Assessment of Renewable Energy Policy Actors Within the Framework of Public Choice Theory

Year 2023, , 2199 - 2218, 18.09.2023

Pelin Özdemir

https://doi.org/10.25295/fsecon.1295166

Abstract

It is considered that renewable energy might be able to create a range of solutions for sustainable development, reducing carbon emissions and therefore preventing climate change, providing energy security, and avoiding price fluctuations in the energy sector. For these counting reasons, renewable energy has had an ascending trend for the last 20 years and has become a significant policy agenda at national, international, and supranational institutions around the world. According to their administrative capacities, many of the countries made efforts to create policies more or less in order to orient to renewable energy production. In this context, several goals are set to reduce carbon emissions, and green energy and green transformation are commenced to encourage. Notwithstanding these policy priorities and investments, the portion of renewable energy in world total energy production has limited progress. Besides the institutional, technological, economic, and geographical possibilities, developments and tendencies around the world have an influence on this progress positively or negatively. In this study, the impact of public choices on renewable energy policies is explained through actor behaviors who are seeking to maximize their interests in public choice theory and its effect on renewable energy production is evaluated. Consequently, despite actor behaviors who are acting for their self-motives during the decision-making process, the anticipated growth rate for renewable energy cannot be reached.

Keywords

Public policy, renewable energy, public choice theory

Yenilenebilir Enerji Politikası Aktörlerinin Kamu Tercihi Teorisi Çerçevesinde Değerlendirilmesi

Abstract

Yenilenebilir enerji politikalarının; sürdürülebilir kalkınmadan, karbon emisyonlarının azaltılmasına ve bu sayede iklim değişikliğinin önlenmesine, enerji güvenliğinden, enerji sektöründe ortaya çıkan dalgalanmaların önüne geçilmesine kadar pek çok çeşitli alandaki sorunlara çözüm olacağı düşünülmektedir. Anılan nedenlerle dünya genelinde son 20 yılda yenilenebilir enerji konusu yükselen bir eğilim izlemekte hem ülkeler hem uluslararası ve ulusüstü kuruluşlar nezdinde önemli bir kamu politikası gündemini oluşturmaktadır. Birçok ülke, yenilenebilir enerji üretimine yönelmek amacıyla bu alandaki yönetsel kapasitelerine göre az ya da çok miktarda politika üretme çabasına girmiştir. Bu kapsamda karbon emisyonunu azaltmaya yönelik olarak birçok hedef konulmuş ve yeşil enerji ve yeşil dönüşüm teşvik edilmeye başlanmıştır. Tüm bu politika önceliklerine ve yatırımlara rağmen dünyada toplam enerji üretimi içinde yenilenebilir enerji üretiminin payı sınırlı bir şekilde artmaktadır. Ülkelerin kurumsal, teknolojik, ekonomik ve coğrafi imkânlarının yanında dünya genelinde ortaya çıkan gelişme ve eğilimler yenilenebilir enerji üretim kapasitesine ve toplam enerji üretimi içinde yenilenebilir enerjinin payına olumlu veya olumsuz etki etmektedir. Bu çalışmada kamu tercihlerinin yenilenebilir enerji politikalarını nasıl etkilediği kamu tercihi teorisindeki aktör davranışları üzerinden açıklanmış ve yenilenebilir enerji üretim düzeyine etkisi değerlendirilmiştir. Sonuç olarak; karar alma sürecinde kişisel saikler ile hareket eden aktör davranışları nedeniyle yenilenebilir enerji için öngörülen artış hızına ulaşılamamaktadır.

