Examining the drivers of renewable energy consumption: Evidence from BRICS nations

Abstract

Against the backdrop of rising environmental concerns and an increase in awareness for renewable energy, the current paper explores the factors influencing renewable energy consumption by drawing a sample for BRICS nations from the period 1990 through 2015. To do so, we use dynamic common correlated effects, panel quantile regression methods and other robustness checks and find that environmental policy stringency index and human development index have significant and positive impact on renewable energy consumption. Other variables including carbon dioxide emission and gross fixed capital formation show statistically significant and negative link with renewable energy use. Our results emphasize upon stringency in existing environment policies and promoting renewable energy consumption.