Detecting a structure in the European energy transition policy instrument mix: What mix successfully drives the energy transition?

Abstract

European Union countries sharing the same goal of carbon reduction have created a complex array of different strategies, policies and instruments to provide a supportive framework for navigating and accelerating the energy transition. The paper assumes that different mixes of policy instruments influence the European Union's efforts to become a low-carbon economy. However, instead of examining a policy instrument mix in isolation at the country-level, this paper uses hierarchical cluster analysis to detect the extent of similarities and patterns across European countries, considering the types of policy instruments that target energy efficiency and renewable energy. Fuzzy-set qualitative comparative analysis is then applied to explore different combinations of specific policy instruments for each cluster in managing the energy transition. The application of hierarchical cluster analysis detected the existence of three country clusters, which makes the European policy landscape less complex and suitable for developing more effective energy transition policies. The application of fuzzy-set qualitative comparative analysis confirmed that there is no single instrument necessary to make the energy transition a success. On the contrary, only a configuration of specific policy instruments targeting both energy efficiency and renewable energy can promote sustained success in the energy transition.