The convergence of artificial intelligence (AI), STEM education, and the United Nations sustainable development goals (SDGs) presents vast potential for equitable and transformative learning. However, a gap persists between technological innovation and culturally responsive pedagogy. The culturo-techno-contextual approach (CTCA) offers a framework that integrates culture, technology, and context to promote inclusivity and sustainability in classroom practice. This study examines the role of teachers as catalysts in linking AI-driven STEM education with the SDG agenda. Specifically, it explores how teacher empowerment influences AI-STEM pedagogy within the CTCA framework, how CTCA enhances contextual relevance, and what barriers and enablers affect teacher capacity in AI-STEM integration. Using a qualitative synthesis of recent literature (2020–2025) on AI in STEM, CTCA-based pedagogy, teacher training, and SDG-focused initiatives, the study finds that teacher empowerment rooted in CTCA enhances innovation, engagement, and alignment between STEM education and sustainable development. It also warns that technology adoption without contextual grounding may yield innovation without transformation. The study concludes that CTCA-driven professional development is vital for bridging the AI-STEM-SDG divide, positioning teachers as agents of equity, innovation, and sustainability in 21st-century classrooms.