DETERMINANTS OF THE ENERGY TRANSITION: EMPIRICAL EVIDENCE FOR OECD COUNTRIES

The energy transition is a requirement to accomplish the objectives of the international agreements. Since the Kyoto protocol that countries increased the share of renewable energy by replacing fossil sources. The concept of energy transition depends on the nuclear role in the energy transition. Consider different types of energy transition, this paper analyses the determinants of the low carbon energy transition and clean energy transition. The sample comprises two panel composed by OECD countries for the time span from 1971 to 2016. After applying a battery of tests, the most suitable estimators are the PCSE and FGLS. There is still a long way to go regarding the energy transition, namely in the concept of transition. The true transition will only begin by decreasing the use of fossil fuels. The development of renewable energies has been used to satisfy the increased demand for energy. Energy efficiency measures are necessary to accelerate the low carbon energy transition, it is necessary to discipline the energy demand. The results prove that the openness could drive the energy transition, countries must share technologies to accelerate the transition process, in both low carbon and clean energy transition.