019). Foundations of offshore wind turbines: A review. Renewable and Sustainable Energy Reviews, 104, 379-393. Go to original source...
    69. Wu, Y., Liu, F., He, J., Wu, M., & Ke, Y. (2021). Obstacle identification, analysis and solutions of hydrogen fuel cell vehicles for application in China under the carbon neutrality target. Energy Policy, 159, 112643. Go to original source...
    70. Xi, X., Xi, B., Miao, C., Yu, R., Xie, J., Xiang, R., & Hu, F. (2022). Factors influencing technological innovation efficiency in the Chinese video game industry: Applying the meta-frontier approach. Technological Forecasting and Social Change, 178, 121574. Go to original source...
    71. Xia, W., Zheng, S., Qiu, L., Hu, H., Chen, Y., Wei, S., & Zhou, H. (2025). Evolution of the innovation network of lithium-ion battery recycling technologies in China from the perspective of patents. Polish Journal of Environmental Studies, 20(10), 1-14. Go to original source...
    72. Xu, A., Dai, Y., Hu, Z., & Qiu, K. (2025). Can green finance policy promote inclusive green growth? Based on the quasi-natural experiment of China's green finance reform and innovation pilot zone. International Review of Economics & Finance, 100, 104090. Go to original source...
    73. Xu, G., Schwarz, P., & Yang, H. (2020). Adjusting energy consumption structure to achieve China's CO2 emissions peak. Renewable and Sustainable Energy Reviews, 122, 109737. Go to original source...
    74. Xu, J., & Hu, W. (2024). How do external resources influence a firm's green innovation? A study based on absorptive capacity. Economic Modelling, 133, 106660. Go to original source...
    75. Xu, N., Kasimov, I., & Wang, Y. (2022). Unlocking private investment as a new determinant of green finance for renewable development in China. Renewable Energy, 198, 1121-1130. Go to original source...
    76. Xu, A., Wang, W., & Zhu, Y. (2023). Does smart city pilot policy reduce CO2 emissions from industrial firms? Insights from China. Journal of Innovation & Knowledge, 8(3), 100367. Go to original source...
    77. Yamada, H. (2021). Amine-based capture of CO2 for utilization and storage. Polymer Journal, 53(1), 93-102. Go to original source...
    78. Yang, T., Xing, C., & Li, X. (2021). Evaluation and analysis of new-energy vehicle industry policies in the context of technical innovation in China. Journal of Cleaner Production, 281, 125126. Go to original source...
    79. Zhang, C., Greenblatt, J. B., Wei, M., Eichman, J., Saxena, S., Muratori, M., & Guerra, O. J. (2020). Flexible grid-based electrolysis hydrogen production for fuel cell vehicles reduces costs and greenhouse gas emissions. Applied Energy, 278, 115651. Go to original source...
    80. Zhang, D., Li, J., & Ji, Q. (2020). Does better access to credit help reduce energy intensity in China? Evidence from manufacturing firms. Energy Policy, 145, 111710. Go to original source...
    81. Zhao, F., Mu, Z., Hao, H., Liu, Z., He, X., Victor Przesmitzki, S., & Ahmad Amer, A. (2020). Hydrogen fuel cell vehicle development in China: An industry chain perspective. Energy Technology, 8(11), 2000179. Go to original source...
    82. Zhao, G., Guerrero, J. M., & Pei, Y. (2016). Marginal generation technology in the Chinese power market towards 2030 based on consequential life cycle assessment. Energies, 9(10), 788. Go to original source...
    83. Zhao, X., Ma, X., Chen, B., Shang, Y., & Song, M. (2022). Challenges toward carbon neutrality in China: Strategies and countermeasures. Resources, Conservation and Recycling, 176, 105959. Go to original source...
    84. Zhu, Y., & Dai, J. (2025). Racing Towards Carbon Neutrality: Synergy Between Environmental Poverty, Environmental Regulations, Financial Constraints and Political Instability. Politická ekonomie, 73(2), 179-214. Go to original source...
    85. Zhang, Z., Pan, S.-Y., Li, H., Cai, J., Olabi, A. G., Anthony, E. J., & Manovic, V. (2020). Recent advances in carbon dioxide utilization. Renewable and Sustainable Energy Reviews, 125, 109799. Go to original source...
    86. Zhao, S., Zhang, L., An, H., Peng, L., Zhou, H., & Hu, F. (2023). Has China's low-carbon strategy pushed forward the digital transformation of manufacturing enterprises? Evidence from the low-carbon city pilot policy. Environmental Impact Assessment Review, 102, 107184. Go to original source...
    87. Zhao, S., Zhang, L., Peng, L., Zhou, H., & Hu, F. (2024). Enterprise pollution reduction through digital transformation? Evidence from Chinese manufacturing enterprises. Technology in Society, 77, 102520. Go to original source...
    88. Zhao, X., Ma, X., Chen, B., Shang, Y., & Song, M. (2022). Challenges toward carbon neutrality in China: Strategies and countermeasures. Resources, Conservation and Recycling, 176, 105959. Go to original source...
    89. Zhou, G., Ou, X., & Zhang, X. (2013). Development of electric vehicles use in China: A study from the perspective of life-cycle energy consumption and greenhouse gas emissions. Energy Policy, 59, 875-884. Go to original source...

    This is an open access article distributed under the terms of the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License (CC BY NC ND 4.0), which permits non-comercial use, distribution, and reproduction in any medium, provided the original publication is properly cited. No use, distribution or reproduction is permitted which does not comply with these terms.


    Return