IDEAS home Printed from https://ideas.repec.org/a/eee/renene/v252y2025ics0960148125010341.html

Balancing the scales of renewable energy 100 %: Addressing disparities in sectoral electricity consumption

Author

Listed:
  • Park, Jonghun
  • Hwang, Junseok
  • Kim, Dohyoung

Abstract

The RE100 initiative, which aims to transition companies to 100 % renewable energy, faces significant challenges due to its limited impact and the risk of exacerbating a Renewable Energy Divide across industries and regions. This study investigates the factors contributing to this divide and proposes strategies to mitigate these disparities. Through quantitative analysis, case studies, and scenario modeling, the research introduces the concept of Adjusted Renewable Energy as a more equitable metric for evaluating corporate renewable energy achievements. The findings suggest that current evaluation methods may disadvantage certain industries, particularly manufacturing-based firms in Asia, due to high costs and limited procurement options. By addressing these inequalities, the study seeks to enhance the effectiveness of the RE100 initiative, promote fair competition, and accelerate the global transition to renewable energy. The proposed framework has the potential to increase corporate participation, stimulate renewable energy investments, and contribute to sustainable development across diverse industrial sectors. This study not only highlights the challenges of achieving RE100 across different industries but also provides actionable solutions, making a significant contribution to the discourse on sustainable energy transitions.

Suggested Citation

  • Park, Jonghun & Hwang, Junseok & Kim, Dohyoung, 2025. "Balancing the scales of renewable energy 100 %: Addressing disparities in sectoral electricity consumption," Renewable Energy, Elsevier, vol. 252(C).
  • Handle: RePEc:eee:renene:v:252:y:2025:i:c:s0960148125010341
    DOI: 10.1016/j.renene.2025.123372
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0960148125010341
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.renene.2025.123372?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to

    for a different version of it.

