Renewable energy technology transition among small-and-medium scale firms in Ghana

Abstract

Renewable energy transition has become popular in the wake of rapid climate change and energy volatility. National governments and global stakeholders have instituted several policy mechanisms to enhance cleaner energy transitions. However, extant literature has indicated the inadequacy of mere supportive policies in the transition process. Herein, we integrate intuitions from different academic traditions to develop a framework to investigate entrepreneurs’ solar energy adoption in Ghana. Overall, two constructs from the innovation-diffusion model (relative advantage and observability), two from environmental psychology (personal and social norms), and a policy incentives factor constituted the research model. Cross sectional survey response from small-and-medium scale entrepreneurs (N = 320) was obtained. By employing the structural equation modelling technique, pro-environmental norms showed relatively stronger association with solar adoption. The integration of hypotheses from different research traditions offers higher insights than the value of each model tested independently. The findings can be useful to both researchers and policymakers towards the fight against climate change.