ANNOUNCEMENTS
The energy sector has gained a lot of attention all around the world ever since the debate around climate related issues began. A transition towards clean energy can be a stepping stone for sustainability and that is where renewable energy comes into play. With the ongoing discussions about net zero emissions, renewable energy has become a big deal. Technology has a very major role to play in a country’s transition towards clean and green sources of energy. Renewable energy can be harnessed if the countries have access to necessary technologies. For example- PV cells, wind turbines, batteries, rotors, blades, generators, convertors, etc. They are popularly known as Renewable Energy Technologies (RETs). Trade will play a very important role in the diffusion of RETs across the global. This will be a stepping stone for a low carbon economy and will help nations achieve net zero. With a sample of 93 countries the study aims to find the determinants of trade in RETs and whether trade in these technologies helps a nation in its energy transition towards renewable sources. Using panel data estimation techniques, it was found that some indices such as Financial Performance Index, Competitive Industrial Performance Index and Economic Complexity Index drive trade in RETs. GDP of a country also increases the volume of trade. Fossil fuel subsidies lower trade in these technologies. Moreover, we find that trade in RETs significantly contributes towards a clean energy transition in a country. In case of developing nations, the impact of trade is insignificant but for developed nations, both exports and imports significantly increase the share of renewable energy in the country.
Keywords: Renewable energy technology, low carbon technologies, Environmental Goods and Services, trade in clean technologies, climate change, renewable energy sector.