Keywords

Kamu politikaları, yenilenebilir enerji, kamu tercihleri teorisi

References

• Akarca, A. T. & Long, T. V. (1979). Energy and Employment: A Time Series Analysis of The Causal Relationship. Resources and Energy, 2, 151-162.
• Apergis, N. & Payne, J. E. (2010). Renewable Energy Consumption and Economic Growth: Evidence from a Panel of OECD countries. Energy Policy, 38, 656-660.
• Apergis, N. & Payne, J. E. (2011). A Dynamic Panel Study of Economic Development and The Electricity Consumption-Growth Nexus. Energy Economics, 33(5), 770-781.
• Arrow, K. J. (1963). Social Choice and Individual Values. New York/London/Sydney: John Wil.y & Som, Inc.,.
• Baltagi, H. (2005). Econometric Analysis for Panel Data İngiltere. (Üçüncü Baskı). İngiltere: John Wiley & Sons.
• Beesley , M. E. & Littlechild, S. C. (1989). The Regulation of Privatized Monopolies in the United Kingdom. The RAND Journal of Economics, 454-472.
• Bhattacharya, M., Churchill, S. A. & Paramati, S. R. (2017). The Dynamic Impact of Renewable Energy and Institutions on Economic Output and CO2 Emissions Across Regions. Renewable Energy, 157-167.
• Bilgili, F, & Öztürk, İ. (2015). Biomass Energy and Economic Growth Nexus in G7 Countries: Evidence from Dynamic Panel Data. Renewable and Sustainable Energy Reviews, 49, 132–138.
• Bilgili, F., Koçak, E. & Bulut, U. (2016). The Dynamic Impact of Renewable Energy Consumption on CO2 Emissions: A Revisited Environmental Kuznets Curve Approach. Renewable and Sustainable Energy Reviews, 54, 838-845.
• Bird, L., Bolinger, M., Gagliano, T., Wiser, R., Brown, M, & Parsons, B. (2005). Policies and Market Factors Driving Wind Power Development in the United States. Energy Policy, 33, 1397–407.
• Black, D. (1987). The Theory of Committees and Elections. Boston/Dordecht/Lancaster : Kluver Academic Publishers.
• BP Energy Outlook. (2019). Statistical Review of World Energy. https://www.bp.com/en/global/corporate/energy-economics/statistical-review-of-world-energy/downloads.html
• Brown, J. P., Pender, J., Wiser, R., Lant, E. & Hoen, B. (2012). Ex Post Analysis of Economic Impacts from Wind Power Development in U.S. Counties. Energy Economics, 1743-1754.
• Buchanan, J. M. (1949). The Pure Theory of Government Finance: A Suggested Approach. Journal of Political Economy, 57(6), 496-505.
• Buchanan, J. M. (1984). Politics without Romance: A Skecth of Positive Public Choice Theory and Its Normative Implications. J. M. Buchanan & R. D. Tollison (Ed.), The Theory of Public Choice II (11-22). Michigan: The University of Michigan Press.
• Buchanan, J. M. (1993). Public Choice After Socialism. Public Choice, 77(1), 67-74.
• Buchanan, J. M. (2003). End Note. Il Pensiero Economico Italiano, 283-284.
• Buchanan, J. M. & Tullock, G. (1962). The Calculus of Consent:Logical Foundations of Constitutional Democracy. Indiana: The Online Library of Liberty.
• Bugaje, I. M. (2006). Renewable Energy for Sustainable Development in Africa: A Review. Renewable and Sustainable Energy Reviews, 10(6), 603-612.
• CNBC. (2022). The situation is serious’: Germany plans to fire up coal plants as Russia throttles gas supplies. https://www.cnbc.com/2022/06/20/ukraine-war-germany-turns-to-coal-as-russia-throttles-gas-supplies.html 17.04.2023 adresinden alındı
• Cross, F. B. (1999). The Judiciary and Public Choice. Hastings Law Journal, 355-382.
• David, P. A. (1985). Clio and the Economics of QWERTY. The American Economic Review, Vol. 75, No. 2, Papers and Proceedings of the Ninety-Seventh Annual Meeting of the American Economic Association, 332-337.
• De Viti de Marco, A. (1888). Il Carattere Teorico Dell'Economia Finanziaria. Loreto Pasqualucci.
• Denholm, P., Hand, M., Jackson, M. & Ong, S. (2009). Land-Use Requirements of Modern Wind Power Plants in the United States. National Renewable Energy Laboratory, NREL/TP-6A2-45834.
• Doğan, E. (2015). The Relationship Between Economic Growth and Electricity Consumption from Renewable and Non-Renewable Sources: A Study of Turkey. Renewable and Sustainable Energy Reviews, 52, 534-546.
• Downs, A. (1957). An Economic Theory of Democracy. New York: Harper Row Publishers.
• Empoli, D. d. (1993). Public Choice in Italy. Public Choice, 75-83.
• Energy Information Administration. (2013). Annual Energy Ooutlook 2013 with Projections to 2040. Washington D.C. (EIA).
• Engelen, B. (2007). Thinking Things Through: The Value and Limitations of James Buchanan's Public Choice Theory. Review of Political Economy, 165-179.
