Do energy efficiency measures promote the use of renewable sources?

Abstract

This paper analyses the factors behind the deployment of renewable energy, focusing particularly on the effect of energy efficiency policies and measures. The impact of these factors is appraised within the context of several phases of the use of renewable sources. We therefore apply the quantile regression technique to a set of 21 European Countries in two time spans: from 1990 to 1998, and from 1999 to 2006. We control variables of policy, environment, socioeconomic characteristics, and electricity generation. For the second period, energy efficiency policies and measures concerning renewable sources effectively promote renewables, namely in the take-off phase. We shed light on the lobbying effect of traditional energy industries, showing that it depends both on the period under analysis, and on the kind of traditional energy source.