Sustainable Energy Supplies in Developing Countries: Does National Governance Matter?

Mengya Shang, Noha Aleesa and Abdulrasheed Zakari ()
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Mengya Shang: School of Economics and Management, Harbin Engineering University, Harbin 150001, China
Noha Aleesa: Department of Accounting, College of Business and Administration, Princess Nourah Bint Abdulrahman University, P.O. Box 84428, Riyadh 11671, Saudi Arabia
Abdulrasheed Zakari: Faculty of Business and Law, University of Wollongong, Wollongong 2522, Australia

Energies, 2023, vol. 16, issue 18, 1-13

Abstract: In this paper, we examine the impact of national governance quality on clean energy supplies in developing countries. We used a large sample of 103 developing countries over 21 years. We employ pooled ordinary least squares as the primary estimator. Additionally, we apply a Fixed Effect and the Two-Step System-Generalized Method of Moments to mitigate contemporaneity bias. Following prior studies, we construct national governance quality from the six World Governance Indicators. Consistent with our expectations, we find a positive and significant association between national governance quality and clean energy supplies. The results show that countries with high national governance quality are more likely to generate high amounts of clean energy than low-governed countries and to experience a high green economy. The results are also significant when the governance indicator is disaggregated into individual components. However, in a continental analysis, we found that the link between national governance quality and clean energy supplies is stronger in Africa than on other continents. Our results are robust to alternative measurements and econometric identification strategies.

Keywords: developing countries; clean energy supplies sustainable energy; national governance quality; sustainable development (search for similar items in EconPapers)
JEL-codes: Q Q0 Q4 Q40 Q41 Q42 Q43 Q47 Q48 Q49 (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

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