Social and equity considerations in technology transfer and sustainable development: A policy implication for low & lower-middle-income countries

This research uses an operational approach to identify a new measure of the economic development gap. The statistic integrates a variety of economic growth indicators, including school enrollment rates, investment levels, employment rates, gender equality, availability of clean drinking water, foreign investment, and labor participation, into a single, simple metric. This method uses precise weights to represent many factors of economic growth. Using a broad dataset spanning 2002–2019 and including 128 nations, this study adopts a generalized method of moment regression framework to analyze the quadratic link between energy renewal and the economic progress gap. The results show that energy renewability is negatively correlated with the economic development gap in the form of an inverted U-shaped relationship. This study adds to the average regression analysis using panel quantile regression. This helps illustrate how the impact of renewable energy on the economic development gap varies at different levels. Countries are compared by grouping them into income levels. This helps us understand the differences and similarities in economic development between high-income, upper-middle-income, lower-middle-income, and low-income countries. This study is important because it is the first overall analysis of how energy use relates to differences in economic development around the world. The model serves as a basis for future research and policy-making. Our findings are important for policymakers and others seeking to balance renewable energy with economic growth. They can help create focused sustainable development strategies. • Impact of Fossil Fuel Consumption on Sustainable Economic Growth: This study explores the relationship between climate change, environmental quality, and economic growth, emphasizing how fossil fuel consumption impedes sustainable development. • Regression Analysis of Renewable Energy's Effect on the Sustainability Gap: The paper employs advanced regression methods to quantify the influence of renewable energy adoption on the sustainability development gap across 128 countries from 2002 to 2019. • Panel Data Approach with Second-Generation Techniques: The study utilizes second-generation panel data methods, including unit root and cointegration tests, to robustly analyze long-term relationships between renewable energy and economic sustainability. • Income-Based Differences in Sustainable Development Progress: Findings show that high-income countries are advancing in sustainable development, while low- and lower-middle-income countries are still focused on meeting basic economic needs, indicating an income-based disparity in sustainability progress. • Policy Recommendations for Energy Renewability and Infrastructure Development: The paper offers targeted policy recommendations, particularly for lower-middle-income countries, emphasizing the need for energy infrastructure development to bridge the sustainability gap.