Renewable Energy Business Research Articles

Machine learning-based clustering analysis of the banking green credit for the renewable energy industry

Credit policies for clean and renewable energy businesses play a crucial role in supporting carbon neutrality efforts to combat climate change. Clustering the credit capacity of these companies to prioritize lending is essential given the limited capital available. Support Vector Machine (SVM) and Artificial Neural Network (ANN) are two robust machine learning algorithms for addressing complex clustering problems. Additionally, hyperparameter selection within these models is effectively enhanced through the support of a robust heuristic optimization algorithm, Particle Swarm Optimization (PSO). To leverage the strength of these advanced machine learning techniques, this paper aims to develop SVM and ANN models, optimized with the PSO, for the clustering problem of green credit capacity in the renewable energy industry. The results show low Mean Square Error (MSE) values for both models, indicating high clustering accuracy. The credit capabilities of wind energy, clean fuel, and biomass pellet companies are illustrated in quadrant charts, providing stakeholders with a clear view to adjust their credit strategies. This helps ensure the efficient operation of banking green credit policies.

Evaluating the Role of GCC Nations in Sustainable Energy Investment Using an Enhanced Low-Carbon Economy Index

In the past decade, environmental, social and country governance (ESG) aspects as well as economy have become key factors for decisions in the investment and future development of renewable energy industry. The abundancy of renewable resources and widely accessible technology are the key drivers for the renewable energy business in the GCC. However, lack of effective policies and regulations, along with subsidized fuel prices, are slowing down the implementation of renewable resource options. This study will illustrate the potential, the challenges, and the barriers of implementing renewable energy technologies in the GCC region. In addition, this research empirically examines the impact of renewable energy sources and other factors in the GCC countries. This study can be used as a screening tool, decision making tool, benchmarking tool and guidance of sustainable development.

Re-ISSUES—Renewable Energy-Linked Interoperable Smart and Sustainable Urban Environmental Systems

Smart cities will be smart if they improve their citizens’ quality of life; to do so, it is essential to listen to citizens and collaborate with service and technological companies. For that, digitalization seems essential. Environmental management systems are complex and expensive. If their lifecycle costs are reduced, these systems would be more sustainable. This can be achieved through citizen collaboration (CS), the use of low-cost Internet of Things (IoT) devices, and collaboration with local renewable energy businesses. All this leads to a real interoperability challenge. Systems engineering offers a valid framework for managing information and knowledge for environmental systems. It offers a range of guides for processes that can improve the quality of the related information and the reusability of knowledge throughout the lifecycles of these systems. After quantifying the opportunity and the cost for a motivational case of atmospheric neighborhood odor impact and introducing trends and opportunities in energy management, the authors propose a model for renewable energy-linked interoperable smart and sustainable urban environmental systems (re-ISSUES). The model’s ontology is used to discover research trends and potential for improvements to the model itself, enabling semantic interoperability and knowledge reuse.

Renewable Energy Consumption Determinants: Do They Differ between Oil-Exporting Countries and Oil-Importing Ones?

This paper delves into the critical determinants of renewable energy consumption, focusing on the contrasting roles of oil imports and exports. It aims to bridge the knowledge gap by comparing these determinants across both oil-importing and oil-exporting nations, offering a comprehensive and nuanced perspective to inform policy recommendations. Using annual data from 1990 to 2018 sourced from the World Bank database, the study employs panel multiple regression analysis and adopts a fixed effects model to explore two main questions: What drives the use of renewable energy sources? How does a country’s oil importer or exporter status affect these factors? The findings reveal a significant but inverse relationship between oil rents and renewable energy consumption (REC) for both types of countries. Additionally, there is a notable negative correlation between GDP growth and REC for both oil-exporting and oil-importing countries. Interestingly, the crude oil average closing price and inflation show an insignificant impact on REC in both contexts. The study also highlights that net energy imports significantly affect REC, with a much stronger inverse relationship in oil-importing countries compared with oil-exporting ones. For oil-importing countries, diversifying energy sources is a crucial investment. Governments should prioritize research and development in renewable energy to spur technological advancements, enhancing efficiency and affordability. Economic growth-promoting policies, such as tax incentives and subsidies for renewable energy businesses, are vital for encouraging sustainable practices. Consistent, long-term policies are essential for providing investor confidence and supporting the transition to renewable energy. For oil-exporting countries, similar strategies are recommended. Additionally, allocating a portion of oil revenues to renewable energy infrastructure and funding research and development in renewable technologies through local universities and startups are crucial steps. This dual approach will not only enhance energy diversification but also foster innovation and sustainability in the energy sector.

