The role of national culture in renewable energy consumption: Global evidence

• Published in: Energy reports 2023-11, Vol.10, p.1765-1784
• Main Authors: Omar, Md Abdullah, Hasanujzaman, Muhammad
• Format: Article
• Language: English
• Subjects: Cultural dimensions; National culture; Panel regression analysis; Renewable energy consumption; Sustainable development
• ISSN: 2352-4847; 2352-4847
• DOI: 10.1016/j.egyr.2023.08.033

This study examines the relationship between Hofstede’s six cultural dimensions and renewable energy consumption, considering global evidence from 99 countries using a panel data framework for the period covering 1991–2018. Employing a pooled ordinary least square model and Lewbel two-stage least squares technique, we find that the power distance index, uncertainty avoidance index, masculinity index, and long-term orientation index negatively influence renewable energy consumption. In contrast, the indulgence index has a positive impact on renewable energy consumption. Moreover, we find that the impact of the individualism index on renewable energy consumption is mixed. A battery of alternative econometric techniques, including the Driscoll–Kraay estimator, ensures the robustness of the results. Finally, the empirical evidence suggests policy reforms and global initiatives to integrate cultural traits into national strategies for renewable energy consumption, in order to achieve the sustainable development goals. •This Study investigates the effect of national culture on renewable energy consumption.•Global data for a sample of 99 countries is used covering the period 1991–2018.•Indulgence index positively determines renewable energy consumption.•Contrary to individualism index, the other four Hofstede indices are negatively associated.•Integrating cultural traits into national strategies is critical to achieve related the SDGs.