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Barriers for Renewable Energy Technologies Diffusion: Empirical Evidence from Finland and Poland

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  • Oskar Juszczyk

    (Department of Production, School of Technology and Innovations, University of Vaasa, 65101 Vaasa, Finland)

  • Juliusz Juszczyk

    (Institute of Economics and Finance, Faculty of Economics, Warsaw University of Life Sciences—SGGW, 02-787 Warsaw, Poland)

  • Sławomir Juszczyk

    (Institute of Economics and Finance, Faculty of Economics, Warsaw University of Life Sciences—SGGW, 02-787 Warsaw, Poland)

  • Josu Takala

    (Department of Production, School of Technology and Innovations, University of Vaasa, 65101 Vaasa, Finland)

Abstract

A harmful impact of climate change and global warming has concerned various sectors of the international community. Numerous energy policies aiming at climate change mitigation have been implemented on a national and global scale. Renewable energy technologies (RETs) play a critical role in enhancing sustainable solutions that significantly limit greenhouse gas (GHG) emissions. Such innovative technologies can facilitate energy transition through providing, e.g., energy security, sustainable development, and effective usage of indigenous resources. However, the commercialization of RETs is extremely challenging. The barriers can be of a different nature, although this study focused on socioeconomic and regulatory issues. There is ample evidence that energy policies play a central role in supporting adoption of renewables. It is also claimed that RETs require the whole ecosystem to support their successful diffusion. In this study, we explored multifarious barriers for widespread RET diffusion in two European Union countries, Finland and Poland, indicating the most common barriers existing in the literature as well as analyzing major bottlenecks from the viewpoint of renewable energy companies’ executives. We also present statistics of the most commonly used RETs in these countries in order to express the diffusion issues more appropriately. The research shows that inflexible, ineffective, and excessive regulatory frameworks; limited financing options; as well as an insufficient level of societal awareness have been seen as the main bottlenecks for RET diffusion in both countries. The outcomes of this study provide useful insights for the researchers in the energy transition field as well as practical managerial and regulatory implications aimed at overcoming these challenges.

Suggested Citation

  • Oskar Juszczyk & Juliusz Juszczyk & Sławomir Juszczyk & Josu Takala, 2022. "Barriers for Renewable Energy Technologies Diffusion: Empirical Evidence from Finland and Poland," Energies, MDPI, vol. 15(2), pages 1-14, January.
    • Handle: RePEc:gam:jeners:v:15:y:2022:i:2:p:527-:d:722949
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    References listed on IDEAS

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    1. Arent, Douglas J. & Wise, Alison & Gelman, Rachel, 2011. "The status and prospects of renewable energy for combating global warming," Energy Economics, Elsevier, vol. 33(4), pages 584-593, July.
    2. Brauers, Hanna & Oei, Pao-Yu, 2020. "The political economy of coal in Poland: Drivers and barriers for a shift away from fossil fuels," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 144.
    3. Brauers, Hanna & Oei, Pao-Yu, 2020. "The political economy of coal in Poland: Drivers and barriers for a shift away from fossil fuels," Energy Policy, Elsevier, vol. 144(C).
    4. Sokka, L. & Sinkko, T. & Holma, A. & Manninen, K. & Pasanen, K. & Rantala, M. & Leskinen, P., 2016. "Environmental impacts of the national renewable energy targets – A case study from Finland," Renewable and Sustainable Energy Reviews, Elsevier, vol. 59(C), pages 1599-1610.
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    2. Xu, Xiaofang & Yu, Wanqing & Zhao, Xingju & Xu, Wei, 2023. "Reassessing the linkage between natural resources and economic growth in China: Delving into the impacts of national resource taxes, renewable energy, financial advancements, and provincial fiscal exp," Resources Policy, Elsevier, vol. 86(PA).
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