Impact of fossil fuel subsidies, natural resource rent and corruption on renewable energy in Middle Eastern and North African countries
摘要
This study examined the impact of fossil fuel subsidies, natural resource rent, corruption, and income on renewable energy use in the Middle East and North Africa (MENA) Region. We employed moment quantile regression (MMQR) and panel-corrected standard error (PCSE) using annual data from 2015 to 2021. The findings indicated that fossil fuel subsidies are strongly linked to lower renewable energy use at all levels, suggesting that these subsidies hinder the transition to renewables. Natural resource rent also had a negative impact, supporting the idea that an excessive focus on natural resources can harm other sectors. Interestingly, a higher use of renewables was linked to higher levels of corruption, which indicates that organizations are employing “greenwashing” tactics. The association between a country’s income and its renewable energy use was positive, but not strong enough to be conclusive. This study advances the literature by linking the political economy of the resource curse and rentier state theory to the renewable energy transition, highlighting how institutional distortions, such as corruption and subsidies, hinder reform. In addition to this theoretical linkage, the study contributes methodologically by estimating renewable energy total factor productivity, offering a deeper understanding of how institutional and economic factors shape efficiency within the renewable sector. We emphasize the importance of diversifying energy sources, reforming prices, reducing subsidies, and promoting renewable energy.