This study provides a comparative analysis of the environmental and economic performance of Oman, Egypt, and Morocco, focusing on the critical interplay between their economic structures, governance frameworks, and energy policies. Morocco stands out as a regional leader in renewable energy, driven by significant investments in solar, wind, and hydroelectric projects, positioning itself as a model for clean energy transition. Egypt, despite its rapid industrialization and urbanization, faces mounting environmental pressures that challenge its economic diversification efforts. Oman, heavily dependent on hydrocarbons, confronts significant sustainability risks due to its reliance on fossil fuels, despite the political stability that could support renewable integration. The research underscores that while these nations share common challenges, including regulatory weaknesses and energy policy inconsistencies, their distinct economic contexts demand tailored approaches. Morocco’s path to energy leadership must focus on integrating renewables across all sectors, enhancing grid infrastructure, and expanding green technology innovations to maintain momentum. Egypt should prioritize scaling up renewable infrastructure, reducing dependency on fossil fuels, and investing in clean technology to address its carbon footprint. For Oman, the strategic diversification of its economy, combined with aggressive renewable energy integration, is critical to reducing CO₂ emissions and mitigating climate impacts. This study contributes novel insights by highlighting the role of political stability, institutional quality, and policy coherence as critical enablers of long-term sustainability. It also identifies the importance of regional cooperation and knowledge sharing to overcome shared challenges like data limitations, geopolitical complexities, and methodological gaps in sustainability assessments. The findings advocate for a multi-method approach, integrating economic modeling, life-cycle analysis, and policy evaluation, to guide future sustainability efforts and foster resilient, low-carbon economies in the MENA region.

This study investigates the relationship between economic growth and environmental performance in selected Middle East and North Africa (MENA) countries through the lens of the Environmental Kuznets Curve (EKC) hypothesis. Due to data availability constraints, our sample includes Algeria, Egypt, Lebanon, Mauritius, Morocco, and Oman, covering the period 1990–2022. Using annual panel data, we apply panel cointegration techniques alongside Fully Modified Ordinary Least Squares (FMOLS) and Dynamic Ordinary Least Squares (DOLS) estimators, complemented by Granger causality tests, to examine the interaction among GDP per capita, renewable energy consumption, and transport service exports in determining CO₂ emissions per unit of GDP. The empirical findings provide only partial support for the EKC: while the DOLS results confirm an inverted U-shaped income–emissions relationship, the FMOLS estimations contradict it, suggesting a more complex and nonlinear pattern. Beyond testing the EKC, this study contributes two novel dimensions to the literature. First, it shows that renewable energy exerts a statistically significant negative effect on carbon intensity in the long run, despite weak short-run causality, highlighting the delayed but durable environmental benefits of clean energy adoption. Second, it introduces transport service exports as a proxy for structural economic transformation, capturing the role of trade-driven diversification in reducing emissions. By embedding renewable energy deployment and service-based trade dynamics into the EKC framework, the study advances a more policy-relevant and region-specific understanding of the growth–environment nexus in the selected MENA economies. The results underscore the importance of scaling renewable energy, promoting low-carbon service sectors, and aligning trade and environmental policies to ensure that economic growth supports long-term climate objectives.