Economic Impacts of Renewable Energy and Supply Chain in Turkey

Abstract

The fact that the reserves of traditional energy sources will run out over the years and the problem of external dependency have led to the development of a renewable energy alternative. In addition to supply and cost problems, traditional energy sources can cause irreversible damage to nature. The need for energy is increasing day by day and is directly related to the existence of living communities, human beings and civilizations in every region of life and all over the world. The need for energy and energy-related activities is growing in order to realize economic growth, social improvement and to improve social welfare and health. This study consists of 30 annual observations between 1991 and 2020. While GDP is the Gross Domestic Product for the Turkish economy in constant dollars for 2015, RNE represents the percentage of renewable energy consumption in total energy consumption. In the study, whether the series are stationary or not was tested with Augmented Dickey–Fuller (ADF) unit root test and Phillips–Perron (PP) unit root tests. It has seen that ADF and PP unit root test findings were obtained for the variables. In this case, it was determined that both variables in the research models were first order stationary variables. There is a statistical cointegration relationship between the variables at the 1% significance level. When the Toda-Yamamoto causality test was applied, it was determined that there was no causality from the renewable energy consumption rate to the Gross Domestic Product; A statistically significant causality was detected from Gross Domestic Product to renewable energy consumption rate.