diff --git a/crates/oxc_transformer/src/es2016/exponentiation_operator.rs b/crates/oxc_transformer/src/es2016/exponentiation_operator.rs
index 1f0b3312b4013..cc23ffac005be 100644
--- a/crates/oxc_transformer/src/es2016/exponentiation_operator.rs
+++ b/crates/oxc_transformer/src/es2016/exponentiation_operator.rs
@@ -37,7 +37,7 @@ use oxc_span::SPAN;
 use oxc_syntax::operator::{AssignmentOperator, BinaryOperator};
 use oxc_traverse::{Traverse, TraverseCtx};
 
-use crate::context::Ctx;
+use crate::{context::Ctx, helpers::stack::SparseStack};
 
 /// ES2016: Exponentiation Operator
 ///
@@ -47,7 +47,7 @@ use crate::context::Ctx;
 /// * <https://github.com/babel/babel/blob/main/packages/babel-helper-builder-binary-assignment-operator-visitor>
 pub struct ExponentiationOperator<'a> {
     _ctx: Ctx<'a>,
-    var_declarations: std::vec::Vec<Vec<'a, VariableDeclarator<'a>>>,
+    var_declarations: SparseStack<Vec<'a, VariableDeclarator<'a>>>,
 }
 
 #[derive(Debug)]
@@ -58,17 +58,22 @@ struct Exploded<'a> {
 
 impl<'a> ExponentiationOperator<'a> {
     pub fn new(ctx: Ctx<'a>) -> Self {
-        Self { _ctx: ctx, var_declarations: vec![] }
+        Self { _ctx: ctx, var_declarations: SparseStack::new() }
     }
 }
 
 impl<'a> Traverse<'a> for ExponentiationOperator<'a> {
+    #[inline] // Inline because it's no-op in release mode
+    fn exit_program(&mut self, _program: &mut Program<'a>, _ctx: &mut TraverseCtx<'a>) {
+        debug_assert!(self.var_declarations.is_empty());
+    }
+
     fn enter_statements(
         &mut self,
         _statements: &mut Vec<'a, Statement<'a>>,
-        ctx: &mut TraverseCtx<'a>,
+        _ctx: &mut TraverseCtx<'a>,
     ) {
-        self.var_declarations.push(ctx.ast.vec());
+        self.var_declarations.push(None);
     }
 
     fn exit_statements(
@@ -77,9 +82,7 @@ impl<'a> Traverse<'a> for ExponentiationOperator<'a> {
         ctx: &mut TraverseCtx<'a>,
     ) {
         if let Some(declarations) = self.var_declarations.pop() {
-            if declarations.is_empty() {
-                return;
-            }
+            debug_assert!(!declarations.is_empty());
             let variable = ctx.ast.alloc_variable_declaration(
                 SPAN,
                 VariableDeclarationKind::Var,
@@ -318,8 +321,7 @@ impl<'a> ExponentiationOperator<'a> {
             let id = ctx.ast.binding_pattern_kind_from_binding_identifier(binding_identifier);
             let id = ctx.ast.binding_pattern(id, NONE, false);
             self.var_declarations
-                .last_mut()
-                .unwrap()
+                .get_mut_or_init(|| ctx.ast.vec())
                 .push(ctx.ast.variable_declarator(SPAN, kind, id, None, false));
         }
 
diff --git a/crates/oxc_transformer/src/es2016/mod.rs b/crates/oxc_transformer/src/es2016/mod.rs
index 857c4fa012623..4fd48ac555d08 100644
--- a/crates/oxc_transformer/src/es2016/mod.rs
+++ b/crates/oxc_transformer/src/es2016/mod.rs
@@ -27,6 +27,13 @@ impl<'a> ES2016<'a> {
 }
 
 impl<'a> Traverse<'a> for ES2016<'a> {
+    #[inline] // Inline because it's no-op in release mode
+    fn exit_program(&mut self, program: &mut Program<'a>, ctx: &mut TraverseCtx<'a>) {
+        if self.options.exponentiation_operator {
+            self.exponentiation_operator.exit_program(program, ctx);
+        }
+    }
+
     fn enter_statements(
         &mut self,
         statements: &mut Vec<'a, Statement<'a>>,
diff --git a/crates/oxc_transformer/src/lib.rs b/crates/oxc_transformer/src/lib.rs
index 1a854c0b9ba53..c178f9ffbf5ff 100644
--- a/crates/oxc_transformer/src/lib.rs
+++ b/crates/oxc_transformer/src/lib.rs
@@ -133,6 +133,7 @@ impl<'a> Traverse<'a> for Transformer<'a> {
         self.x1_react.exit_program(program, ctx);
         self.x0_typescript.exit_program(program, ctx);
         self.x2_es2020.exit_program(program, ctx);
+        self.x2_es2016.exit_program(program, ctx);
         self.x3_es2015.exit_program(program, ctx);
     }