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Assessing the energy trilemma through the diversity of the energy mix: the case of India

Author

Listed:
  • Belén del-Río

    (University of the Basque Country (UPV/EHU)
    University of Loyola Andalucia)

  • Ana Fernández-Sainz

    (University of the Basque Country (UPV/EHU))

  • Itziar Martinez de Alegria

    (University of the Basque Country (UPV/EHU))

Abstract

The aim of this paper is to propose a new procedure for analysing the problem of the energy trilemma at country level. The three main issues for energy governance are energy security (ESI), climate change (EI) and energy poverty (EDI). Implementing policies to address them all simultaneously poses a major challenge for policymakers. This paper examines the impact of the India's diversity energy mix (DI) on the energy trilemma from 1990 to 2014. The quantitative study employs regression analysis individually (equation by equation) and simultaneously (all variables are considered jointly) using the Ordinary Least Square method and the Feasible Generalised Least Square method, respectively. The results confirm a strong link between all variables and prove that diversity is statistically significant for all variables. The results of the cross-effect analysis reveal interesting changes in the effects of DI compared to the individual analysis. When ESI and EI are considered the dependent variable, the sign of the DI change and its degree of significance decreases. The analysis also shows a positive effect of DI on EI, the significance of EI on ESI and a positive relationship between EI and EDI. The findings suggest that increasing the diversity of the energy mix is not always the best decision. Data are taken from the databases of the International Energy Agency, Emissions Database for Global Atmospheric Research and World Bank (DataBank).

Suggested Citation

  • Belén del-Río & Ana Fernández-Sainz & Itziar Martinez de Alegria, 2022. "Assessing the energy trilemma through the diversity of the energy mix: the case of India," SN Business & Economics, Springer, vol. 2(9), pages 1-26, September.
    • Handle: RePEc:spr:snbeco:v:2:y:2022:i:9:d:10.1007_s43546-022-00300-8
    DOI: 10.1007/s43546-022-00300-8
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    More about this item

    Keywords

    Energy sources; Energy security; Climate change; Energy poverty; Energy trilemma; India;
    All these keywords.

    JEL classification:

    • Q4 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy
    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy
    • C13 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Estimation: General

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