This research delves into the inter-relations between urbanization, industrialization, energy consumption, and carbon dioxide emissions (CO2) in SAARC countries, and emphasizes their impacts on the sustainable development goals (SDGs). As the regional importance grows because of the fast urban and industrial development accompanied by the high energy consumption, such analysis becomes of great significance in the of environment and policy planning for the SAARC region. Technically, the study uses advanced econometric approaches, including the Cross-Sectional Autoregressive Distributed Lag (CS-ARDL) model, and if it is necessary, second-generation unit roots and cointegration tests may be used as well. The process is what helps you have a good look at the long-term relationships and dynamics among the variables in mind. The main results demonstrate that CO2 emissions from urbanization and industrialization are much higher, so there is a compelling reason to look for ways to make our urban and industrial policies more sustainable. Inversely, power consumption, especially from fossil fuels, becomes a major emissions contributor, implied by the fact of transitioning to renewable energy sources. Among the effects of population growth, natural resource rent, and electrification on emissions mitigation, several policy intervention domains seem promising. To achieve sustainable development goals for SAARC countries, the member nations must collaborate on sustainable practices in urban planning, energy consumption, and industrial activities. The research is focused on renewable energy integration and sustainable urban planning; therefore, the research provides essential knowledge for policymakers to design strategies that are supposed to minimize negative impacts on the environment but also bring economic growth. Such findings and recommendations are the keys that are going to help in shaping the environmental policy and the strategic growth of the SAARC region while ensuring harmony between environmental and economic development.