Productivity, Digitalisation and Climate Adaption: Complements or Costs?

Adapting to climate change is a central global challenge that may incur costs for business but also one that could bring opportunities in terms of productivity and markets. Increased use of digital technologies is an area where the challenge of climate adaptation and promotion of productivity growth may be bridged. This project proposes to use the most recent version of the Department of Enterprise, Trade and Employment’s Annual Business Survey of Economic Impact (ABSEI) which adds novel questions on energy use, climate adaption priorities and digital strategies along with a wide range of firm characteristics. This can be used to examine the links between firm performance and these two areas of key policy concern.

The results will highlight the extent to which climate adaption and digital strategies are concentrated or dispersed across firms and if gaps in adoption of technologies are emerging that could help target policy initiatives.