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August 22, 2026International Journal of Energy Sector Management

Economic development and renewable energy adoption: regional evidence from the European Union

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Authors

VKVojtěch KotrbaMCManuel de La ChicaLMLuis F. Martinez

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Overview

Econometric panel study reveals nonlinear effects of income and energy prices on renewable adoption across the European Union, highlighting the need for tailored regional transition policies.

Key Points

  • To examine how economic development, household energy prices, and institutional conditions nonlinearly shape renewable energy adoption across European Union regions.
  • Analyzed Eurostat panel data across European Union member states from 2013 to 2022.
  • Estimated fixed-effects panel models with quadratic specifications incorporating real GDP per capita, household natural gas prices, and household electricity prices.
  • Controlled for institutional quality and EU cohesion funding, applying dynamic panel models as robustness checks.
  • Demonstrated a positive and nonlinear relationship between real GDP per capita and renewable energy adoption, showing the strongest robustness in Northern Europe.
  • Observed heterogeneous impacts of natural gas and electricity prices across regions, alongside strong persistence of renewable energy shares in dynamic specifications.

Cite This Study

Kotrba et al. (2026) studied this question.

synapsesocial.com/papers/6a895ec3ca7ade938187cd68https://doi.org/10.1108/ijesm-09-2025-0043
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