September 10, 2025

Economic Barriers and Incentives in the Energy Transition: A Comparative Analysis of Policy Frameworks and Market Responses

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Comparative analysis reveals how carbon pricing and subsidies influence renewable energy investments, suggesting improvements for policy alignment.

Structured carbon pricing mechanisms are essential for boosting private-sector investment in renewable energy.
The research indicates a strong positive relationship between government subsidies and private-sector investments, particularly in nations with open frameworks.
Using a comparative methodology, the analysis assessed energy transition efforts in the European Union, the United States, and South Korea.
Evidence-based recommendations for policymakers include stable carbon pricing and aligning green finance instruments with public policy.

Burduja et al. (2025) studied this question.

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Comparative analysis reveals how carbon pricing and subsidies influence renewable energy investments, suggesting improvements for policy alignment.