IDEAS home Printed from https://ideas.repec.org/a/eee/tefoso/v169y2021ics004016252100247x.html
   My bibliography  Save this article

The adoption of solar photovoltaic technology among Indian households: Examining the influence of entrepreneurship

Author

Listed:
  • Irfan, Mohd
  • Yadav, Sarvendra
  • Shaw, Krishnendu

Abstract

Across the globe, renewable energy sources are well-recognized essential components of the energy consumption mix. Over the years, India has strategically enhanced solar energy consumption to meet its electricity deficit and reduce carbon emissions. However, the pace of adopting solar photovoltaic technology among Indian households remains lower than alternate micro-technologies like generators and inverters. Since literature suggests that entrepreneurship invokes awareness of social responsibility, activism, and environmental concerns, the role of entrepreneurship in adopting solar photovoltaic technology cannot be undermined, especially in addressing the challenges of low adoption rates. Considering these facts, this study empirically investigates the role of entrepreneurship and household characteristics either as barriers or drivers of adopting solar photovoltaic technology. The study sample contains 1551 Indian households extracted from the 72nd round of the Household Expenditure on Services and Durable Goods survey of 2014–2015. The probit regression model with sample selection bias correction is estimated to examine the likelihood of adopting solar photovoltaic technology in relation to alternate micro-technologies at the household level. The results reveal that entrepreneurship has a positive and significant influence on the likelihood of adopting solar photovoltaic technology. The findings also indicate that the likelihood increases with the family size, residence in rural areas, and being in the casual workforce. Conversely, the likelihood decreases with an increase in age, income, and being in the higher caste category. Based on the findings, several implications are discussed to promote the higher adoption rates of solar photovoltaic technology among Indian households.