    References listed on IDEAS

    as
    1. Igor Shishlov & Romain Morel & Valentin Bellassen, 2016. "Compliance of the Parties to the Kyoto Protocol in the first commitment period," Climate Policy, Taylor & Francis Journals, vol. 16(6), pages 768-782, August.
    2. Qiang Wang & Yuanfan Li & Rongrong Li, 2024. "Ecological footprints, carbon emissions, and energy transitions: the impact of artificial intelligence (AI)," Humanities and Social Sciences Communications, Palgrave Macmillan, vol. 11(1), pages 1-18, December.
    3. Magali A. Delmas & Michael W. Toffel, 2008. "Organizational responses to environmental demands: opening the black box," Strategic Management Journal, Wiley Blackwell, vol. 29(10), pages 1027-1055, October.
    4. Praene, Jean Philippe & Rasamoelina, Rindrasoa Miangaly & Ayagapin, Leslie, 2021. "Past and prospective electricity scenarios in Madagascar: The role of government energy policies," Renewable and Sustainable Energy Reviews, Elsevier, vol. 149(C).
    5. Marcus Wagner, 2005. "How to reconcile environmental and economic performance to improve corporate sustainability: corporate environmental strategies in the European paper industry," Post-Print hal-00279158, HAL.
    6. Sakis Kotsantonis & Chris Pinney & George Serafeim, 2016. "ESG Integration in Investment Management: Myths and Realities," Journal of Applied Corporate Finance, Morgan Stanley, vol. 28(2), pages 10-16, June.
    7. Anton, W.R.Q.Wilma Rose Q. & Deltas, George & Khanna, Madhu, 2004. "Incentives for environmental self-regulation and implications for environmental performance," Journal of Environmental Economics and Management, Elsevier, vol. 48(1), pages 632-654, July.
    8. Handayani, Kamia & Krozer, Yoram & Filatova, Tatiana, 2019. "From fossil fuels to renewables: An analysis of long-term scenarios considering technological learning," Energy Policy, Elsevier, vol. 127(C), pages 134-146.
    9. Andrew King & Michael Lenox, 2002. "Exploring the Locus of Profitable Pollution Reduction," Management Science, INFORMS, vol. 48(2), pages 289-299, February.
    10. Ozorhon, Beliz & Batmaz, Arda & Caglayan, Semih, 2018. "Generating a framework to facilitate decision making in renewable energy investments," Renewable and Sustainable Energy Reviews, Elsevier, vol. 95(C), pages 217-226.
    11. Chung, Yessica C.Y. & Kunene, Noxolo & Chang, Hung-Hao, 2024. "Renewable energy certificates and firm value: Empirical evidence in Taiwan," Energy Policy, Elsevier, vol. 184(C).
    12. Anthoff, David & Tol, Richard S.J., 2010. "On international equity weights and national decision making on climate change," Journal of Environmental Economics and Management, Elsevier, vol. 60(1), pages 14-20, July.
    13. Romain Weikmans & Harro van Asselt & J. Timmons Roberts, 2020. "Transparency requirements under the Paris Agreement and their (un)likely impact on strengthening the ambition of nationally determined contributions (NDCs)," Climate Policy, Taylor & Francis Journals, vol. 20(4), pages 511-526, April.
    14. Taha Zaghdoudi & Kais Tissaoui & Abdelaziz Hakimi & Lamia Ben Amor, 2024. "Dirty versus renewable energy consumption in China: a comparative analysis between conventional and non-conventional approaches," Annals of Operations Research, Springer, vol. 334(1), pages 601-622, March.
    15. Jalalov, Mashkhurbek & Bae, Jeong Hwan, 2025. "Exploring the motivations behind corporate participation in the RE100 initiative and its impact on financial performance," Energy Policy, Elsevier, vol. 198(C).
    16. Ayman Issa & Jalal Rajeh Hanaysha, 2023. "Powering profits: how renewable energy boosts financial performance in European non-financial companies," International Journal of Accounting & Information Management, Emerald Group Publishing Limited, vol. 31(4), pages 600-622, June.
    17. Florian Egli & Rui Zhang & Victor Hopo & Tobias Schmidt & Bjarne Steffen, 2023. "The contribution of corporate initiatives to global renewable electricity deployment," Nature Communications, Nature, vol. 14(1), pages 1-12, December.
    18. Hulshof, Daan & Mulder, Machiel, 2020. "The impact of renewable energy use on firm profit," Energy Economics, Elsevier, vol. 92(C).
    19. Tonmoy Choudhury & Muhammad Kamran & Hadrian Geri Djajadikerta & Tapan Sarker, 2023. "Can Banks Sustain the Growth in Renewable Energy Supply? An International Evidence," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 35(1), pages 20-50, February.
    20. Rövekamp, Patrick & Schöpf, Michael & Wagon, Felix & Weibelzahl, Martin, 2023. "For better or for worse? On the economic and ecologic value of industrial demand side management in constrained electricity grids," Energy Policy, Elsevier, vol. 183(C).
    21. Qiang Wang & Zhuang Yang & Rongrong Li, 2024. "Bridging energy transition and income inequality: The moderating effect of institutional transparency," Sustainable Development, John Wiley & Sons, Ltd., vol. 32(5), pages 5031-5057, October.
    22. Julia Hartmann & Andrew C Inkpen & Kannan Ramaswamy, 2021. "Different shades of green: Global oil and gas companies and renewable energy," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 52(5), pages 879-903, July.
    23. Kunkel, Leah C. & Breetz, Hanna L. & Abbott, Joshua K., 2022. "100% renewable electricity policies in U.S. cities: A mixed methods analysis of adoption and implementation," Energy Policy, Elsevier, vol. 167(C).
    24. Pham, Huy & Ha, Van & Le, Hanh-Hong & Ramiah, Vikash & Frino, Alex, 2024. "The effects of polluting behaviour, dirty energy and electricity consumption on firm performance: Evidence from the recent crises," Energy Economics, Elsevier, vol. 129(C).
    25. Dan Tong & David J. Farnham & Lei Duan & Qiang Zhang & Nathan S. Lewis & Ken Caldeira & Steven J. Davis, 2021. "Geophysical constraints on the reliability of solar and wind power worldwide," Nature Communications, Nature, vol. 12(1), pages 1-12, December.
