The Risk of Global Environmental Change to Economic Sustainability and Law: Help from Digital Technology and Governance Regulation
Abstract
1. Introduction
2. Literature Review
2.1. Global Environmental Change and Its Economic Impacts
2.2. Governance Regulation for Environmental Protection and Economic Sustainability
2.3. Interplay Between Technology, Governance, and Sustainable Development Goals
2.4. The Role of Digital Technology in Environmental Sustainability
2.5. The Intersection of Law, Technology, and Governance
3. Materials and Methods
Promote Environmental Sustainability
4. Results, Analysis, and Discussion
4.1. Developments in Technology Governance Worldwide
4.2. National Approaches to Digital Policy and Enforcement
4.3. Environmental Change and Risk
4.4. Analysis and Discussion
5. Conclusions
5.1. Limitations and Trade-Offs
5.2. Policy Implications
5.3. Future Research Direction
Author Contributions
Funding
Institutional Review Board Statement
Informed Consent Statement
Data Availability Statement
Conflicts of Interest
Abbreviations
UN | United Nations |
WHO | World Health Organization |
SDGs | Sustainable Development Goals |
AI | Artificial Intelligence |
UNEP | United Nations Environment Programme |
ICT | Information and Communications Technology |
BRICS | Brazil, Russia, India, China, South Africa (originally BRIC, with South Africa) |
MINT | Mexico, Indonesia, Nigeria, Turkey (emerging economies group) |
ESG | Environmental, Social, and Governance |
EU | European Union |
OECD | Organisation for Economic Cooperation and Development |
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Area | Positive Impact of Digitalization | Challenges/Considerations | Citations |
---|---|---|---|
Manufacturing | Increased efficiency, reduced waste | Hardware lifecycle impacts | [46] |
Transport | Lower CO2 emissions, more innovative logistics | Need for digital inclusion | [47] |
Policy and Law | Enables monitoring, compliance, and transparency | Regulatory gaps, data governance issues | [48] |
Manufacturing | Increased efficiency, reduced waste | Hardware lifecycle impacts | [49] |
Digital environmentalism | How it helps: Digital tools. | AI ethics in climate governance | [50] |
Policy–technology nexus | Digitalization bridges policy gaps by providing data. | SDG financing via blockchain-enabled green bonds | [51] |
Global governance | Enhances transparency, and cross-border cooperation. | Critique of fragmented institutions in tech-driven environmental regimes | [52] |
Section | Subsection | Laws and Regulations | Description | Citation |
---|---|---|---|---|
Global Environmental Change and Its Economic Impacts | 1. Climate Change Agreements, Paris Agreement; 2. Kyoto Protocol; 3. National Environmental Protection Act EPA in the US. | These agreements and regulations address climate change mitigation, greenhouse gas emissions reductions, and promote sustainable practices to minimize economic impacts on the environment. | Focuses on international and national efforts to combat climate change and their subsequent economic impacts. | [58] |
Governance Regulation for Environmental Protection and Economic Sustainability | 1. Environmental Governance Laws (EU Environmental Laws, Clean Air Act); 2. Green New Deal (in various regions). | Regulations guiding the interaction between governance structures and environmental protections ensure a balance between sustainability and economic growth. | Examines policies that regulate economic activities to promote sustainability, protect ecosystems, and ensure equitable distribution of resources. | [59] |
Interplay between Technology, Governance, and Sustainable Development Goals | 1. The UN’s Sustainable Development Goals (SDGs); 2. National Development Plans (India’s Digital Governance Policy); 3. ICT for Development (ICT4D) Regulations. | Explores how technology, governance frameworks, and SDGs interconnect to foster sustainable development through policies that encourage technological innovation. | Discusses how technological advancements and governance structures can drive progress towards the SDGs, ensuring social, economic, and environmental benefits. | [60] |
