Exploring Environmental Management Systems Effectiveness: Do Environmental Investments Effectively Lead to Performance Improvements?

Industrial production is a cornerstone of modern economies but significantly impacts the environment. Environmental Management Systems (EMSs) aim to drive sustainable performance, yet their effectiveness remains questioned. This study quantitatively investigated the relationship between improvement objectives, allocated budgets, and environmental performance in 14 EMAS-registered natural gas thermal power plants in Italy (2014–2021). Using correlation analyses and a combined metric (CUF) encompassing improvement focus and plant utilization rate, the results show that investments alone did not directly drive performance improvements. However, increased plant utilization emerged as a critical factor, with strong correlations observed for CO2 emissions and fuel efficiency. The CUF metric outperformed standalone measures, underscoring the interplay between operational efficiency and targeted investments. This study offers new insights into the effectiveness of EMSs, demonstrating their potential to drive environmental performance improvements when combined with operational strategies. Future research should explore long-term impacts and qualitative factors, such as technological and managerial practices, to refine EMS effectiveness further.