    26. AlNemer, Hashem A. & Hkiri, Besma & Tissaoui, Kais, 2023. "Dynamic impact of renewable and non-renewable energy consumption on CO2 emission and economic growth in Saudi Arabia: Fresh evidence from wavelet coherence analysis," Renewable Energy, Elsevier, vol. 209(C), pages 340-356.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Chou, Jui-Sheng & Krang, Ja & Limantono, Dani Nugraha, 2026. "Regional solar generation prediction with metaheuristically optimized artificial intelligence for sustainable grid management," Renewable Energy, Elsevier, vol. 257(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Rick Hardcopf & Kevin Linderman & Rachna Shah, 2024. "Do Firms Follow through on Environmental Commitments? An Empirical Examination," Sustainability, MDPI, vol. 16(17), pages 1-29, August.
    2. Rassier, Dylan G. & Earnhart, Dietrich, 2015. "Effects of environmental regulation on actual and expected profitability," Ecological Economics, Elsevier, vol. 112(C), pages 129-140.
    3. Elisa Alt & Emilio Díez-de-Castro & Francisco Lloréns-Montes, 2015. "Linking Employee Stakeholders to Environmental Performance: The Role of Proactive Environmental Strategies and Shared Vision," Journal of Business Ethics, Springer, vol. 128(1), pages 167-181, April.
    4. Marcos Carchano & Inmaculada Carrasco & Angela González, 2025. "Examining environmental proactivity in the Spanish wine industry: The moderating role of size," Agribusiness, John Wiley & Sons, Ltd., vol. 41(1), pages 127-157, January.
    5. Berrone, Pascual & Gelabert, Liliana & Fosfuri, Andrea & Gomez-Mejia, Luis R., 2007. "Can institutional forces create competitive advantage? An empirical examination of environmental innovation," IESE Research Papers D/723, IESE Business School.
    6. Lai, Kee-hung & Wong, Christina W.Y., 2012. "Green logistics management and performance: Some empirical evidence from Chinese manufacturing exporters," Omega, Elsevier, vol. 40(3), pages 267-282.
    7. Wayne Fu & Che‐Ping (Jack) Su, 2021. "The implications of efficiency differences in sustainable development: An empirical study in the consumer product industry," Business Strategy and the Environment, Wiley Blackwell, vol. 30(5), pages 2489-2504, July.
    8. repec:ers:journl:v:xxiv:y:2021:i:4:p:180-198 is not listed on IDEAS
    9. Aneta Wysokinska-Senkus & Barbara Hadryjanska & Piotr Senkus, 2021. "The State and Prospects for the Development of a Systemic Approach to Manage Environmental Resources in the Context of Ecological Safety," European Research Studies Journal, European Research Studies Journal, vol. 0(4 - Part ), pages 180-198.
    10. Zach Raff & Dietrich Earnhart, 2020. "The effect of environmental enforcement on labor: environmental workers and production workers," Journal of Regulatory Economics, Springer, vol. 57(2), pages 118-133, April.
    11. Wang, Feng & Debel, Mulatu Tilahun, 2025. "Investing in the relationship between industrial output, renewable energy, and sustainable economic development in Ethiopia: Does clean energy matter?," Energy Policy, Elsevier, vol. 207(C).
    12. Serdal Ozusaglam & Stéphane Robin & Chee Yew Wong, 2018. "Early and late adopters of ISO 14001-type standards: revisiting the role of firm characteristics and capabilities," The Journal of Technology Transfer, Springer, vol. 43(5), pages 1318-1345, October.
    13. Franco Rubino & Francesco Napoli, 2020. "What Impact Does Corporate Governance Have on Corporate Environmental Performances? An Empirical Study of Italian Listed Firms," Sustainability, MDPI, vol. 12(14), pages 1-21, July.
    14. Sharma, Revti Raman, 2025. "Environmental strategic role orientations of multinational enterprises: Different shades of green," Journal of International Management, Elsevier, vol. 31(5).
    15. Catherine Liston-Heyes & Diego Alfonso Vazquez Brust, 2016. "Environmental Protection in Environmentally Reactive Firms: Lessons from Corporate Argentina," Journal of Business Ethics, Springer, vol. 135(2), pages 361-379, May.
    16. Chien-Ming Chen, 2017. "Supply Chain Strategies and Carbon Intensity: The Roles of Process Leanness, Diversification Strategy, and Outsourcing," Journal of Business Ethics, Springer, vol. 143(3), pages 603-620, July.
    17. Nazim Hussain, 2015. "Impact of Sustainability Performance on Financial Performance: An Empirical Study of Global Fortune (N100) Firms," Working Papers 1, Venice School of Management - Department of Management, Università Ca' Foscari Venezia.
    18. Jijun Gao & Pratima Bansal, 2013. "Instrumental and Integrative Logics in Business Sustainability," Journal of Business Ethics, Springer, vol. 112(2), pages 241-255, January.
    19. X. H. Meng & S. X. Zeng & X. M. Xie & G. Y. Qi, 2016. "The impact of product market competition on corporate environmental responsibility," Asia Pacific Journal of Management, Springer, vol. 33(1), pages 267-291, March.
    20. Yang Wang & Yifei Zhang & Xiao Chang & Wei Kang, 2024. "CEO tenure and environmental fraud for listed family firms," Business Strategy and the Environment, Wiley Blackwell, vol. 33(3), pages 1887-1905, March.
    21. Leal, Ana R. & Husted, Bryan W. & Flores Segovia, Miguel Alejandro, 2021. "Environmental performance spillovers among Mexican industrial facilities: The case of greenhouse gases," Journal of Business Research, Elsevier, vol. 135(C), pages 711-720.

    More about this item

    Keywords

    ;
    ;
    ;
    ;

    JEL classification:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:renene:v:252:y:2025:i:c:s0960148125010341. See general information about how to correct material in RePEc.

    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 CitEc recognized a bibliographic reference but did not link an item in RePEc 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.journals.elsevier.com/renewable-energy .

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

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.