The Role of Latent Information

The pressure of climate change and policy guidance has attracted plenty of enterprises to expand their renewable energy business, presenting an opportunity to investigate whether latent information can contribute to improved performance in their transformation. This context also offers a broader application scenario for studying information management theory. Therefore, this paper explores the above topic using business data from listed Chinese renewable energy companies between 2003 and 2021, focusing on three aspects of latent information related to diversification. The findings reveal that: 1) Market power information plays a fundamental role in explaining the performance enhancement from renewable energy business expansion, and non-dedicated resource information is a significant factor for understanding the enhancement, whereas agency problems have no significant effect. 2) The latent information exhibits notable heterogeneity concerning the expansion of renewable energy business among enterprises with different transformation backgrounds.

Research on Innovation and Reuse of Renewable Energy Enterprises by Digital Government from Perspective of Sustainable Development

This paper explores the impact of digital government on the innovation and reuse of renewable energy firms in depth from a sustainability perspective. The survey found that digital government support for renewable energy businesses has grown at an average annual rate of 30% over the past five years. In the past three years, digital government investment in technological innovation of renewable energy enterprises has increased by 70%, enabling renewable energy enterprises to make breakthroughs in technology research and development. The digital government has implemented a series of policies and measures conducive to the development of renewable energy enterprises, such as tax incentives, subsidies, and green finance, which have provided more development opportunities for renewable energy enterprises and opportunities for innovation and reuse. In the future, digital government will continue to play a role in the field of renewable energy and contribute to the achievement of the SDGS. This study reveals the significant promotion effect of digital government support on the innovation and reuse of renewable energy enterprises, and further promotes the development of sustainable energy. These findings not only provide access to policy makers with valuable information on how to promote the green energy transition through digital means, but also provide innovative directions for renewable energy companies, and provide researchers with a perspective to further explore the relationship between digital government and sustainable development.

Financing Management and Social Information

China's robust renewable energy sector expansion has spurred academic inquiry into the underlying driving forces. Recent studies have highlighted the correlation between the growth of renewable energy and project financing and the pivotal role of information management in financing. Based on this, we use business data from Chinese listed companies from 2007 to 2021 to investigate the relationship between renewable energy business development and financing. Furthermore, we introduce social and enterprise information to explore their impact on this relationship. Our findings reveal that: (1) Expansion of renewable energy businesses enhances fund availability mainly through endogenous financing. (2) “Anti-dumping and countervailing” (“Double-anti”) investigations significantly hinder financing for expanding renewable energy businesses, while industrial policies mitigate these effects. (3) Complex international backgrounds combined with domestic market-government interactions promote renewable energy enterprises to apply information management technology for financing.

Assessing the Key Factors Influencing Renewable Energy Generation in Mozambique: A Structural Equation Modelling Analysis

Structural equation modelling analysis was performed to identify various variables that influence the growth of Renewable Energy Production (REG) in Mozambique. The study revealed that the government's policies regarding renewable energy generation in Mozambique are of moderate quality. However, by implementing skillfully crafted policies and plans, there is a possibility for additional progress and growth. The progress of renewable energy initiatives in Mozambique is significantly influenced by the investment climate for such projects. Although the government has established a favourable environment for investors, it primarily caters to foreign investors rather than local and private investors. Environmental considerations significantly influence the growth of renewable energy generation (REG) in Mozambique. This study highlighted the need to consider environmental issues throughout the planning and execution of REG projects. The lack of technical and managerial proficiency in a particular area can be resolved by importing foreign specialists, either on a temporary or permanent basis. Concurrent with the global goal of shifting to clean energy-producing technologies, this study attempts to identify and assess the variables that influence the growth and development of renewable energy businesses in Mozambique. Setting priorities for energy efficiency can uncover several economic prospects, fostering the growth of a market for innovative solutions and facilitating the construction of specialized firms in this field. Consequently, this will entice investment from both domestic business owners and investors from other countries.

