Supply Chain Management in Renewable Energy Projects from a Life Cycle Perspective: A Review

Abstract

The growing demand for renewable energy positions it as a cornerstone for climate change mitigation and greenhouse gas emissions reduction. Although renewable energy sources generate around 30% of global electricity, their production and deployment involve significant environmental challenges. This review analyzes renewable energy projects from a life cycle perspective, focusing on environmental impacts throughout the supply chain. Particular emphasis is placed on the energy-intensive nature of manufacturing phases, which account for 60% to 80% of total emissions. The extraction of critical raw materials such as neodymium, dysprosium, indium, tellurium, and silicon is associated with emission levels ranging from 0.02 to 0.09 kg of carbon dioxide equivalent per kilowatt-hour for rare earth elements, along with an estimated average land degradation of 0.2 hectares per megawatt installed. Furthermore, the production of solar-grade silicon for photovoltaic panels consumes approximately 293 kilowatt-hours of electricity per kilogram, significantly contributing to the overall environmental footprint. Through a comprehensive review of the existing literature, this study integrates life cycle assessment and sustainable supply chain management approaches to identify environmental hotspots, quantify emissions, and propose strategic improvements. The analysis provides a structured, systematized, and data-driven evaluation, highlighting the relevance of circular economy principles, advanced recycling technologies, and digital innovations to enhance sustainability, traceability, and resilience in renewable energy supply chains. This work offers actionable insights for decision-makers and policymakers to guide the low-carbon transition.

1. Introduction

Since the 1980s, data obtained from institutions such as the Intergovernmental Panel on Climate Change (IPCC) and the National Aeronautics and Space Administration (NASA) have documented global warming and climate change, mainly driven by greenhouse gas (GHG) emissions [1] from both natural systems and human activities [2,3,4], as critical phenomena for planetary sustainability [5,6]. The conventional energy industry, reliant on fossil fuels, is responsible for approximately 73% of global CO₂ and GHG emissions [7,8], positioning this sector as one of the primary contributors to rising global temperatures. In response to this issue, governments and international initiatives have begun redirecting efforts toward adopting cleaner and more sustainable energy sources, such as renewable energy (RE) [9,10]. The advancement of RE has led to its current share of approximately 30% in the global energy matrix [11,12] with solar and wind energy jointly contributing around 15% [4,13].

Achieving this level of participation has required an extensive manufacturing process for equipment and machinery, involving a highly complex supply chain. These processes necessitate the extraction of critical materials, including rare earth elements such as neodymium, dysprosium, indium, and tellurium, as well as precious metals like platinum, gold, and silver [14,15]. Additionally, although silicon is one of the most abundant elements in the Earth’s crust, it remains essential for the production of photovoltaic panels. Approximately 95% of all photovoltaic panels currently in use depend on silicon as their core material. However, the extraction and industrial processing of silicon significantly increase the overall carbon footprint and contribute to land degradation due to intensive energy use and mining practices [16,17].

Therefore, quantifying and estimating the flow of these materials is essential to ensure their long-term availability [18,19,20,21]. Although various studies have indicated that RE technologies generate a lower environmental impact than conventional energy sources [17,22,23], it remains crucial to assess their sustainability comprehensively.

A comprehensive assessment of the current environmental impact of RE technologies is essential to promote sustainable development and mitigate potential adverse effects [18]. Life cycle assessment (LCA) is a powerful methodology for evaluating the environmental impact of energy technologies, as it provides a standardized approach to assessing the potential environmental burden of a product or service throughout each stage of its life cycle [19,20]. Additionally, understanding the limitations and availability of materials is critical for many emerging low-carbon technologies. This includes resource constraints for specific applications, such as metallic materials required for electric vehicle batteries and photovoltaic solar energy systems. Further studies are needed on the availability and requirements of critical materials in energy systems, as demand for these resources is expected to increase significantly due to the projected growth rates of the low-carbon technology sector [21,24,25,26]. This study provides a comprehensive overview and analysis of existing research on the material requirements of different energy technologies, offering quantitative data that can be used to evaluate the environmental impact generated throughout the RE supply chain.

