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The role of renewable energy policies in TACKLING energy poverty in the European UNION

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  • Simionescu, Mihaela
  • Radulescu, Magdalena
  • Cifuentes-Faura, Javier
  • Balsalobre-Lorente, Daniel

Abstract

In the context of actual energy crisis and the EU policy strategy based on the promotion of the renewable energy consumption, the aim of this paper is to explain energy poverty based on renewable energy use. According to various panel data models based on DOLS (dynamic ordinary least square) estimator, MG (mean group) estimator and method of moments quantile (MMQ) regression, patents for renewable energy projects and renewable energy consumption per capita enhanced the arrears on utility bills in the EU in the period 2003–2021. Unemployment rate deepened the energy poverty and a two-way causality was observed between these variables. On the other hand, foreign direct investment (FDI) and energy efficiency reduced the arrears on utility bills in the same period. The results allow us to formulate renewable energy policies that support more the vulnerable consumers that are the most affected by energy poverty.

Suggested Citation

  • Simionescu, Mihaela & Radulescu, Magdalena & Cifuentes-Faura, Javier & Balsalobre-Lorente, Daniel, 2023. "The role of renewable energy policies in TACKLING energy poverty in the European UNION," Energy Policy, Elsevier, vol. 183(C).
    • Handle: RePEc:eee:enepol:v:183:y:2023:i:c:s0301421523004111
    DOI: 10.1016/j.enpol.2023.113826
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