Development of A Responsible Investment for Low Carbon Economy: Renewable Energy Responsible Investment Index and Conceptual Framework for MENA Region

Responding to climate change creates particular challenges for Middle East and North Africa (MENA) countries in terms of oil output and water scarcity, but also gives potential for new paths to sustainability. The low-carbon energy transition poses critical concerns for MENA oil and gas producers, particularly about the impact on their reliance on hydrocarbon earnings. Without adjustment, this would exacerbate macroeconomic imbalances and possibly jeopardise pre-existing social contracts. Politicians are attempting to promote a variety of renewable energy sources and implementation tactics in order to mitigate the adverse consequences of climate change. As a result, the development of an index capable of effectively measuring and benchmarking the overall sustainability and economics of a country becomes necessary. In reality, the index should be capable of reflecting a near-complete assessment of renewable energy's current and future conditions. Simultaneously, it should be capable of revealing critical ESG and economic aspects of the renewable energy business. The proposal aims to create a composite index, dubbed the Renewable Energy Responsible Investment Index (RERII). It is comprised of 19 nations and 22 distinct metrics. From 2010 to 2019, a trend in RERII is computed. The RERII suggested in this work may be utilised as a screening tool, a decision-making tool, a benchmarking tool, and a tool for guiding sustainable development.

Money grows on green energy: Financing a sustainable power future

This research aims to estimate the relationship between green bond financing and the OECD nations' performance on the renewable energy indices. The study attempted to quantify the relationship between concepts by analyzing data from OECD countries for 2011–2019. Padroni unit root test, FMOLS, and DOLS method provide evidence for the study's results and convey broad policy implications on this important topic. The robustness is consequently examined through a long-term sensitivity analysis employing the FMOLS, and green bond financing nexus concerning the renewable energy indices is shown for comparison. The study showed that financing of green bonds had a predictable impact on renewable energy indices variables. Green bonds' unequal implications for renewable energy measures across the study period bear out this interpretation. The study's findings call for full suppot from government institutions, energy agencies, and departments to optimize energy efficiency, as green bond financing played a 32% role in OECD nation's renewable energy index constructions and increased per unit improvement in renewable energy sources by 9.6%. The research offers many policy recommendations for improving energy efficiency through renewable energy generation. Recent studies extend and contribute to the existing body of literature, although the scientific discussion on this subject matter still needs to be more detailed and understudied. Financial unpredictability may be transformed into a tremendous opportunity if the renewable energy business is appropriately regulated.

Factor models and investment strategies in the renewable energy sector

The growing concern about the natural environment is getting relevance not only on institutional investors but also on individual ones. However, these retail investors face some difficulties, such as the fact that they are often not able to monitor many assets but they are also unable to use most of the methodology proposed in the empirical evidence because it is not feasible for them. We avoid these problems by proposing an investment strategy based on the different values of the alpha and beta coefficients from the Fama-French and Carhart models. We use Exchange Traded Funds (ETFs) which track companies involved on clean and renewable energy businesses and it is provided evidence that in most of the cases the best investment strategy is to follow the positive and significant values of the alphas from the estimated models and to hold the portfolio for a short period of time. Additionally, we also report that the signals from the coefficients associated to the value factor (HML) must not be undervalued. Finally, we demonstrate that wind, clean energy and solar energy sectors are the most important renewable energies for investors. These findings reinforce the importance of investing on renewable companies using ETFs.

Advancing the Sustainability of Risk Assessments within the Renewable Energy Sector—Review of Published Risk Assessments

Repeated regulatory incident investigations demonstrate the insufficiency of company risk assessments and the vulnerabilities that this exposes to the business and its duty holders who are, ultimately, culpable for the subsequent legislative breaches. While the epistemology and taxonomy of the traditional risk assessment are well established, there is a paucity of information that allows the verification and validation of the risk assessment content. Using evidence-based methodologies such as Content Analysis, Thematic Analysis, and validating the outputs using a survey, it became possible to “reverse engineer” the risk assessment content. This analysis of the published risk assessments, kindly supplied by six different Renewable Energy businesses, established that deterministic and behavioristic risk management methodologies had been adopted. These methodologies permitted and guided the use of vague and imprecise terminology and phraseology, numerical inconsistencies resulting in data ossification, and flawed assumptions. This analysis enables the duty holders to make informed and rational judgements about the adequacy of the risk assessment documents, and the process that permitted and guided their creation.