LCA serves as a valuable tool to quantify these environmental impacts. As global scenarios aligned with climate objectives indicate, low-carbon energy sources will continue to expand, and the deployment of these technologies—many of which rely on significant amounts of critical raw materials (CRM) has been widely adopted due to their lack of direct GHG emissions or other harmful pollutants during operation [27,28,29]. However, most climate policies and decarbonization pathways fail to consider the role that CRM supply constraints might play in slowing down or limiting the expansion of low-carbon technologies. These constraints are driven by a combination of factors, including geopolitical monopolies, socio-environmental conflicts in mining regions, export restrictions, limited recycling infrastructure, and rising demand outpacing current supply chains [30]. Geopolitical tensions, especially those involving access to rare earths and the strategic control of energy transition materials, pose increasing risks to supply stability and international cooperation. Quantifying GHG emissions and optimizing RE technologies remain major challenges for the energy transition [31,32,33,34,35]. By 2050, renewable energy sources (RESs) are projected to significantly increase their share in the global energy matrix, with the U.S. Energy Information Administration estimating nearly a 50% increase in global energy use driven largely by renewables [36]. This positions RESs as key drivers of deep decarbonization [37]. To ensure a successful transition, all associated processes must be optimized, including communication networks, manufacturing, raw material extraction, and energy production, transmission, and distribution. Flexibility and adaptability will be immediate priorities [38,39], requiring rapid and far-reaching transition strategies based on decisions and actions taken in the near term to ensure sustainable development [34,40,41,42].

Recent policy frameworks have underscored the urgency of addressing environmental pressures and resource constraints within the energy transition. According to recent projections, renewable sources are expected to contribute over 90% of global electricity generation by 2030, an ambitious target that depends on mitigating supply chain vulnerabilities and ensuring access to critical raw materials. In this context, new legislative efforts have been enacted to promote strategic autonomy in securing key inputs like neodymium, dysprosium, and silicon. These elements are essential to technologies such as permanent magnet wind turbines and PV systems. Simultaneously, circular economy strategies and digital innovations are increasingly recognized as foundational pillars to enhance sustainability and resource efficiency in RE deployment. As a strategic response to potential energy crises, many governments have expanded their energy policy frameworks to address challenges across the entire energy value chain, including production, distribution, and consumption. These frameworks also provide a basis for aligning national priorities with global climate goals [43]. Within this context, SSCM has evolved significantly. While initially conceived from a logistics-centric perspective focused primarily on the physical flow of goods between customers and suppliers [44,45], SSCM has matured into a more comprehensive strategic approach. It now encompasses diverse aspects such as material requirements planning, operational efficiency, inventory optimization, and lifecycle logistics [46,47]. Historically rooted in military logistics and later adopted in commercial and industrial operations, these practices have become central to modern energy governance and sustainability transitions [48,49,50].

Recent research has shown a growing interest in the role of supply chain management (SCM) in business success, emphasizing traditional SCM practices and dimensions such as procurement, manufacturing, and distribution [51,52]. These key processes contribute to developing competitive advantages [53] evolving various concepts related to productivity, customer relations, and material management [54], all in the pursuit of an integrated and dynamic SSCM approach [55]. The evolution of SCM has gained momentum, with supply chain models becoming increasingly sophisticated due to their inherent complexity [56] and the highly dynamic and chaotic business environments that introduce a high degree of uncertainty [57,58]. Consequently, strategic supply chain models have been developed to enhance business performance [59]. Supply chain integration refers to the seamless alignment and coordination of all activities, processes, and stakeholders involved, from raw material suppliers to end customers [60,61]. Global directives have driven a transformation in corporate culture, fostering the integration of multifunctional teams to enhance efficiency in managing key SSCM challenges [62], this shift requires competencies for coordinating diverse production skills and integrating multiple technological streams, which has led to increased funding for the utilization of tools such as research and development (R&D) projects. These projects incorporate key concepts such as demand, process, supply, and environment, aiming to address sustainability issues [63,64,65,66].

