Technological Innovation and Urbanisation as Drivers of Environmental Sustainability in Nigeria

Authors

  • James Olushola Awoyemi Department of Economics, Kogi State University, Kabba, Nigeria Author
  • Seun Samuel Fogbonjaiye Department of Economics, Kogi State University, Kabba, Nigeria Author

Keywords:

Environmental Sustainability, Technological Innovation, Urbanisation, Sustainable Development, Nigeria

Abstract

This study analyzed the intricate relationship between technology, urbanization, economic growth, and environmental sustainability in Nigeria from 1990 to 2024. Utilizing the Environmental Kuznets Curve (EKC) framework and Dynamic Ordinary Least Squares (DOLS) methodology, it reveals that all variables were integrated of order one, indicating a stable long-run relationship. Key findings highlight a positive yet statistically insignificant impact of technology on environmental sustainability, hindered by weak institutional support and limited green innovation. Urbanization positively correlates with environmental outcomes when urban development is structured. Economic growth initially harms environmental sustainability at lower income levels but aligns with the EKC hypothesis, suggesting eventual improvement at higher income levels. Energy consumption and industrial value added have positive but insignificant effects on the environment. Notably, the interaction between technology and urbanization is negative and significant, implying that their concurrent growth exacerbates environmental issues due to inefficiencies. The study concludes that Nigeria's environmental sustainability is influenced by complex macroeconomic interactions and advocates for enhanced green policies, improved urban planning, cleaner energy transitions, structural transformations, and coordinated policy integration for sustainable outcomes. It recommended stronger green innovation policies, improved urban planning, cleaner energy transitions, structural transformation, and coordinated policy integration between technology and urban development to achieve sustainable environmental outcomes.

References

Aderinto, E. (2023). Urbanization and environmental unsustainability: An ecological footprint analysis for Nigeria. Sustainability, Agri, Food and Environmental Research, 12(2), 1–14. https://doi.org/10.7770/safer-V12N1-art552

Akanbang, B. A. A., Akaateba, M. A., & Korah, P. I. (2024). Creating and sustaining urban green spaces in Africa under phenomenal urbanisation: Residents’ perspectives on home gardens in Wa, Ghana. Discover Cities, 1, 20. https://doi.org/10.1007/s44327-024-00025-3

Akande, A., Cabral, P., & Casteleyn, S. (2019). Assessing the gap between technology and the environmental sustainability of European cities. Information Systems Frontiers, 21(3), 581–604. https://doi.org/10.1007/s10796-019-09903-3

Arogundade, S., & Hassan, A. S. (2025). Digital economy and environmental quality of African countries: Evidence from spatial Durbin model. Environment, Development and Sustainability, 27(11), 28157–28184. https://doi.org/10.1007/s10668-025-06059-w

Balsalobre-Lorente, D., Abbas, J., He, C., Pilař, L., & Shah, S. A. R. (2023). Tourism, urbanization and natural resources rents matter for environmental sustainability: The leading role of AI and ICT on sustainable development goals in the digital era. Resources Policy, 82, 103445. https://doi.org/10.1016/j.resourpol.2023.103445

Edeme, R. K., & Chibuzo, N. P. (2018). Urban population growth and environmental sustainability in Nigeria. Journal of Empirical Studies, 5(1), 12–19.

Enoguanbhor, E. C., Gollnow, F., Walker, B. B., Nielsen, J. O., & Lakes, T. (2021). Key challenges for land use planning and its environmental assessments in the Abuja City-Region, Nigeria. Land, 10(5), 443. https://doi.org/10.3390/land10050443

Federal Government of Nigeria. (2022). Nigeria Energy Transition Plan. Energy Transition Office. https://energytransition.gov.ng/

Fox, S., Bloch, R., & Monroy, J. (2018). Understanding the dynamics of Nigeria's urban transition: A refutation of the ‘stalled urbanisation’ hypothesis. Urban Studies, 55(5), 947–964. https://doi.org/10.1177/0042098017712688

Gaegane, L. (2024). Incorporating sustainability into development plans in selected African cities. Sustainability, 16(23), 10493. https://doi.org/10.3390/su162310493

Grossman, G. M., & Krueger, A. B. (1995). Economic growth and the environment. The Quarterly Journal of Economics, 110(2), 353–377. https://doi.org/10.2307/2118443

Gyamfi, B. A., Ofori, E. K., Onifade, S. T., Alharthi, M., Prah, S., & Elheddad, M. (2025). Ecological-linked technology, institutional quality and environmental sustainability: Evidence from E7 economies. Energy & Environment, 37(6),3726–3748. https://doi.org/10.1177/0958305X251321396

Hasan, M. A., Voumik, L. C., Mozumder, A. I., Esquivias, M. A., Verteramo-Chiu, L., & Das, M. K. (2025). Role of governance index, democracy, industrialization, and urbanization on environmental sustainability of BRICS countries: A novel PMG-ARDL approach. Social Sciences & Humanities Open, 11, Article 101242. https://doi.org/10.1016/j.ssaho.2024.101242. Elsevier.

