IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Log in (now much improved!) to save this article

Interactions between electricity generation sources and economic activity in Greece: A VECM approach

Listed author(s):
  • Marques, António Cardoso
  • Fuinhas, José Alberto
  • Menegaki, Angeliki N.

The interactions between electricity generation sources and industrial production in Greece were analysed from August 2004 to October 2013. Greece has been subject to a tough economic adjustment under external financial assistance guidelines. In the meantime, the country has remained committed to international agreements concerning the use of renewables. The variables interact with each other, and this endogeneity has been analysed using a VECM model. A short-run, causal relationship from conventional fossil sources to economic growth, was proved. However, there is no evidence of causal relationships from renewable electricity to economic growth, either in the short- or long-run. Only economic growth gives rise to renewable electricity, whether in the short- or long-run. A fresh insight on the current state of dynamics between electricity sources within an electricity generation system, is thus added to the literature. These findings will inform energy policymakers in designing policies both to encourage the incorporation of national technology into renewables and to reduce electricity consumption without hampering economic growth.

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL: http://www.sciencedirect.com/science/article/pii/S0306261914006552
Download Restriction: Full text for ScienceDirect subscribers only

As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

Article provided by Elsevier in its journal Applied Energy.

Volume (Year): 132 (2014)
Issue (Month): C ()
Pages: 34-46

as
in new window

Handle: RePEc:eee:appene:v:132:y:2014:i:c:p:34-46
DOI: 10.1016/j.apenergy.2014.06.073
Contact details of provider: Web page: http://www.elsevier.com/wps/find/journaldescription.cws_home/405891/description#description

Order Information: Postal: http://www.elsevier.com/wps/find/journaldescription.cws_home/405891/bibliographic
Web: http://www.elsevier.com/wps/find/journaldescription.cws_home/405891/bibliographic