The Role of Digital Technology in Environmental Sustainability | 1. Digital Economy and Environmental Laws (EU Digital Strategy, China’s Green Technology Law); 2. Clean Energy Technology Regulations. | Focuses on laws and regulations that promote the use of digital technologies (e.g., AI, IoT) to reduce environmental footprints and foster sustainable energy solutions. | Analyzes the role of digital technology in addressing environmental challenges by enhancing energy efficiency, smart grids, and reducing waste. | [61] |
The Intersection of Law, Technology, and Governance | 1. Data Protection and Privacy Laws (GDPR); 2. E-Government Regulations; 3. Cybersecurity Laws. | Examines the legal frameworks surrounding technology usage, data governance, and cybersecurity, emphasizing their relevance to environmental governance and sustainability. | Looks at how legal frameworks governing technology and data intersect with environmental policies and governance to foster sustainability and security. | [62] |
Countries | Category | Statistic | Citation |
---|---|---|---|
EU. | AI | AI Act (Risk Classification): 22% faster climate compliance checks. | [70] |
Kenya. | Blockchain | Digital Land Policy: 40% reduction in dispute cases. | [71] |
EU AI Act, US Executive Order. | Global AI Regulation | Over 60 countries have AI-specific laws, and 85% of firms face compliance challenges. | [72] |
UNCTAD 2024. | Data Privacy Laws | 137 countries have data protection laws (up from 66 in 2010). | [73] |
European Commission 2024. | GDPR Fines | EUR 4.5 billion+ in fines since 2018. | [74] |
Cybersecurity Ventures by 2025. | Cybersecurity Costs | Global cybercrime costs to hit USD 10.5 trillion | [75] |
TU 2023. | Government Cyber Audits | 74% of governments mandate critical infrastructure audits. | [76] |
Stanford 2024. | AI Bias Audits | 35% of AI audits reveal discriminatory outcomes. | [77] |
Deloitte, Corporate filings. | Corporate Compliance | Tech firms spent over USD 20 billion on compliance in 2023; 60% of Fortune 500 companies have AI ethics officers. | [78] |
World Bank 2023 (UK, Singapore). | Regulatory Sandboxes | 30+ countries testing sandboxes for AI/fintech. | [79] |
Region | Regulation | Focus Area | Impact | Citation |
---|---|---|---|---|
China | Data Security Law, Generative AI Rules | Data localization, AI alignment. | Requires AI to reflect core socialist values. | [81] |
EU | AI Act, Digital Services Act | AI risk tiers, platform accountabilities. | Bans unacceptable risk AI, social scoring. | [82] |
USA | American Privacy Rights Act (proposed) | Federal privacy standard. | It would override patchwork state laws with the California Consumer Privacy Act. | [83] |
India | Digital India Act (draft) | Online safety, intermediary liability. | Replaces the 2000 IT Act; stricter platform rules. | [84] |
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Cao, Z.; Lai, Z.; Bilawal Khaskheli, M.; Wang, L. The Risk of Global Environmental Change to Economic Sustainability and Law: Help from Digital Technology and Governance Regulation. Sustainability 2025, 17, 7094. https://doi.org/10.3390/su17157094
Cao Z, Lai Z, Bilawal Khaskheli M, Wang L. The Risk of Global Environmental Change to Economic Sustainability and Law: Help from Digital Technology and Governance Regulation. Sustainability. 2025; 17(15):7094. https://doi.org/10.3390/su17157094
Chicago/Turabian StyleCao, Zhen, Zhuiwen Lai, Muhammad Bilawal Khaskheli, and Lin Wang. 2025. "The Risk of Global Environmental Change to Economic Sustainability and Law: Help from Digital Technology and Governance Regulation" Sustainability 17, no. 15: 7094. https://doi.org/10.3390/su17157094
APA StyleCao, Z., Lai, Z., Bilawal Khaskheli, M., & Wang, L. (2025). The Risk of Global Environmental Change to Economic Sustainability and Law: Help from Digital Technology and Governance Regulation. Sustainability, 17(15), 7094. https://doi.org/10.3390/su17157094