Abstract
The contemporary landscape sees the digital economy (DE) as a pivotal driver of economic evolution. Hence, scrutinising its potential to harmonise ‘efficiency promotion’ and ‘emission reduction’ and combat the challenges of climate change in this digital epoch is imperative. This study empirically investigates the influence of DE growth by evaluating its impact on carbon emission scale and energy efficiency. The study employs econometric modelling to delve into the internal mechanisms and diverse characteristics of DE evolution that influence ‘efficiency promotion’ and ‘emission reduction’. Findings underscore a significant capacity within the DE to ameliorate energy efficiency and curtail overall carbon emissions, revealing its dual prowess in fostering ‘efficiency promotion’ and ‘emission reduction’. Robustness tests affirm these outcomes, fortifying the conclusion. Additionally, the effects of DE development on ‘efficiency promotion’ and ‘emission reduction’ are validated in these tests. The study reveals that the ‘efficiency promotion’ and ‘emission reduction’ facets of DE progression exhibit distinctive regional disparities, notably manifesting more pronounced impacts in the eastern regions.