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

as
in new window

  1. Menegaki, Angeliki N., 2012. "A social marketing mix for renewable energy in Europe based on consumer stated preference surveys," Renewable Energy, Elsevier, vol. 39(1), pages 30-39.
  2. Zhao, Yuan & Hao, Li-Sha & Wang, Yu-Ping, 2009. "Development strategies for wind power industry in Jiangsu Province, China: Based on the evaluation of resource capacity," Energy Policy, Elsevier, vol. 37(5), pages 1736-1744, May.
  3. Ciarreta, Aitor & Gutiérrez-Hita, Carlos & Nasirov, Shahriyar, 2011. "Renewable energy sources in the Spanish electricity market: Instruments and effects," Renewable and Sustainable Energy Reviews, Elsevier, vol. 15(5), pages 2510-2519, June.
  4. Lund, Henrik & Andersen, Anders N. & Østergaard, Poul Alberg & Mathiesen, Brian Vad & Connolly, David, 2012. "From electricity smart grids to smart energy systems – A market operation based approach and understanding," Energy, Elsevier, vol. 42(1), pages 96-102.
  5. Ocal, Oguz & Aslan, Alper, 2013. "Renewable energy consumption–economic growth nexus in Turkey," Renewable and Sustainable Energy Reviews, Elsevier, vol. 28(C), pages 494-499.
  6. Herrerias, M.J. & Joyeux, R. & Girardin, E., 2013. "Short- and long-run causality between energy consumption and economic growth: Evidence across regions in China," Applied Energy, Elsevier, vol. 112(C), pages 1483-1492.
  7. Gawel, Erik & Purkus, Alexandra, 2013. "Promoting the market and system integration of renewable energies through premium schemes: A case study of the German market premium," UFZ Discussion Papers 4/2013, Helmholtz Centre for Environmental Research (UFZ), Division of Social Sciences (ÖKUS).
  8. Iliadou, Ekaterini N., 2009. "Electricity sector reform in Greece," Utilities Policy, Elsevier, vol. 17(1), pages 76-87, March.
  9. Ewing, Bradley T. & Sari, Ramazan & Soytas, Ugur, 2007. "Disaggregate energy consumption and industrial output in the United States," Energy Policy, Elsevier, vol. 35(2), pages 1274-1281, February.
  10. Gawel, Erik & Purkus, Alexandra, 2013. "Promoting the market and system integration of renewable energies through premium schemes—A case study of the German market premium," Energy Policy, Elsevier, vol. 61(C), pages 599-609.
  11. Fuinhas, José Alberto & Marques, António Cardoso, 2012. "Energy consumption and economic growth nexus in Portugal, Italy, Greece, Spain and Turkey: An ARDL bounds test approach (1965–2009)," Energy Economics, Elsevier, vol. 34(2), pages 511-517.
  12. Johansen, Soren & Juselius, Katarina, 1990. "Maximum Likelihood Estimation and Inference on Cointegration--With Applications to the Demand for Money," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 52(2), pages 169-210, May.
  13. Camadan, Ercüment, 2011. "An assessment on the current status and future of wind energy in Turkish electricity industry," Renewable and Sustainable Energy Reviews, Elsevier, vol. 15(9), pages 4994-5002.
  14. Yildirim, Ertuğrul & Saraç, Şenay & Aslan, Alper, 2012. "Energy consumption and economic growth in the USA: Evidence from renewable energy," Renewable and Sustainable Energy Reviews, Elsevier, vol. 16(9), pages 6770-6774.
  15. Georgiou, Paraskevas N. & Mavrotas, George & Diakoulaki, Danae, 2011. "The effect of islands' interconnection to the mainland system on the development of renewable energy sources in the Greek power sector," Renewable and Sustainable Energy Reviews, Elsevier, vol. 15(6), pages 2607-2620, August.
  16. Abdullah, M.A. & Agalgaonkar, A.P. & Muttaqi, K.M., 2014. "Climate change mitigation with integration of renewable energy resources in the electricity grid of New South Wales, Australia," Renewable Energy, Elsevier, vol. 66(C), pages 305-313.
  17. Ozturk, Ilhan, 2010. "A literature survey on energy-growth nexus," Energy Policy, Elsevier, vol. 38(1), pages 340-349, January.
  18. Pao, Hsiao-Tien & Fu, Hsin-Chia, 2013. "Renewable energy, non-renewable energy and economic growth in Brazil," Renewable and Sustainable Energy Reviews, Elsevier, vol. 25(C), pages 381-392.
  19. Cossent, Rafael & Gómez, Tomás & Olmos, Luis, 2011. "Large-scale integration of renewable and distributed generation of electricity in Spain: Current situation and future needs," Energy Policy, Elsevier, vol. 39(12), pages 8078-8087.
  20. Acaravci, Ali & Ozturk, Ilhan, 2010. "Electricity consumption-growth nexus: Evidence from panel data for transition countries," Energy Economics, Elsevier, vol. 32(3), pages 604-608, May.
  21. Akkemik, K. Ali & Göksal, Koray & Li, Jia, 2012. "Energy consumption and income in Chinese provinces: Heterogeneous panel causality analysis," Applied Energy, Elsevier, vol. 99(C), pages 445-454.
  22. Apergis, Nicholas & Payne, James E., 2012. "Renewable and non-renewable energy consumption-growth nexus: Evidence from a panel error correction model," Energy Economics, Elsevier, vol. 34(3), pages 733-738.
  23. Polemis, Michael L. & Dagoumas, Athanasios S., 2013. "The electricity consumption and economic growth nexus: Evidence from Greece," Energy Policy, Elsevier, vol. 62(C), pages 798-808.
  24. Menegaki, Angeliki N., 2014. "On energy consumption and GDP studies; A meta-analysis of the last two decades," Renewable and Sustainable Energy Reviews, Elsevier, vol. 29(C), pages 31-36.
  25. Yoo, Seung-Hoon, 2006. "Causal relationship between coal consumption and economic growth in Korea," Applied Energy, Elsevier, vol. 83(11), pages 1181-1189, November.
  26. Kalampalikas, Nikolaos G. & Pilavachi, Petros A., 2010. "A model for the development of a power production system in Greece, Part I: Where RES do not meet EU targets," Energy Policy, Elsevier, vol. 38(11), pages 6499-6513, November.
  27. Sari, Ramazan & Ewing, Bradley T. & Soytas, Ugur, 2008. "The relationship between disaggregate energy consumption and industrial production in the United States: An ARDL approach," Energy Economics, Elsevier, vol. 30(5), pages 2302-2313, September.
