The road to a greener future: How government expenditure and effectiveness drive renewal energy consumption

Abstract

This study examines the impact of government expenditure and government effectiveness on renewable energy consumption in Africafrom 1990 to 2021. Utilizing the fixed effects technique, the findings indicate a positive significant relationship between government expenditure and renewable energy consumption, while government effectiveness demonstrates a significant negative influence. Additionally, trade openness and urbanization exhibit a negative impact on renewable energy usage. The effect of foreign direct investment (FDI) on renewable energy consumption is found to be mixed. To facilitate the transition towards a greener energy future in Africa, the study recommends several measures including increasing government expenditure on renewable energy, enhancing government effectiveness, promoting sustainable trade practices, and prioritizing sustainable urban planning. � 2023, IGI Global. All rights reserved.