Suggested Citation

  • Irfan, Mohd & Yadav, Sarvendra & Shaw, Krishnendu, 2021. "The adoption of solar photovoltaic technology among Indian households: Examining the influence of entrepreneurship," Technological Forecasting and Social Change, Elsevier, vol. 169(C).
    • Handle: RePEc:eee:tefoso:v:169:y:2021:i:c:s004016252100247x
    DOI: 10.1016/j.techfore.2021.120815
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S004016252100247X
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.techfore.2021.120815?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Omri, Anis, 2018. "Entrepreneurship, sectoral outputs and environmental improvement: International evidence," Technological Forecasting and Social Change, Elsevier, vol. 128(C), pages 46-55.
    2. Rathore, Pushpendra Kumar Singh & Chauhan, Durg Singh & Singh, Rudra Pratap, 2019. "Decentralized solar rooftop photovoltaic in India: On the path of sustainable energy security," Renewable Energy, Elsevier, vol. 131(C), pages 297-307.
    3. Islam, Towhidul, 2014. "Household level innovation diffusion model of photo-voltaic (PV) solar cells from stated preference data," Energy Policy, Elsevier, vol. 65(C), pages 340-350.
    4. Ben Youssef, Adel & Boubaker, Sabri & Omri, Anis, 2018. "Entrepreneurship and sustainability: The need for innovative and institutional solutions," Technological Forecasting and Social Change, Elsevier, vol. 129(C), pages 232-241.
    5. McFadden, Daniel, 1980. "Econometric Models for Probabilistic Choice among Products," The Journal of Business, University of Chicago Press, vol. 53(3), pages 13-29, July.
    6. Hausman, Jerry, 2015. "Specification tests in econometrics," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 38(2), pages 112-134.
    7. Huebner, Gesche & Shipworth, David & Hamilton, Ian & Chalabi, Zaid & Oreszczyn, Tadj, 2016. "Understanding electricity consumption: A comparative contribution of building factors, socio-demographics, appliances, behaviours and attitudes," Applied Energy, Elsevier, vol. 177(C), pages 692-702.
    8. Urpelainen, Johannes, 2016. "Energy poverty and perceptions of solar power in marginalized communities: Survey evidence from Uttar Pradesh, India," Renewable Energy, Elsevier, vol. 85(C), pages 534-539.
    9. Chang Soo Sung & Joo Y. Park, 2018. "Sustainability Orientation and Entrepreneurship Orientation: Is There a Tradeoff Relationship between Them?," Sustainability, MDPI, vol. 10(2), pages 1-14, February.
    10. York, Jeffrey G. & Venkataraman, S., 2010. "The entrepreneur-environment nexus: Uncertainty, innovation, and allocation," Journal of Business Venturing, Elsevier, vol. 25(5), pages 449-463, September.
    11. Michaël Aklin & Chao-yo Cheng & Johannes Urpelainen & Karthik Ganesan & Abhishek Jain, 2016. "Factors affecting household satisfaction with electricity supply in rural India," Nature Energy, Nature, vol. 1(11), pages 1-6, November.
    12. Mahzouni, Arian, 2019. "The role of institutional entrepreneurship in emerging energy communities: The town of St. Peter in Germany," Renewable and Sustainable Energy Reviews, Elsevier, vol. 107(C), pages 297-308.
    13. Andrea Baranzini, Stefano Carattini, Martin Peclat, 2017. "What drives social contagion in the adoption of solar photovoltaic technology," GRI Working Papers 270, Grantham Research Institute on Climate Change and the Environment.
    14. Qureshi, Tahir Masood & Ullah, Kafait & Arentsen, Maarten J., 2017. "Factors responsible for solar PV adoption at household level: A case of Lahore, Pakistan," Renewable and Sustainable Energy Reviews, Elsevier, vol. 78(C), pages 754-763.
    15. Bhandari, Amit K. & Jana, Chinmoy, 2010. "A comparative evaluation of household preferences for solar photovoltaic standalone and mini-grid system: An empirical study in a costal village of Indian Sundarban," Renewable Energy, Elsevier, vol. 35(12), pages 2835-2838.
    16. Kurdgelashvili, Lado & Shih, Cheng-Hao & Yang, Fan & Garg, Mehul, 2019. "An empirical analysis of county-level residential PV adoption in California," Technological Forecasting and Social Change, Elsevier, vol. 139(C), pages 321-333.
    17. Agnew, Scott & Dargusch, Paul, 2017. "Consumer preferences for household-level battery energy storage," Renewable and Sustainable Energy Reviews, Elsevier, vol. 75(C), pages 609-617.
    18. Richard Williams, 2012. "Using the margins command to estimate and interpret adjusted predictions and marginal effects," Stata Journal, StataCorp LP, vol. 12(2), pages 308-331, June.
    19. Heckman, James, 2013. "Sample selection bias as a specification error," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 31(3), pages 129-137.
    20. Bashiri, Ali & Alizadeh, Sasan H., 2018. "The analysis of demographics, environmental and knowledge factors affecting prospective residential PV system adoption: A study in Tehran," Renewable and Sustainable Energy Reviews, Elsevier, vol. 81(P2), pages 3131-3139.
    21. Aklin, M. & Bayer, P. & Harish, S.P. & Urpelainen, J., 2018. "Economics of household technology adoption in developing countries: Evidence from solar technology adoption in rural India," Energy Economics, Elsevier, vol. 72(C), pages 35-46.