  28. Voumvoulakis, Emmanouil & Asimakopoulou, Georgia & Danchev, Svetoslav & Maniatis, George & Tsakanikas, Aggelos, 2012. "Large scale integration of intermittent renewable energy sources in the Greek power sector," Energy Policy, Elsevier, vol. 50(C), pages 161-173.
  29. Menegaki, Angeliki N. & Ozturk, Ilhan, 2013. "Growth and energy nexus in Europe revisited: Evidence from a fixed effects political economy model," Energy Policy, Elsevier, vol. 61(C), pages 881-887.
  30. Mishra, Vinod & Smyth, Russell & Sharma, Susan, 2009. "The energy-GDP nexus: Evidence from a panel of Pacific Island countries," Resource and Energy Economics, Elsevier, vol. 31(3), pages 210-220, August.
  31. Menegaki, Angeliki N., 2013. "Accounting for unobserved management in renewable energy & growth," Energy, Elsevier, vol. 63(C), pages 345-355.
  32. repec:dau:papers:123456789/6969 is not listed on IDEAS
  33. Apergis, Nicholas & Payne, James E., 2010. "Energy consumption and growth in South America: Evidence from a panel error correction model," Energy Economics, Elsevier, vol. 32(6), pages 1421-1426, November.
  34. Salim, Ruhul A. & Rafiq, Shuddhasattwa, 2012. "Why do some emerging economies proactively accelerate the adoption of renewable energy?," Energy Economics, Elsevier, vol. 34(4), pages 1051-1057.
  35. Flora, Rui & Marques, António Cardoso & Fuinhas, José Alberto, 2014. "Wind power idle capacity in a panel of European countries," Energy, Elsevier, vol. 66(C), pages 823-830.
  36. Tolis, Athanasios I. & Rentizelas, Athanasios A., 2011. "An impact assessment of electricity and emission allowances pricing in optimised expansion planning of power sector portfolios," Applied Energy, Elsevier, vol. 88(11), pages 3791-3806.
  37. Hondroyiannis, George, 2004. "Estimating residential demand for electricity in Greece," Energy Economics, Elsevier, vol. 26(3), pages 319-334, May.
  38. Tugcu, Can Tansel & Ozturk, Ilhan & Aslan, Alper, 2012. "Renewable and non-renewable energy consumption and economic growth relationship revisited: Evidence from G7 countries," Energy Economics, Elsevier, vol. 34(6), pages 1942-1950.
  39. Marques, António Cardoso & Fuinhas, José Alberto, 2012. "Is renewable energy effective in promoting growth?," Energy Policy, Elsevier, vol. 46(C), pages 434-442.
  40. Danias, Nikolaos & Kim Swales, John & McGregor, Peter, 2013. "The Greek Electricity Market Reforms: Political and Regulatory Considerations," Energy Policy, Elsevier, vol. 62(C), pages 1040-1047.
  41. Fuinhas, José Alberto & Marques, António Cardoso, 2013. "Rentierism, energy and economic growth: The case of Algeria and Egypt (1965–2010)," Energy Policy, Elsevier, vol. 62(C), pages 1165-1171.
  42. Boie, Inga & Fernandes, Camila & Frías, Pablo & Klobasa, Marian, 2014. "Efficient strategies for the integration of renewable energy into future energy infrastructures in Europe – An analysis based on transnational modeling and case studies for nine European regions," Energy Policy, Elsevier, vol. 67(C), pages 170-185.
  43. Chevallier, Julien, 2011. "A model of carbon price interactions with macroeconomic and energy dynamics," Energy Economics, Elsevier, vol. 33(6), pages 1295-1312.
  44. Connolly, D. & Lund, H. & Mathiesen, B.V. & Leahy, M., 2010. "A review of computer tools for analysing the integration of renewable energy into various energy systems," Applied Energy, Elsevier, vol. 87(4), pages 1059-1082, April.
  45. Al-mulali, Usama & Fereidouni, Hassan Gholipour & Lee, Janice Ym & Sab, Che Normee Binti Che, 2013. "Examining the bi-directional long run relationship between renewable energy consumption and GDP growth," Renewable and Sustainable Energy Reviews, Elsevier, vol. 22(C), pages 209-222.
  46. Menegaki, Angeliki N., 2011. "Growth and renewable energy in Europe: A random effect model with evidence for neutrality hypothesis," Energy Economics, Elsevier, vol. 33(2), pages 257-263, March.
  47. Al-mulali, Usama & Fereidouni, Hassan Gholipour & Lee, Janice Y.M., 2014. "Electricity consumption from renewable and non-renewable sources and economic growth: Evidence from Latin American countries," Renewable and Sustainable Energy Reviews, Elsevier, vol. 30(C), pages 290-298.
  48. Boccard, Nicolas, 2009. "Capacity factor of wind power realized values vs. estimates," Energy Policy, Elsevier, vol. 37(7), pages 2679-2688, July.
  49. Woo, C.K. & Sreedharan, P. & Hargreaves, J. & Kahrl, F. & Wang, J. & Horowitz, I., 2014. "A review of electricity product differentiation," Applied Energy, Elsevier, vol. 114(C), pages 262-272.
  50. Apergis, Nicholas & Payne, James E., 2009. "Energy consumption and economic growth in Central America: Evidence from a panel cointegration and error correction model," Energy Economics, Elsevier, vol. 31(2), pages 211-216.
  51. Amorim, F. & Vasconcelos, J. & Abreu, I.C. & Silva, P.P. & Martins, V., 2013. "How much room for a competitive electricity generation market in Portugal?," Renewable and Sustainable Energy Reviews, Elsevier, vol. 18(C), pages 103-118.
  52. Yekini Suberu, Mohammed & Wazir Mustafa, Mohd & Bashir, Nouruddeen, 2014. "Energy storage systems for renewable energy power sector integration and mitigation of intermittency," Renewable and Sustainable Energy Reviews, Elsevier, vol. 35(C), pages 499-514.
  53. Brouwer, Anne Sjoerd & Kuramochi, Takeshi & van den Broek, Machteld & Faaij, André, 2013. "Fulfilling the electricity demand of electric vehicles in the long term future: An evaluation of centralized and decentralized power supply systems," Applied Energy, Elsevier, vol. 107(C), pages 33-51.
Full references (including those not matched with items on IDEAS)

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:eee:appene:v:132:y:2014:i:c:p:34-46. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Dana Niculescu)

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.