Renewable energy in Turkey: Great potential, low but increasing utilization, and an empirical analysis on renewable energy-growth nexus

This paper aims to investigate whether renewable energy consumption raises GDP in Turkey. For this purpose, the paper uses data spanning the period 1990-2015 and employs cointegration and causality tests which can present efficient output in small samples. The findings indicate that GDP is not related to renewable energy consumption and there is no causality between GDP and renewable energy consumption in Turkey. In conclusion, the paper argues that these findings may stem from the low share of renewable energy in total energy and Turkey needs to utilize renewable energy sources further to (i) meet energy needs for economic activities, (ii) mitigate environmental problems, and (iii) reduce energy import dependency and current account imbalances.