• Fang, Y. (2011). Economic Welfare Impacts from Renewable Energy Consumption: The China Experience. Renewable and Sustainable Energy Reviews, 15(9), 5120-5128.
• Gawel, E., Strunz, S. & Lehhman, P. (2014). A Public Choice View on the Climate and Energy Policy Mix in the EU-How Do The Emissions Trading Scheme and Support for Renewable Energies Interact?. Energy Policy, 175-182.
• Ghosh, S. (2002). Electricity Consumption and Economic Growth in India. Energy Policy, 30, 125-129.
• Gottschall, K., Kittel, B., Briken, K., Heuer, J.-O., Hils, S., Streb, S. & Tepe, M. (2015). Energy Regulatory Agencies. K. Gottschall, B. Kittel, K. Briken, J.-O. Heuer, S. Hils, S. Streb & M. Tepe (Ed.), Public Sector Employment Regimes: Transformations of the State as an Employer (167-196). Palgrave Macmillan London.
• Hughes, T. P. (1994). Technological Momentum. L. Marx & R. M. Smith (Ed.), Does Technology Drive History? The Dilemma of Technological Determinism (1001-113). Cambridge: MIT Press.
• Hull, R. (1997). "Knowledge Management Practices" and Path Dependency in Innovation. Manchester: Centre for Research on Innovation and Competition, The University of Manchester.
• IEA. (2020). Energy Statistics Data Browser. https://www.iea.org/: https://www.iea.org/data-and-statistics/data-tools/energy-statistics-data-browser?country=WORLD&fuel=Energy%20supply&indicator=TESbySource E.T:17.04.2023 adresinden alındı
• IEA. (2021). How much will renewable energy benefit from global stimulus packages?. https://www.iea.org/articles/how-much-will-renewable-energy-benefit-from-global-stimulus-packages 17.04.2023 adresinden alındı
• Inglesi-Lotz, R. (2016). The Impact of Renewable Energy Consumption to Economic Growth: A Panel Data Application. Energy Economics, 53, 58-63.
• IRENA. (2016). Renewable Energy Benefits: Measuring the Economics. Abu Dhabi: International Renewable Energy Agency.
• IRENA. (2019a). Global Energy Transformation: A Roadmap to 2050 (2019 Edition). Abu Dhabi: International Renewable Energy Agency.
• IRENA. (2019b). Renewable Energy and Jobs: Annual Review 2019. Abu Dhabi: International Renewable Energy Agency.
• Kay, A. (2005). A Critique of the Use of Path Dependency in Policy Studies. Public Administration, 553-571. Kirchgassner, G. & Schneider, F. (2003). On the Political Economy of Environmental Policy. Public Choice, 369-396.
• Kirmanoğlu, H. (2009). Kamu Ekonomisi Analizi. İstanbul: Beta Basım Yayın.
• Koç, Ü. (2020a). Sektörel Enerji Tüketimi ve Ekonomik Büyüme. Üçüncü Sektör Sosyal Ekonomi, 55(1), 508-521.
• Koç, Ü. (2020b). The Relationship Between Biomass and GDP: A Panel Data Analysis. Ş. Apaydın & A. Güngör (Ed.), New Perspectives and Studies in Economics and Administrative Sciences (21-34). Ankara: Siyasal.
• Koç, Ü. & Şahin, H. (2015). Parasal Aktarim Mekanizmasi: Firma Bilanço Kanali ve Türkiye. Ege Academic Review, 15(1), 19-26.
• Kraft, J. & Kraft, A. (1978). On The Relationship Between Energy and GNP. Journal of Energy and Development, 3, 401-403.
• Larkin, P. J. (2016). Public Choice Theory and Occupational Licensing. Harvard Journal of Law & Public Policy, 209-331.
• Leiserowitz, A., Maibach, E., Rosenthal, S. & Kotcher, J. (2018). Energy in the American Mind. New Haven: Yale University Programme on Climate Change, George Mason University Centre for Climate Change Communication.
• Leloux, M., Harkema, S. & Popescu, F. (2015). Accelerating The Adoption Process of Renewable Energy Sources Among SME's. Annals of Faculty of Economics, University of Oradea, Faculty of Economics, 1(1), 247-255.
• Llop, M. (2020). Energy Import Costs in a Flexible Input-Output Price Model. Resource and Energy Economics, 59, 1-9.
• Loomis, D. G., Hayden, J., Noll, S, & Payne, J. E. (2016). Economic Impact of Wind Energy Development in Illinois. Journal of Business Valuation and Economic Loss Analysis, De Gruyter, 11(1), 3-23.
• Lowin, A. (1968). Participative Decision Making a Model Literature Critique, and Prescriptions for Research. Organizational Behaviour and Human Performance, 59-68.
• Majeed, M. T. & Luni, T. (2019). Renewable Energy, Water, and Environmental Degradation: A Global Panel Data Approach. Pakistan Journal of Commerce and Social Sciences, 13(3), 749-778.
• Marinescu, N. (2017). Wind Energy In The Eu: How Does Romania Fare?. Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, 3, 83-87.
• Mazzola, U. (1890). I Dati Scientifici Della Finanza Pubblica. Torino: Ermanno Loescher&Co.
