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Energy transition in OECD countries: Catalyzing governance quality for SDG 7 attainment

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  • Sheraz, Muhammad
  • Qin, Quande
  • Mumtaz, Muhammad Zubair

Abstract

In alignment with the objectives of the 26th Conference of the Parties (COP26) Summit, this study proposes a sustainable policy framework to facilitate energy transition by enhancing governance quality in OECD countries. The study employs Method of Moment Quantile Regression (MMQR) and Bootstrapped Quantile Regression (BSQR) techniques, examining data from 1995 to 2020. Our findings demonstrate that governance quality plays a crucial moderating role, enabling environmental stringency policies, environmental taxes, and technological advancements to effectively promote energy transition in OECD countries. Furthermore, the results indicate that environmental taxes positively impact energy transition at lower quantiles (20th and 40th); however, an adverse effect is observed at upper quantiles (60th and 80th). Based on these findings, this study recommends comprehensive policies for OECD countries that align with Sustainable Development Goal 7, emphasizing the importance of contextual factors in policy implementation for sustainable energy transitions.

Suggested Citation

  • Sheraz, Muhammad & Qin, Quande & Mumtaz, Muhammad Zubair, 2024. "Energy transition in OECD countries: Catalyzing governance quality for SDG 7 attainment," Energy Policy, Elsevier, vol. 194(C).
    • Handle: RePEc:eee:enepol:v:194:y:2024:i:c:s0301421524003355
    DOI: 10.1016/j.enpol.2024.114315
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