Digital Transformation and Environmental Quality in Indonesia: Evidence from Provincial Panel Data Using PLS-SEM
DOI:
10.29303/jppipa.v12i9.15573Published:
2026-09-30Downloads
Abstract
Digital transformation has become an important driver of economic and social development, yet its environmental implications remain inconclusive. This study examines the effect of digital transformation on environmental quality across 34 Indonesian provinces during 2019–2023. A provincial panel dataset comprising 170 province-year observations was constructed from secondary data obtained from Statistics Indonesia (BPS) and the Ministry of Environment and Forestry (KLHK). Digital transformation was measured using household internet access, mobile-phone ownership, and computer ownership, while environmental quality was represented by the Air Quality Index, Water Quality Index, and Land Cover Quality Index. The relationship between these multidimensional constructs was analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM). The results reveal a significant negative relationship between digital transformation and environmental quality (β = −0.367, t = 5.247, p < 0.001), with digital transformation explaining 13.5% of the variance in environmental quality (). The novelty of this study lies in developing a provincial-level multidimensional digital transformation construct and providing empirical evidence on its relationship with multidimensional environmental quality using 170 province-year observations in Indonesia. The findings indicate that greater digital connectivity and technology adoption do not automatically correspond to improved environmental conditions, highlighting the need to integrate digital expansion with cleaner energy, energy-efficient ICT infrastructure, responsible electronic-waste management, and effective environmental governance.
Keywords:
Digital transformation Environmental quality PLS-SEM SustainabilityReferences
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