    22. Lukanov, Boris R. & Krieger, Elena M., 2019. "Distributed solar and environmental justice: Exploring the demographic and socio-economic trends of residential PV adoption in California," Energy Policy, Elsevier, vol. 134(C).
    23. Chandan Parsad & Shashank Mittal & Raveesh Krishnankutty, 2020. "A study on the factors affecting household solar adoption in Kerala, India," International Journal of Productivity and Performance Management, Emerald Group Publishing Limited, vol. 69(8), pages 1695-1720, July.
    24. Dhahri, Sabrine & Omri, Anis, 2018. "Entrepreneurship contribution to the three pillars of sustainable development: What does the evidence really say?," World Development, Elsevier, vol. 106(C), pages 64-77.
    25. Kolhe, Mohanlal & Kolhe, Sunita & Joshi, J. C., 2002. "Economic viability of stand-alone solar photovoltaic system in comparison with diesel-powered system for India," Energy Economics, Elsevier, vol. 24(2), pages 155-165, March.
    26. Kurata, Masamitsu & Matsui, Noriatsu & Ikemoto, Yukio & Tsuboi, Hiromi, 2018. "Do determinants of adopting solar home systems differ between households and micro-enterprises? Evidence from rural Bangladesh," Renewable Energy, Elsevier, vol. 129(PA), pages 309-316.
    27. Harish, Santosh M. & Iychettira, Kaveri K. & Raghavan, Shuba V. & Kandlikar, Milind, 2013. "Adoption of solar home lighting systems in India: What might we learn from Karnataka?," Energy Policy, Elsevier, vol. 62(C), pages 697-706.
    28. Van de Ven, Wynand P. M. M. & Van Praag, Bernard M. S., 1981. "The demand for deductibles in private health insurance : A probit model with sample selection," Journal of Econometrics, Elsevier, vol. 17(2), pages 229-252, November.
    29. Blankenship, Brian & Wong, Jason Chun Yu & Urpelainen, Johannes, 2019. "Explaining willingness to pay for pricing reforms that improve electricity service in India," Energy Policy, Elsevier, vol. 128(C), pages 459-469.
    30. Bryan Bollinger & Kenneth Gillingham, 2012. "Peer Effects in the Diffusion of Solar Photovoltaic Panels," Marketing Science, INFORMS, vol. 31(6), pages 900-912, November.
    31. Dong, Changgui & Sigrin, Benjamin & Brinkman, Gregory, 2017. "Forecasting residential solar photovoltaic deployment in California," Technological Forecasting and Social Change, Elsevier, vol. 117(C), pages 251-265.
    32. Bunea, Anita M. & Della Posta, Pompeo & Guidolin, Mariangela & Manfredi, Piero, 2020. "What do adoption patterns of solar panels observed so far tell about governments’ incentive? Insights from diffusion models," Technological Forecasting and Social Change, Elsevier, vol. 160(C).
    33. Nowotny, Janusz & Dodson, John & Fiechter, Sebastian & Gür, Turgut M. & Kennedy, Brendan & Macyk, Wojciech & Bak, Tadeusz & Sigmund, Wolfgang & Yamawaki, Michio & Rahman, Kazi A., 2018. "Towards global sustainability: Education on environmentally clean energy technologies," Renewable and Sustainable Energy Reviews, Elsevier, vol. 81(P2), pages 2541-2551.
    34. Islam, Towhidul & Meade, Nigel, 2013. "The impact of attribute preferences on adoption timing: The case of photo-voltaic (PV) solar cells for household electricity generation," Energy Policy, Elsevier, vol. 55(C), pages 521-530.
    35. Dean, Thomas J. & McMullen, Jeffery S., 2007. "Toward a theory of sustainable entrepreneurship: Reducing environmental degradation through entrepreneurial action," Journal of Business Venturing, Elsevier, vol. 22(1), pages 50-76, January.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Puppala, Harish & Ahuja, Jaya & Tamvada, Jagannadha Pawan & Peddinti, Pranav R T, 2023. "New technology adoption in rural areas of emerging economies: The case of rainwater harvesting systems in India," Technological Forecasting and Social Change, Elsevier, vol. 196(C).
    2. Alsulami, Abdulkarim & Fairbrass, Jenny & Botelho, Tiago & Assadinia, Shahin, 2024. "Renewable energy and innovation in Saudi Arabia: An exploration of factors affecting consumers' intention to adopt Solar PV," Technological Forecasting and Social Change, Elsevier, vol. 204(C).
    3. Ryszard Kata & Kazimierz Cyran & Sławomir Dybka & Małgorzata Lechwar & Rafał Pitera, 2021. "Economic and Social Aspects of Using Energy from PV and Solar Installations in Farmers’ Households in the Podkarpackie Region," Energies, MDPI, vol. 14(11), pages 1-21, May.
    4. Khezri, Mohsen & Hasan, Qaraman Mohammed, 2024. "Exploring the impacts of entrepreneurship indices on renewable energy mix: A cross-country study," Renewable and Sustainable Energy Reviews, Elsevier, vol. 199(C).
    5. Nepal, Rabindra & Best, Rohan & Taylor, Madeline, 2023. "Strategies for reducing ethnic inequality in energy outcomes: A Nepalese example," Energy Economics, Elsevier, vol. 126(C).
    6. Tinta, Abdoulganiour Almame, 2024. "Ladder or Stacking: Lesson from Burkina Faso," Energy Policy, Elsevier, vol. 186(C).
    7. Best, Rohan & Chareunsy, Andrea, 2022. "The impact of income on household solar panel uptake: Exploring diverse results using Australian data," Energy Economics, Elsevier, vol. 112(C).
