The Gulf Cooperation Council (GCC) countries are striving to balance economic growth with low-carbon operations. To achieve this, the GCC governments have embraced use of AI (Artificial Intelligence), IoT (Internet of Things), and blockchain technology to digitalize the energy sector, utilities and to improve public service efficiency. The research examines how these smart technologies are shaping the energy infrastructure and smart cities, while making supply chains more open through substantial investments in smart grid systems and AI systems. A quantitative method (with robustness check) approach comprising survey shows a clear trend of how smart technologies contribute to better environmental records. However, the digital transformation sector continues to face security problems combined with shortages of digitally skilled workforce, resistance to change and inconsistent government regulations. Investing in strong digital infrastructure and adaptive governance systems will give GCC nations long-lasting ways to enhance sustainable innovation, the study concludes with policy recommendation for public sector and business recommendation for industries with a pathway for future researches.