Sustainable Supply Chain Practices in the Oil and Gas Industry: A Case Study

Sustainability reporting within the oil and gas (O&G) industry started back in the 1990s and has improved longitudinally since then. However, when reporting their sustainability-related practices and initiatives, O&G companies seldomly mention the term green supply chain management (GSCM). The study aims to investigate the development of GSCM practices in the O&G sector and to categorize how they are integrated with the sustainability practices reported by the industry. A multi-phase research approach was adopted consisting of a comprehensive literature review, followed by a single case study employed in an international oil and gas company. Primary data were collected by conducting 12 semi-structured interviews with senior members of an O&G company. Thematic analysis was employed to analyze the primary data from the interviews and to synthesize this work with the secondary data in order to answer the research question. The research identifies that the adoption of green purchasing practices is still in its infancy, whereas green production practices are more advanced compared to the current academic literature on the O&G industry. Additionally, new insights are obtained on how O&G companies are diversifying their business models and investing in the renewable energy business. The results of this work will enable O&G businesses to understand the latest developments in GSCM practices and how they are impacting the O&G sector. Practitioners will also be able to benchmark their current GSCM practices with the research findings and develop and formulate strategies to maximize the implementation of GSCM practices.

The Clean Development Mechanism and Corporate Financial Performance: Empirical Evidence from India

An important factor supporting the social economy's sustainable growth is the industry's development in renewable energy. India has a sophisticated system that combines finance, resources, technology, and management to grow, expand, and modernize the renewable energy industry. Renewable energy finance is a new area of public policy that will significantly affect international investors and calls for innovation and study. Many academics held the opinion that issues with renewable energy were limited to science and engineering until recently. But rather than relying on science and technology, the future of renewable energy increasingly lies on financial accessibility. The rapidly growing renewable energy business in India presents a great opportunity for financial gain. The current paper's goal is to assess the financial performance of India's renewable energy sector using a variety of financial metrics and various ratios. The different industrial stakeholders are impacted by the financial performance of every industry. Data from the corresponding firms' annual reports was used to analyze the financial performance of renewable energy companies, and the study's findings were determined using a t-test. According to the study's findings, India's renewable energy companies are still in their infancy and are working hard to keep their steady financial positions. Keywords: Financial Performance, Renewable Energy, Financial Ratio, India, Global Environment.

Development of Renewable Energy Businesses within China’s Green Industry Framework

The main goal of the research is to develop a set of guidelines for the development of business within the framework of the green industry, in compliance with all current environmental regulations, as applied to the realities of the current economic situation in China. The methodology basis is a combination of system analysis of the key principles of business development within the framework of environmental strategy in China with a comprehensive analysis of green industry concept as a factor limiting the activities of enterprises to avoid environmental pollution. The results obtained in the research indicate the presence of significant results in the interaction of government and business in the framework of mutually beneficial collaboration for the growth of the green industry. Chinese business structures invest in the development of “green” industrial and manufacturing technologies while ensuring the necessary level of environmental protection.

The Role of Culture in Behavioral Aspects of Green Accounting to Promote Renewable Energy Business

The cultural element has had a significant impact on implementation of green accounting and the growth of the green business movement. Businesses need to be aware of how culture affects them and should get ready for the difficulties these cultural components will encounter. This is due to the diverse cultures found in each location and nation. Therefore, culture is one of the aspects that will impact behavior and the sustainability of the firm when running a business and applying green accounting in business. The research method used is descriptive qualitative method with literature review research that emphasizes in depth understanding of the content of behavioral aspects in green accounting implementation. Qualitative research method explores data using observation methods and library research, this research involves looking through books, documents, scientific publications, research journals, and other materials connected to the research title. The study is aim to find the role of culture affect behavior aspects in order to implement of green accounting to boost renewable energy business in Indonesia. Technology and investment are not only two factors contributing to the slow growth of renewable energy; human behavior that affected by social culture should also be considered in order to shift behaviors to promote activities.