Findings indicate that R&D investment significantly mitigates the effects of disruptions in processes, providing a competitive advantage. Given the current environment, SSCM is highly vulnerable; thus, R&D not only benefits the environment but also enhances technical knowledge and risk management within supply chain operations [67,68,69,70,71,72,73]. Furthermore, it maximizes potential impacts on economic growth by ensuring efficiency and productivity in investments [68]. This leverage enables various industries to innovate at an extraordinary pace, develop and enhance products and services, and generate ideas that lead to commercially viable and profitable business ventures. The response to these challenges appears to depend on innovation and R&D investment, aligned with smart public policies and strategies focused on reducing greenhouse gas emissions and mitigating climate change [74]. However, previous studies indicate that despite financial support, sustainability challenges in corporate supply chains remain underexplored, with existing literature primarily focusing on economic aspects [75]. The integration of sustainable development and financial leverage is essential [76,77], considering the limitations of both natural and economic resources. In this scenario, digital technologies have emerged as key enablers that complement R&D-driven innovation within SSCM frameworks. The use of digital technologies and information and communication technologies (ICT) has been suggested [78,79,80,81,82] to improve process performance and sustain relationships between different variables and patterns [83,84]. These innovations facilitate the integration of dynamic data streams and adaptive planning tools, which are critical in rapidly changing environments. Additionally, the adoption of advanced techniques such as machine learning, including neural networks (NNs), recurrent neural networks (RNNs), and support vector machines (SVM)s, has become indispensable for demand forecasting in supply chains [85,86,87,88,89,90,91]. Tools such as artificial intelligence (AI) and blockchain have also gained prominence as strategic solutions to enhance traceability, predict material requirements, reduce operational uncertainty, and optimize logistics in increasingly complex energy systems. These technological innovations not only improve operational efficiency but also support data-driven decision-making, thereby strengthening the resilience of supply chains in the face of climate change and critical raw material bottlenecks.

Simultaneously, there is a continuous pursuit of more sustainable processes, which continues to drive the evolution of industrial and technological frameworks [92]. To adapt rapidly to environmental changes while maintaining efficiency, social equity, and economic benefits, comprehensive evaluations integrating environmental, social, and economic dimensions are necessary [93,94,95]. Given the complexity of contemporary markets, decision-making processes must align with current sustainability requirements, incorporating critical sustainability factors and environmental, economic, and social indicators, especially in the energy sector [96,97,98,99,100].

Most organizations seek to achieve sustainability in alignment with “green” concepts [101], However, sustainability objectives must be measured, necessitating the development of performance measurement systems to assess the sustainability and resilience of the supply chain as a whole, as well as to evaluate the impact of implemented actions on supply chain processes [102,103,104,105,106]. One of the most relevant criteria that have emerged due to the high consumption of various products is LCA, which serves as an environmental modeling approach for performance evaluation [107,108,109,110]. The proper application of this tool can positively contribute to mitigating climate change and developing strategies that optimize processes within the RE supply chain [36]. To maximize these benefits, it is key to enhance the collection of empirical data that comprehensively cover all elements.

This article presents a structured and comprehensive literature review aimed at synthesizing the current state of research on the environmental impacts of renewable energy technologies from both life cycle and supply chain perspectives. By integrating the LCA methodology with the principles of SSCM, this review consolidates insights from a broad range of peer-reviewed scientific sources. The authors have actively contributed to this field through previous research in environmental modeling and energy systems, which is further expanded and contextualized in this work. A rigorous thematic and analytical classification of the selected literature was conducted to ensure depth and relevance in addressing the core topics examined. This review offers three principal contributions to the field: (1) it systematically integrates LCA and SSCM to evaluate RE systems from both environmental and operational perspectives; (2) it identifies environmental hotspots across life cycle stages, with a focus on the energy and emission intensities of extraction and manufacturing processes; and (3) it introduces strategic pathways, such as circular economy practices and the integration of digital innovations, to improve sustainability, traceability, and resilience across RE value chains. By consolidating peer-reviewed evidence and real-world case studies, this study provides a novel interdisciplinary framework that supports data-informed policymaking and industrial decision-making for a low-carbon transition [111,112,113,114,115]. The primary objective of this review is to offer a structured, systematized, and data-driven assessment of RE supply chains by combining LCA and SSCM frameworks. Recent academic advances in RE supply chains have concentrated around three key directions: (1) identifying environmental hotspots using LCA to quantify emissions and resource use; (2) addressing challenges in the extraction and long-term availability of critical raw materials such as neodymium, dysprosium, and silicon; and (3) developing end-of-life strategies, including advanced recycling processes and circular economy frameworks to mitigate environmental burdens. Despite progress in each of these areas, there remains a gap in integrated approaches that combine LCA and SSCM to holistically assess the environmental performance of RE technologies across all life cycle stages. Accordingly, this study identifies critical impact phases, particularly raw material extraction and manufacturing, where energy consumption and emissions are most intensive. Drawing upon quantitative findings from the literature, it synthesizes the magnitude of environmental impacts and proposes actionable strategies to improve sustainability and traceability. These include the implementation of circular economy practices and digital innovations such as artificial intelligence tools, aimed at enhancing transparency, resource efficiency, and overall sustainability across RE supply chains [116,117]. Furthermore, the analysis extends to broader systemic implications, addressing the decarbonization of energy systems, sustainable consumption patterns, and the role of large-scale circular economy applications. It also highlights the importance of sustainable finance still in its early stages as a key enabler for long-term resource availability and a just, resilient energy transition [118,119].

