Can Energy Security Help Use Ecology More Efficiently in <scp>G7</scp> Countries? A New Policy Guideline

ABSTRACT In this study, we explore, for the first time, how energy security (ESEC) impacts ecological efficiency (ECOE), providing valuable insights into the relationship between these two critical factors. This investigation is crucial as it addresses a gap in existing research, shedding light on how ESEC measures can enhance or hinder ecological outcomes. In this study, we use the G7 nations as a case study, analysing annual data from 1980Q1 to 2021Q4. To examine the relationship between ESEC and ECOE, we employ the novel quantile‐on‐quantile KRLS method, which allows for a thorough understanding of the dynamic interaction between these variables across different quantiles. The results from the study show that ESEC improves ECOE in the G7 nations, with the exception of Germany, which has a mixed relationship. Based on the study's results, it is recommended that G7 nations continue to prioritise ESEC as a means to improve ECOE, while considering tailored approaches for Germany, where the relationship between ESEC and ECOE shows positive effects at lower quantiles and diminishing effects at higher quantiles.