• McDowall, W., Ekins, P., Radosevic, S. & Zhang, L. (2013). The Development of Wind Power in China, Europe and The USA: How Have Policies and Innovation System Activities Co-Evolved?. Technology Analysis & Strategic Management, 25(2), 163-185.
• Menegaki, A. N. (2011). Growth and Renewable Energy in Europe: A Random Effect Model with Evidence for Neutrality Hypothesis. Energy Economics, 33(2), 257-263.
• Mercuro, N. & Medema, S. G. (2006). Public Choice Theory. Oxford: Princeton University Press.
• Mueller, D. C. (2003). Public Choice 3. Cambridge: Cambridge University Press.
• Musgrove, P. J. (1981). Wind Energy. Journal of the Royal Society of Arts, 129(5301), 553-567.
• Narayan, P. K. & Prasad, A. (2008). Electricity Consumption-Real GDP Causality Nexus: Evidence from a Bootstrapped Causality Test for 30 OECD Countries. Energy Policy, 36, 910-918.
• Niskanen, W. A. (1975). Bureaucrats and Politicians. The Journal of Law & Economics, 617-643.
• North, D. (1990). Institutions, Institutional Change and Economic Performance. Cambridge: Cambridge University Press.
• Oates, W. E. & Portney, P. R. (2001). The Political Economy of the Environmental Policy. Washington D.C.: Resource fot the Future.
• OECD. (2017). Green Growth Studies: Green Growth Indicators 2017. Paris: OECD Publishing.
• OECD. (2019). Economic Policy Reforms 2019: Going for Growth. Paris: OECD Publishing.
• Ohler, A. & Fetters, I. (2014). The Causal Relationship Between Renewable Electricity Generation and GDP Growth: A Study of Energy Sources. Energy Economics, 43, 125-139.
• Pantaleoni, M. (1883). Contributo Alla Teoria del Riparto delle Spese Pubbliche. Roma: Tipografia Editrice Romana.
• Prandecki, K. (2014). Theoretical Aspects of Sustainable Energy. Energy and Environmental Engineering, 2(4) , 83-90.
• Pressman, S. (2004). What Is Wrong with Public Choice. Journal of Post Keynesian Economics , 3-18.
• Quintana-Rojo, C., Callejas-Albinana , F., Tarancon, M. & Del-Rio, P. (2020). Assessing The Feasibility of Deployment Policies in Wind Energy Systems: A Sensitivity Analysis on a Multiequational Econometric Framework. Energy Economics, 86.
• Sadorsky, P. (2009). Renewable Energy Consumption and Income in Emerging Economies. Energy Policy, 37, 4021-4028.
• Self, P. (1993). Government by the Market?: The Politics of Public Choice. Bloomsbury Publishing.
• Şener, N. B. (2020). Devletin Değişen Rolü Çerçevesinde Bağımsız İdari Otoriteler: Karşılaştırmalı Bir Analiz. Economics Literature, 71-103.
• Shahbaz , M., Tang, C. F. & Shabbir, M. S. (2011). Electricity Consumption and Economic Growth Nexus in Portugal Using Cointegration and Causality Approaches. Energy Policy, 39, 3529-3536.
• Shaw, J. S. (2022). Public Choice Theory. https://www.econlib.org/library/Enc1/PublicChoiceTheory.html
• Soytas, U. & Sari, R. (2003). Energy Consumption and GDP: Causality Relationship in G-7 and Emerging Markets. Energy Economics, 25, 33-37.
• Stern, D. I. (2000). A Multivariate Cointegration Analysis of The Role of Energy in The US Macroeconomy. Energy Economics, 22, 267-283.
• Stern, D. I. & Cleveland, C. J. (2004). Energy and Economic Growth. Rensselaer Working Papers in Economics 0410.
• Stiglitz, J. E. (2002). Globalization and Its Discontents. Penguin Books Ltd.: London, UK.
• Taylor, M., Thornton, D., Nemet, G. & Colvin, M. (2006). Government Actions and Innovation in Environmental Technology for Power Production: The Cases of Selective Catalytic Reduction and Wind Power in California. Report for the California Energy Commission. Berkeley: University of California.
• Thatcher, M. (2002). Delegation to Independent Regulatory Agencies: Pressures, Functions and Contextual Mediation. West European Politics, 125-147.
• Tsoutsos, T., Frantzeskaki, N. & Gekas, V. (2005). Environmental Impacts from the Solar Energy Technologies. Energy Policy, 33(3), 289-296.
• Unruh, G. C. (2007). Understanding Carbon Lock-In. Energy Policy, 817-830.
• World Bank. (2012). Inclusive Green Growth: The Pathway to Sustainable Development. Washington: World Bank.
• World Bioenergy Association. (2019). Global Bioenergy Statistics 2019. World Bioenergy Association.
• Yoo, S. (2005). Electricity Consumption and Economic Growth: Evidence from Korea. Energy Policy, 33, 1627-1632.
• Yoo, S. H, & Kwak, S. Y. (2010). Electricity Consumption and Economic Growth in Seven South American Countries. Energy Policy, 38(1), 181-188.