2. Materials and Methods

This study is grounded in a structured and systematized literature review, supported by the methodological framework of life cycle assessment (LCA), to evaluate the environmental impacts associated with sustainable supply chain management (SSCM) in renewable energy (RE) projects. The review process followed established guidelines for systematic literature analysis, including selection criteria based on relevance, recency, and methodological robustness. Quantitative and qualitative data were retrieved from peer-reviewed scientific databases (e.g., Scopus, Web of Science, ScienceDirect), international agencies (e.g., IEA, IPCC, UNEP), and technical reports. The review focused on empirical and theoretical contributions that applied LCA to RE systems, with particular attention to the supply chain implications of solar, wind, and biomass technologies. The LCA approach enabled a comprehensive evaluation of environmental impacts across all life cycle stages—extraction, manufacturing, transport, installation, operation, and end of life. Environmental indicators such as CO₂ emissions, energy consumption (MJ or kWh), water footprint (m³), and waste generation (kg) were used to quantify sustainability performance. A comparative matrix was developed to align RE technology life cycle phases with SSCM stages. This analysis facilitated the identification of convergence points, environmental hotspots, and inefficiencies along the supply chain. Furthermore, the review examined the potential of emerging digital tools, particularly artificial intelligence (AI), in enhancing SSCM through improved traceability, impact prediction, and real-time monitoring. This methodological structure supports the overarching goal of the study: to provide a data-driven, integrative evaluation of RE supply chains and propose strategic interventions to improve sustainability and operational performance.

Inclusion and Exclusion Criteria

The selection of sources was based on the following inclusion criteria:

• Peer-reviewed journal articles, technical reports, and international assessments published between 2010 and 2025.
• Empirical and review studies focusing on LCA applications in RE technologies (e.g., solar, wind, biomass).
• Studies addressing the use of critical raw materials (e.g., neodymium, dysprosium, silicon).
• Literature incorporating environmental indicators such as carbon footprint, water use, energy demand, and waste generation.

The following exclusion criteria were applied:

• Publications unrelated to RE or LCA frameworks.
• Studies lacking methodological transparency or quantitative environmental data.
• Non-peer-reviewed sources without institutional validation (e.g., blogs, opinion pieces, or unverified repositories).

3. Results

The integration of supply chain optimization with LCA is essential for developing supply chains that are both economically efficient and environmentally sustainable. While SSCM optimization focuses on optimizing network structures and decision-making related to product and service delivery, LCA systematically evaluates environmental impacts throughout the supply chain. Furthermore, LCA provides a method to simultaneously address issues related to energy demand, waste management, and GHG emissions [120,121,122,123,124]. To introduce and analyze the relationship and parallels between the life cycles of RE technologies and the stages of supply chains,

Table 1. Comparison of life cycle stages of renewable energy and supply chain stages.

LCA Phases Renewable Energy	Supply Chain Stage	Similarities	Differences
Manufacturing	Production and Manufacturing	Both involve the creation of products, such as solar panels, wind turbines, or components within the supply chain.	Manufacturing RE equipment focuses on producing energy technology, while the supply chain encompasses a broader range of products.
Transport	Logistics and Distribution	Both involve the movement of products from the manufacturing site to the installation site.	Transport of renewable products focuses more on heavy, specific equipment, such as wind turbines, whereas the supply chain can involve products from various sectors.
Installation	Assembly and Installation	Both stages involve the installation of equipment on-site.	RE installation focuses specifically on implementing complex technological systems, while installation in the supply chain can be more general.
Operation and Maintenance	Operations and Inventory Management	Both stages focus on operational efficiency and the maintenance of systems or products.	In RE, operation refers to continuous energy generation, while inventory management in the supply chain refers more to the distribution of products.
Dismantling and End of Life	Dismantling and Recycling	Both involve handling products at the end of their life cycle.	RE dismantling focuses on waste management and recycling of specific materials, while the supply chain may have a broader focus on product recycling.

presents a concise summary of the key processes in both systems. This comparison enables a better understanding of the interactions and differences between each stage, facilitating their adaptation and improvement.

