Assessing the role of government ideology in renewable energy production: Panel quantile regression evidence from the EU-27

This paper examines the influence of government ideology on renewable energy production in the European Union (EU-27) between 1990 and 2021. While earlier studies focused mainly on economic, technical, and institutional factors, the political orientation of governments has been largely neglected. Using panel quantile regression, we assess the impact of right-, left-, and center-wing parties on renewable energy supply. The results show that stronger representation of right-wing parties is consistently associated with lower renewable energy output, whereas left-wing governments promote greater adoption, particularly in countries with lower levels of renewable production. No significant effect is observed for centrist governments. Among the control variables, inflation, energy use, and technological progress exhibit positive effects, while CO2 emissions reduce renewable energy production. Contrary to the resource curse hypothesis, natural resource rents contribute positively, reflecting the role of EU policy frameworks in channeling revenues toward clean energy. Overall, the findings underscore that government ideology, alongside macroeconomic and structural conditions, is a key determinant of renewable energy transitions in the EU.