The Business Model for Access to Affordable RE on Economic, Social, and Environmental Value: A review

Renewable energy has the potential to power the global economy and effective business models will significantly aid this goal, being among the most critical factors in spurring expansion in the energy industry. This paper reviews articles that discuss business models in the renewable energy sector. Longterm economic, social, and ecological stability is concerned. Previous studies have neglected the environmental sustainability of renewable energy business models, focusing on their technical, social, and economic aspects, primarily for energy access. The business models for solar home and pico systems relied heavily on lowering costs through creative payment plans for customers to be commercially viable. The demand for mini-grids requires end users to launch businesses that can leverage electrification initiatives to be commercially viable. The success of a mini-grid depends on the average consumption and revenue per user. Affordability, unmet energy needs, low electricity demand, lack of financing, unfamiliar business models, and immature markets have impeded energy access in Indonesia. Our analysis revealed that future studies in this field must include environmental sustainability to provide a complete picture for decision-makers. Renewable energy needs in Indonesia can be achieved through the sustainability domain, policy makers can consult this evidence set.

Eligibility for the Funding and Development from the German Federal Organizations in the Energy and Environmental Sector

The German government has set targets to increase renewable energy usage and decrease greenhouse gas emissions. They aim to raise the proportion of renewable energy in total energy consumption from 10.6% in 2010 to 17.1% by 2020. In 2022, the industrial sector accounted for over 44% of renewable energy usage, with a cost of around 17 billion euros. By 2030, the government expects renewable sources to contribute at least 65% of the national energy consumption. To encourage the growth of renewable energy, the government provides subsidies and grants through programs like KfW and the Federal Ministry BAFA. This thesis focuses on four research questions: the effectiveness of subsidies, optimizing technology support benefits, challenges faced by renewable energy businesses in accessing government support, and evaluating the impact of grant funding on the development of energy-efficient technology. Considering the specific needs of each company is crucial for making accurate investments.

The performance of specialized and oriented diversified firms: A comparative analysis from the targeted expansion of renewable energy business of listed companies

With the rise of high-tech industry and the continuous change of business scope of enterprises, it is vital to study the different performance between enterprises with professional development and enterprises with business orientation expansion across the industrial chain, and this process is related to the industrial development background of the region where the enterprises are located. The development of renewable energy industry provides an excellent opportunity for this research. By identifying the business data of Chinese listed renewable energy companies from 2003 to 2021, this paper explores the performance of their renewable energy business expansion, and further uses the US sample for comparative analysis. First, the empirical results show that the expansion of renewable energy business contributes to the outstanding performance of firms. Second, compared with American enterprises, Chinese enterprises have achieved greater relative performance improvement in expanding renewable energy business, which is mainly due to the advantages of directional transformation of Chinese manufacturing enterprises. Finally, China's policy environment is conducive to professional enterprises to achieve more outstanding performance when expanding renewable energy business. This study helps to understand the differences between specialized development companies and directional diversified business expansion companies, and has certain implications for the development of the renewable energy industry and industrial policies.

Maintaining the Reliability of Production Facilities in Operation Management of Upstream Oil and Gas Industries: Case Study at GNK Gas Compression Station PT. PEP ZONA 4

PT PEP as an upstream energy company has the vision to become a world-class energy company. It has a mission to run oil, gas, and new and renewable energy businesses in an integrated manner, based on strong commercial principles. GNK Gas Compression Station is one of the production facilities incorporated in the work area of PT PEP where the station receives gas from GNK 3 Block Station, GNK 2 Block Station, and GNK 1 Block Station.GNK Gas Compression Station consists of several pieces of production equipment which is aging facilities with a minimalist design that adapts to the needs of the field at the time of initial construction. Production transportation from several Gathering Stations to GNK uses a trunkline pipe that is not yet equipped with a Pigging Facility. The problem that occurs is that the compressor unit that is operated suddenly shut down. In the operation report, it was found that several times liquid had entered the gas compressor unit which caused an unplanned shutdown. The gas compressor disruption incident resulted in the potential for lost production (LPO) which affected the reduced reliability value of production facilities targeted in the Key Performance Index (KPI) Manager of 97.59%, where the monthly achievement was still below the target in 2022. Given the importance of a concise structured process to effectively achieve the research objectives, the researcher will follow the conceptual framework that has been built. Quantitative data is obtained from existing data within the company, while qualitative data is obtained from brainstorming. After collecting all the necessary information and data, further analysis will be carried out according to the conceptual framework. To ensure a valid and reliable recommended operations management strategy that addresses the research objectives and objectives, there will be a technical analysis of mathematical model studies using several proven tools for business strategy.