The influence of SSCM practices on companies in promoting ecological practices throughout each stage of life cycle assessment, particularly in the energy industry, remains a subject of debate [125]. LCA serves as a key tool within supply chains and broader networks to drive change and innovation while aligning with Industry 4.0 directives [126,127,128,129]. As a methodology for assessing the environmental impact of products, processes, and systems throughout their entire life cycle, LCA is increasingly relevant in an era where sustainability is a global priority. Understanding LCA is essential for making informed decisions, reducing carbon footprints, and fostering environmentally conscious practices [130,131]. The integration of RE technology presents a promising approach for significantly reducing carbon emissions and decreasing dependence on fossil fuels, whose prices remain volatile [132]. However, like conventional energy sources, RE systems also pose environmental and sustainability challenges. Therefore, it is necessary to comprehensively assess their overall environmental impact using the LCA methodology. LCA serves as an indicator to evaluate sustainability metrics and environmental concerns, including biodiversity loss, water stress, and socio-economic consequences [133]. LCA is a well-established methodology that provides a holistic framework for evaluating environmental impacts, as it examines the complete life cycle of a product, service, or process—from raw material extraction to manufacturing, use, transportation, and final disposal [134,135,136]. The LCA of any product, alongside various energy sources, is measured using multiple metrics and methodologies.

Table 2. Key indicators for life cycle assessment.

Metric	Unit of Measurement	Description
Carbon Footprint (CO2)	kg CO2-eq/kWh	Measures GHGs associated with each life cycle stage.
Energy Consumption	MJ or kWh	Indicates the amount of energy used in each life cycle phase.
Natural Resource Use	kg or tons	Evaluates the use of materials such as rare earths, metals, and water.
Water Footprint	m3 of water/kWh	Measures the water consumed or polluted throughout the system’s lifetime.
Waste Generation	kg/kWh	Quantifies waste generated during manufacturing, operation, and end of life.

presents key indicators used to assess the environmental impact of different energy sources, including their carbon footprint, energy consumption, and waste generation, among others. While renewable energy resources significantly reduce carbon emissions, they are not exempt from other environmental concerns throughout their life cycle. Assessing the environmental impacts of energy technologies, including RESs in energy projects, is decisive, as energy is a fundamental driver of a country’s economic growth. This evaluation is essential for identifying and addressing critical environmental hotspots, ultimately enhancing the overall sustainability of energy systems. The increasing global energy demand has highlighted the importance of materials and methods aimed at minimizing the environmental impact of both fossil and renewable energy intensive processes [137,138,139].

Unlike fossil fuels, RESs such as solar, wind, and biomass not only reduce dependence on fossil resources but also enhance energy security by mitigating risks associated with geopolitical conflicts and fossil fuel market price volatility, due to their wide availability and abundance [140,141,142], However, as established earlier in this article, their environmental impact is not negligible [143,144,145], as each phase of their life cycle entails significant environmental implications that must be analyzed comprehensively. The extraction of minerals required for RESs also raises environmental concerns. Mining activities reduce soil fertility and contribute to GHG emissions and ozone layer depletion. Furthermore, large-scale RES deployment will generate new types of industrial waste and mineral resource depletion, which could significantly impact ecological systems [146]. The supply chain of each RES comprises several key phases, each involving specific processes that contribute to the complete LCA of RE technologies, as represented in Figure 1.

