Does political inequality undermine the environmental benefit of renewable energy?

Abstract

This study investigates the intricate link between renewable energy, political inequality, and environmental degradation. Utilizing a comprehensive dataset spanning 157 nations from 2000 to 2017, the research demonstrates that while renewable energy generally curtails ecological footprint, this positive impact diminishes in the face of pronounced political inequality. In contexts with high political inequality, the dynamics influenced by political inequality can hinder the full realization of renewable energy's positive environmental impacts. Further analysis reveals that the moderating effect of political inequality is more evident in affluent nations compared to those with lower incomes. By integrating the often-overlooked dimension of political inequality, this research addresses a significant gap in literature, emphasizing that the interplay of political dynamics plays an important role in determining the environmental outcomes of renewable energy.