    8. Aarakit, Sylvia Manjeri & Ntayi, Joseph M. & Wasswa, Francis & Buyinza, Faisal & Adaramola, Muyiwa S. & Ssennono, Vincent F., 2022. "The role of financial inclusion in adoption of solar photovoltaic systems: A case of Uganda," Renewable Energy, Elsevier, vol. 198(C), pages 984-998.
    9. Tinta, Abdoulganiour Almame & Sylla, Ahmed Yves & Lankouande, Edmond, 2023. "Solar PV adoption in rural Burkina Faso," Energy, Elsevier, vol. 278(PB).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Tinta, Abdoulganiour Almame & Sylla, Ahmed Yves & Lankouande, Edmond, 2023. "Solar PV adoption in rural Burkina Faso," Energy, Elsevier, vol. 278(PB).
    2. Alipour, M. & Salim, H. & Stewart, Rodney A. & Sahin, Oz, 2020. "Predictors, taxonomy of predictors, and correlations of predictors with the decision behaviour of residential solar photovoltaics adoption: A review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 123(C).
    3. Wichsinee Wibulpolprasert & Umnouy Ponsukcharoen & Siripha Junlakarn & Sopitsuda Tongsopit, 2021. "Preliminarily Screening Geographical Hotspots for New Rooftop PV Installation: A Case Study in Thailand," Energies, MDPI, vol. 14(11), pages 1-30, June.
    4. Gu, Wentao & Zheng, Xiaoyan, 2021. "An empirical study on the impact of sustainable entrepreneurship: Based on the environmental Kuznets model," Journal of Business Research, Elsevier, vol. 123(C), pages 613-624.
    5. Ana Venâncio & Inês Pinto, 2020. "Type of Entrepreneurial Activity and Sustainable Development Goals," Sustainability, MDPI, vol. 12(22), pages 1-25, November.
    6. Gupta, Brij B. & Gaurav, Akshat & Panigrahi, Prabin Kumar & Arya, Varsha, 2023. "Analysis of artificial intelligence-based technologies and approaches on sustainable entrepreneurship," Technological Forecasting and Social Change, Elsevier, vol. 186(PB).
    7. Dhahri, Sabrine & Omri, Anis, 2018. "Entrepreneurship contribution to the three pillars of sustainable development: What does the evidence really say?," World Development, Elsevier, vol. 106(C), pages 64-77.
    8. Omri, Anis & Afi, Hatem, 2020. "How can entrepreneurship and educational capital lead to environmental sustainability?," Structural Change and Economic Dynamics, Elsevier, vol. 54(C), pages 1-10.
    9. Thai-Ha Le & Canh Phuc Nguyen & Manh-Tien Bui, 2023. "Is Entrepreneurship the Key to Achieving Environmental Sustainability? A Data-Driven Analysis from the Asia-Pacific Region," Sustainability, MDPI, vol. 15(19), pages 1-19, October.
    10. Best, Rohan & Chareunsy, Andrea, 2022. "The impact of income on household solar panel uptake: Exploring diverse results using Australian data," Energy Economics, Elsevier, vol. 112(C).
    11. Udemba, Edmund Ntom & Emir, Firat & Philip, Lucy Davou, 2022. "Mitigating poor environmental quality with technology, renewable and entrepreneur policies: A symmetric and asymmetric approaches," Renewable Energy, Elsevier, vol. 189(C), pages 997-1006.
    12. Tibebu, Tiruwork B. & Hittinger, Eric & Miao, Qing & Williams, Eric, 2022. "Roles of diffusion patterns, technological progress, and environmental benefits in determining optimal renewable subsidies in the US," Technological Forecasting and Social Change, Elsevier, vol. 182(C).
    13. Harrington, Elise & Athavankar, Ameya & Hsu, David, 2020. "Variation in rural household energy transitions for basic lighting in India," Renewable and Sustainable Energy Reviews, Elsevier, vol. 119(C).
    14. Udemba, Edmund Ntom & Philip, Lucy Davou & Emir, Firat, 2022. "Performance and sustainability of environment under entrepreneurial activities, urbanization and renewable energy policies: A dual study of Malaysian climate goal," Renewable Energy, Elsevier, vol. 189(C), pages 734-743.
    15. Dhahri, Sabrine & Slimani, Sana & Omri, Anis, 2021. "Behavioral entrepreneurship for achieving the sustainable development goals," Technological Forecasting and Social Change, Elsevier, vol. 165(C).
    16. Thomas Neumann, 2021. "The impact of entrepreneurship on economic, social and environmental welfare and its determinants: a systematic review," Management Review Quarterly, Springer, vol. 71(3), pages 553-584, July.
    17. Stefano Carattini & Simon Levin & Alessandro Tavoni, 2019. "Cooperation in the Climate Commons," Review of Environmental Economics and Policy, Association of Environmental and Resource Economists, vol. 13(2), pages 227-247.
    18. Zhang, Yanquan & Chang, Ruidong & Zuo, Jian & Shabunko, Veronika & Zheng, Xian, 2023. "Regional disparity of residential solar panel diffusion in Australia: The roles of socio-economic factors," Renewable Energy, Elsevier, vol. 206(C), pages 808-819.
    19. Eslami, Hossein & Krishnan, Trichy, 2023. "New sustainable product adoption: The role of economic and social factors," Energy Policy, Elsevier, vol. 183(C).
    20. Lina Karabetyan, 2023. "Impact of Entrepreneurial Activity and ICT Development on Sustainable Development: Evidence from High-Income Countries," Sustainability, MDPI, vol. 15(6), pages 1-14, March.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:tefoso:v:169:y:2021:i:c:s004016252100247x. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.sciencedirect.com/science/journal/00401625 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.