Key Phases of the Renewable Energy Supply Chain

• Extraction and Processing of Materials: This phase involves obtaining essential natural resources for the manufacturing of RE components. It includes mining, refining, and purification of various materials. Critical materials are essential for manufacturing batteries used in RE storage [147,148,149]. Rare earth elements are essential components in high-efficiency wind turbines and electric vehicles. China currently controls approximately 70% of global production, raising concerns about the long-term security of supply. It is important to emphasize that the environmental benefits of electric vehicles are only fully realized when the electricity that powers them is generated from RE sources such as wind, hydro, or solar energy [150,151,152,153,154,155]. Otherwise, the transition from internal combustion engines to electric mobility may merely shift CO₂ and other GHG emissions from vehicle tailpipes to fossil fuel-based power plants. From this perspective, the contribution of electric mobility to climate change mitigation is significant only when accompanied by a broader energy transition toward clean electricity generation [156,157,158,159,160].
• Component Manufacturing: After obtaining raw materials, the manufacturing of various components necessary for RE systems takes place. This process includes the production of solar panels, wind turbines, batteries, inverters, and other essential elements for the generation and storage of renewable energy [161,162,163].
• Transportation and Construction: This stage covers the transportation of the manufactured components to the installation site and their assembly. In photovoltaic systems, this involves the installation of solar panels and the integration of balance-of-system (BOS) components, such as mounting structures and wiring. In wind energy, in addition to the installation of turbines, the construction of foundations is required, which often involves significant use of cement and steel reinforcement [164]. This phase can generate emissions due to the transportation of materials and the use of heavy machinery during installation [165].
• Operation and Maintenance: These activities are carried out during the operational life of RE installations to ensure their efficiency and functionality. These activities include regular cleaning of solar panels, technical inspections, adjustments to electrical systems, and proper lubrication of moving parts [166,167,168,169,170,171,172,173].
• Decommissioning and End of Life: At the end of the operational life of RE installations, proper decommissioning is essential. This process includes the removal of equipment, recycling, and the potential recovery of land [174,175,176,177,178]. Efficient management of this phase is key to minimizing environmental impact and maximizing the use of recyclable materials. However, the recycling of certain RE components remains a technological and logistical challenge at present [179,180,181,182].

These stages highlight the complexity of assessing the environmental impact of RE technologies [183,184,185]. They emphasize the need to consider the entire life cycle to understand the environmental costs and benefits. Through LCA, it is possible to identify key aspects such as the “environmental hotspots” of renewable energies, i.e., the phases or stages of the life cycle where the greatest impact is concentrated in terms of carbon footprint, water usage, energy consumption, and waste generation [186,187,188].

Taking solar energy as an example, it is estimated that photovoltaic panel waste could reach 78 million tons worldwide by 2050 [189,190]. If fully reintroduced into the economy, the value of recovered material could exceed $15 billion [191,192]. This potential influx of material could produce 2 billion new panels or be sold in global raw material markets, increasing the future supply security of photovoltaic panels or other products [193,194,195,196]. The impacts of the raw materials supporting the low-carbon economy must be envisioned to eliminate any dissonance between the benefits of renewable technologies and the impacts associated with their production, particularly those of silicon-based photovoltaic cells and other semiconductors that require temperatures exceeding 2000 °C, which leads to high energy consumption. The manufacturing phase tends to have the greatest impact on CO₂ emissions and carbon footprint, potentially representing 60% to 80% of the total carbon footprint, along with the extraction and processing of materials [197,198]. For wind energy, most of the environmental impact lies in the production of turbines and their installation, while for biomass, operation and maintenance can be a significant source of GHG emissions, depending on the origin and type of biofuel, due to emissions associated with the combustion of organic materials [199].

Table 3. Comparative assessment of CO₂ emissions in the life cycle and supply chain of renewable energy sources. (Source: adapted from information from NREL [200]).

Energy Type	Extraction and Processing of Materials	Component Manufacturing	Transport and Construction	Operation and Maintenance	Decommissioning and End of Life
Solar Energy	Emissions from the extraction of silica, silver, and other materials. Environmental impact: Land use and water consumption during material extraction	Emissions due to high energy demand in panel production; use of chemicals in manufacturing	Emissions of CO2 from the transportation of materials and panel installation	CO2 emissions are practically negligible during operation	Emissions from solar panel waste at the end of their life cycle; recycling is limited but under development
Wind Energy	Emissions from the extraction of metals such as steel, copper, and rare earth elements; mining impact	Emissions generated during the manufacturing of wind turbines, which requires energy-intensive processes and high-resistance materials	Emissions of CO2 from the transport of components and infrastructure construction	CO2 emissions during operation are practically negligible. Environmental impact: habitat disruption and increased mortality of birds due to turbines.	Emissions from turbine decommissioning, with partial material recycling; complex waste management
Biomass	Emissions from biomass cultivation, harvesting, and processing, impacting land and water use	Emissions from biomass conversion into biofuels or pellets, requiring industrial processes	Emissions from biomass transportation to power plants	Emissions are present during operation Environmental impact: CO2 emissions and other GHGs released during combustion	Emissions from ash and gas residues; possible reuse in fertilization or carbon capture.

presents information on the environmental impact and CO₂ emissions of these energy sources.

