Does the internet development put pressure on energy-saving potential for environmental sustainability? Evidence from China

Abstract

With the development of information technology application in environmental governance, the role of Internet in improving energy efficiency and reducing energy-saving potential (ESP) has attracted more attention. The slack-based model (SBM)-unexpected model and entropy method are applied to measure China’s energy-saving potential and Internet development. Further, we empirically analyze the direct effect, mediating effect, threshold effect and regional heterogeneity of Internet on ESP. The conclusion reflects that there is a significant spatial correlation between Internet penetration and ESP. Internet penetration has become an important tool for reducing ESP, but this effect shows regional heterogeneity. Human capital accumulation, financial development and industrial upgrading are important influencing mechanisms, but indirect effects are weaker than direct effects. The impact of Internet penetration on ESP is non-linear. For improving human capital accumulation, financial development and industrial upgrading, the role of Internet popularization in energy conservation is more obvious.