LAUSR

The global economic and resource integration in recent decades has had profound implications for global environmental sustainability, but the continued reliance on traditional energy resources means that urgent policy measures are required to achieve a sustainable development transition. Within this context, the current study reports on the role of environmental fiscal policies, climate mitigation technologies, energy structure, and renewable energy investments in mitigating climate change risks in the top‐10 polluting economies. The empirical findings from an extensive econometric analysis allow the current study to articulate that environmental fiscal policy is key to environmental sustainability in the sampled dataset. In addition, climate change mitigation technologies and renewable energy investments help lower climate change risks, whereas energy structure and urbanization exacerbate climate change threats. We conclude the current research by reporting novel policy suggestions to integrate environmental fiscal policies within environmental and sustainable development policy frameworks to resolve long‐term environmental challenges.