Furthermore, the production volumes of certain energy technology metals have changed drastically in recent years, with lithium production expanding by 208%, while the production of lead and natural graphite has decreased. It is projected that metal demand will increase four to six times, anticipating a shortage of raw materials [201]. It is important to consider that specific data may vary depending on factors such as the technology used, geographic location, and management practices [202]. In Figure 2a,b and Figure 3, quantitative data are presented on the approximate percentage distribution of the environmental impact in each phase of the life cycle for solar photovoltaic (PV), wind, and biomass energies [203,204,205].

To comprehend the environmental impact of energy sources, a comprehensive LCA analysis is necessary, as each phase contributes differently to the total carbon footprint.

Table 4. Life cycle environmental impact of different energy sources (percentage by phase).

Energy Source	Raw Material Extraction (kg CO2-eq/kWh)	Manufacturing (kg CO2-eq/kWh)	Transport (kg CO2-eq/kWh)	Installation (kg CO2-eq/kWh)	Operation & Maintenance (kg CO2-eq/kWh)	End of Life (kg CO2-eq/kWh)	Total CO2 in Life Cycle (kg CO2-eq/kWh)
Solar PV	0.018–0.180	0.018–0.180	0–0.001	0–0.001	0.002–0.005	0.002–0.005	0.026–0.190
Wind	0.007–0.056	0.007–0.056	0–0.001	0–0.001	0.001–0.004	0.001–0.004	0.011–0.064
Biomass	0.130–0.420	0.130–0.420	0.050–0.100	0.050–0.100	0.010–0.050	0.010–0.050	0.230–0.620
Oil	0.510–1.170	0.510–1.170	0.050–0.100	0.050–0.100	0.150–0.220	0.100–0.200	0.650–1.300

presents a percentage breakdown of the environmental impact across various stages of the LCA, comparing different RESs with oil, which remains the most widely used energy resource. This analysis aids in making informed decisions regarding the development and adoption of more sustainable energy technologies [206].

Figure 4 illustrates the total energy consumption through the phases of the LCA of different sources along their supply chains. The data highlight the considerable energy demand of fossil fuels, particularly oil, compared to RESs such as photovoltaic, wind, and biomass.

The optimization of SSCM not only reduces the environmental impact of RESs but also boosts operational efficiency and competitiveness in the energy sector. To achieve this, it is essential to implement strategies such as circular economy [207,208], eco-design, and the use of recyclable materials, which minimize resource demand and promote the reuse of components in the manufacturing and decommissioning phases. In the last decade, the need for energy planning tools tailored to each context has become increasingly evident. Addressing data limitations is key to fostering sustainability strategies on a global scale. This study proposes an energy system optimization model based on scenarios, analyzing the nexus between energy, water, and emissions within the electricity supply chain [209,210]. The integration of public policies and corporate sustainability strategies into SSCM, along with strict environmental regulations and economic incentives for the adoption of clean technologies, can accelerate the transition toward a cleaner and more efficient energy model.

