The Impact of Economic, Environmental and Social Variables in the Consumption of Green Energy. A Comparative Approach of the Balkan Countries

Governments and businesses in many countries are orienting their strategies in accordance with meeting the sustainable development goals (SDGs), due to current global development. In a dynamic environment and competitive markets, this strategy orientation is seen as a way to succeed and ensure long-term sustainability. In this context, renewable energy has gained a lot of attention and interest. The promotion and use of renewable energy depend crucially on government policies. Different incentives such as subsidies, tax incentives, renewable energy targets, and regulations that encourage or require the use of renewables can significantly boost their adoption. Renewable energy technologies, such as solar panels, wind turbines, and energy storage systems, have advanced and have made their use a more attractive option for consumers and businesses because of their accessibility, affordability, and efficiency. This study aims to present and give a comparative overview of renewable energy investments in the Balkan Countries with a focus on green energy. Green energy is a sub-category of renewable energy that refers only to two sources: sun and wind. Even though green energy is part of renewable energy, it might have specific characteristics that are interesting to be known. The objective of this study is to analyze the relationship of the main factors that impact the consumption of green energy in Albania compared to four EU countries. Following the previous research conducted and after identifying the main factors that impact the consumption of green energy, a panel data regression model is used to analyze how these factors are related to the consumption of green energy in 5 countries: Albania (non-EU country), Croatia, Bulgaria, Greece, Slovenia (EU countries). The study results found that the electricity price and education index positively impact the consumption of green energy, while CO2 emissions negatively impact it.