Lucas, R. E., Jr. (1988). On the mechanics of economic development. Journal of Monetary Economics, 22(1), 3–42. https://doi.org/10.1016/0304-3932(88)90168-7

Ma, F., Saleem, H., Ding, X., Nazir, S., & Tariq, S. (2024). Do natural resource rents, green technological innovation, and renewable energy matter for ecological sustainability? Role of green policies in testing the environmental Kuznets curve hypothesis. Resources Policy, 91, Article 104844. https://doi.org/10.1016/j.resourpol.2024.104844. Elsevier.

Mperejekumana, P., Shen, L., Hu, S., Nyirarwasa, A., Nsigayehe, J. M. V., & Sun, W. (2024). Integration of renewable energy and socioeconomic development for environmental sustainability in Africa: An empirical analysis. Journal of Environmental Management, 370,122877.

Mukhithi, A., Malungana, L., & Phahlane, M. (2026). Policy frameworks for emerging economies sustainable smart city development: The adoption of artificial intelligence and Internet of Things for the revolutionisation of urban infrastructure. African Journal of Career Development,8(1),a181. https://doi.org/10.4102/ajcd.v8i1.181

Obilor, N. M., Amadi, F. U., & Ahamefula, G. C. (2024). Urbanization and environmental sustainability in Lagos State, Nigeria. Nnamdi Azikiwe University Awka Journal of Sociology, 10(1), 68–86.

Odume, O. N., Onyima, B. N., Nnadozie, C. F., Omovoh, G. O., Mmachaka, T., Omovoh, B. O., Uku, J. E., Akamagwuna, F. C., & Arimoro, F. O. (2022). Governance and institutional drivers of ecological degradation in urban river ecosystems: Insights from case studies in African cities. Sustainability, 14(21), 14147. https://doi.org/10.3390/su142114147

Ogunkan, D. V. (2022). Achieving sustainable environmental governance in Nigeria: A review for policy consideration. Urban Governance, 2(1), 212–220.

Okafor, T. G., & Nworie, G. O. (2025). Achieving environmental sustainability: The contribution of digital automation technologies of Industry 4.0 used by companies in Nigeria. Quantitative Economics and Management Studies, 6(5), 669–678. https://doi.org/10.35877/454RI.qems4039

Onifade, S. T., & Alola, A. A. (2023). Environmental quality outlook of the leading oil producers and urbanized African states. Environmental Science and Pollution Research, 30(43), 98288–98299. https://doi.org/10.1007/s11356-023-28915-w

Qadri, S. U., Shi, X., Rahman, S., Anees, A., Ali, M. S. E., Brancu, L., & Nayel, A. N. (2023). Green finance and foreign direct investment–environmental sustainability nexuses in emerging countries: New insights from the environmental Kuznets curve. Frontiers in Environmental Science, 11, Article 1074713. https://doi.org/10.3389/fenvs.2023.1074713. Frontiers Media S.A.

Romer, P. M. (1986). Increasing returns and long-run growth. Journal of Political Economy, 94(5),1002–1037. https://doi.org/10.1086/261420

Romer, P. M. (1990). Endogenous technological change. Journal of Political Economy, 98(5, Part 2),S71–S102. https://doi.org/10.1086/261725

Somoye, O. A., Ayobamiji, A. A., & Akinwande, T. S. (2025). Wavelet quantile evidence on urbanisation, human capital and economic growth impacts on Nigeria’s ecological footprint. Journal of Contemporary Urban Affairs, 9(1), 256–269.

Stock, J. H., & Watson, M. W. (1993). A simple estimator of cointegrating vectors in higher order integrated systems. Econometrica, 61(4), 783–820. https://doi.org/10.2307/2951763

Wang, L., & Yang, H. (2024). Digital technology innovation and corporate ESG performance: Evidence from China. Economic Change and Restructuring, 57, Article 207. https://doi.org/10.1007/s10644-024-09791- x. Springer Nature.

Wang, Q., Li, Y., & Li, R. (2024). Rethinking the environmental Kuznets curve hypothesis across 214 countries: The impacts of 12 economic, institutional, technological, resource, and social factors. Humanities and Social Sciences Communications, 11, Article 292. https://doi.org/10.1057/s41599-024-02736-9. Springer Nature.

World Bank. (2016). More, and more productive, jobs for Nigeria: A profile of work and workers. World Bank Group.

World Bank. (2025). Nigeria development update: Building momentum for inclusive growth. World Bank.

Zhang, C., & Chen, D. (2023). Do environmental, social, and governance scores improve green innovation? Empirical evidence from Chinese-listed companies. PLOS ONE, 18(5), Article e0279220. https://doi.org/10.1371/journal.pone.0279220. Public Library of Science (PLOS).

Downloads

Published

2026-04-30