4. Discussion

This study underscores the critical importance of integrating LCA and SSCM to achieve environmental sustainability and operational efficiency in RE systems. SSCM provides a strategic framework for optimizing logistics and resource flows, while LCA offers a standardized methodology for evaluating environmental impacts across all life cycle stages, from raw material extraction to end of life. The combined application of these frameworks enables a comprehensive understanding of environmental burdens and systemic inefficiencies throughout RE supply chains. The comparative analysis of the life cycle stages of RE technologies and SSCM phases (see Table 1) reveals operational overlaps and relevant distinctions regarding technological complexity and energy intensity. These insights are fundamental for developing strategies that minimize environmental impacts without compromising efficiency or cost-effectiveness. Although RE sources such as solar, wind, and biomass considerably reduce GHG emissions during operation, the extraction and manufacturing phases remain environmentally intensive. For example, in PV systems, up to 80% of life cycle emissions are associated with manufacturing processes, largely due to the energy demands of silicon refinement. The growing dependence on critical minerals such as neodymium and dysprosium adds further environmental and geopolitical challenges, given their limited global availability. These issues stress the need for circular economy approaches, advanced recycling technologies, and eco-design to reduce reliance on primary raw materials. From a strategic standpoint, digital tools such as AI, blockchain, and predictive analytics are emerging as essential enablers for improving traceability, forecasting, and process optimization across RE supply chains. Scenario-based energy models support long-term planning by assessing trade-offs between sustainability, economic viability, and technological deployment. Aligning SSCM with LCA metrics facilitates more balanced and evidence-based decision-making. Moreover, LCA is instrumental in supporting public policy development aimed at decarbonization. Its integration enhances green procurement, informs regulatory design, and strengthens mechanisms such as carbon pricing. Nevertheless, further work is needed to deepen the LCA–SSCM linkage, including broader data coverage, improved transparency, and the integration of socio-economic indicators into environmental evaluations. Noteworthy case studies reinforce this approach. In Germany, Fraunhofer ISE evaluated the LCA of European PV systems, identifying manufacturing as the most carbon-intensive stage and proposing recycling innovations to mitigate impacts. Similarly, research led by KTH in Sweden applied LCA and SSCM to small-scale hydropower blockchain projects, highlighting the role of policy in enhancing material recovery and promoting circularity within RE value chains [211,212]. These examples demonstrate the practical feasibility of integrating LCA and SSCM to strengthen the sustainability and resilience of RE systems. While digital technologies such as AI, blockchain, and predictive analytics enhance traceability and efficiency in SSCM, their deployment also requires significant energy consumption, particularly through data centers and infrastructure. To align with decarbonization goals, it is essential to adopt energy-efficient algorithms and green IT practices. A balanced integration of digital innovation and environmental performance ensures that digitalization supports not undermines the sustainability of RE systems. Finally, regional case studies and interdisciplinary collaboration will be essential.

5. Conclusions

This review reinforces the viewpoint that achieving a sustainable and resilient energy transition requires the systematic integration of LCA and SSCM. Together, these frameworks provide the analytical basis for identifying environmental hotspots and guiding the optimization of RE supply chains across all life cycle stages—from raw material extraction to end-of-life management. The findings converge around three key research directions: (1) pinpointing environmental hotspots using LCA to quantify emissions and resource consumption; (2) addressing long-term challenges related to the extraction and availability of critical raw materials such as neodymium, dysprosium, and silicon; and (3) designing end-of-life strategies through advanced recycling processes, eco-design, and circular economy frameworks. The review confirms that environmental impacts are especially concentrated during extraction and manufacturing, particularly in PV technologies, where panel production can account for up to 80% of total life cycle emissions. These results underscore the urgent need to adopt integrative strategies—such as circular economy models, digital innovations and traceability systems to enhance transparency, resource efficiency, and environmental performance throughout RE value chains. In addition to technical and environmental considerations, the study highlights the strategic role of LCA in supporting public policy development. Its application can inform regulatory mechanisms, including green procurement standards, carbon pricing schemes, and technology incentives, all of which are critical for accelerating low-carbon transitions. Furthermore, the incorporation of sustainable finance is recognized as a foundational pillar to ensure long-term access to key resources. Future research should prioritize expanding empirical datasets, improving impact assessment precision, and incorporating socio-economic dimensions into LCA–SSCM frameworks. Regional case studies, particularly in emerging economies, are essential for addressing localized risks and opportunities. Ultimately, advancing interdisciplinary collaboration among researchers, industry, and policymakers will be vital to building inclusive, circular, and climate-resilient energy systems. This review advances the current understanding of how LCA and SSCM can be jointly leveraged to enhance both environmental and operational performance in renewable energy systems. It contributes a novel analytical lens to evaluate the interplay between raw material flows, supply chain strategies, and environmental externalities. The proposed integration framework, supported by empirical evidence and practical case studies, provides researchers and policymakers with actionable insights to address critical resource constraints, reduce emissions, and promote circularity. This work therefore represents a step forward in building inclusive and sustainable energy systems that align with global climate targets.