The impact of renewable energy technology innovation on energy poverty: Does climate risk matter?

Abstract

While the literature has explored various determinants of energy poverty (EP), there is scant knowledge about the linkage between renewable energy technology (RET) innovation and EP. Based on an evaluation index system of energy poverty, this research applies the method of moment quantile regression model to examine whether and how RET innovation affects EP. Using panel data from China's 30 provinces for the 2003–2019 period, the results first reveal that RET innovation does relieve EP. Second, both linear and nonlinear models confirm that climate risk exhibits both a moderating effect and threshold effect on the relationship between them. When the climate risk index is low, RET innovation is conducive to the alleviation of EP; otherwise, the opposite is true. Finally, this moderating effect shows obvious spatial heterogeneity that only exists in western China and is not significant in the central and eastern region. Our findings thus enrich the extant literature and provide insights into targeted energy poverty reduction and achieving sustainable energy development.