ANALYZING THE ECONOMIC IMPACTS OF RENEWABLE ENERGY TRANSITION: INSIGHTS FROM GLOBAL PRACTICES

Abstract

The problem of energy security, as the basis for the uninterrupted functioning of the economy of any country, became particularly relevant when it became obvious that the world reserves of fossil resources, fuel, and thermal energy used for the production of electricity are running out. The purpose of the article: based on the study of the experience of foreign countries, to substantiate the connection between the use of renewable energy sources and the economic growth of the country. The methods of global approach, comparative and structural analysis, and synthesis were used in the research process. It has been established that positive economic transformations are characteristic of both developed economies and developing economies. It has been proven that economic growth with national energy autonomy (Iceland, Uruguay) contributes to the protection of the economy from external fluctuations in energy prices, guarantees the receipt of electricity at prices lower than the prices of energy produced from fossil sources. It is indicated that an important condition for the stable development of the economy during the transition of the energy industry to renewable energy sources is the absence of an additional financial burden for entrepreneurship. It is noted that in the event of the state's inability to independently implement the energy transition, it is advisable to involve large business and other participants on favorable contractual terms. It was found that this will contribute to the increase of investment flows in the development of renewable energy in the country. The possibilities of economic growth due to the transition of the energy industry to renewable energy sources are studied, including price advantages for energy and the possibility of exporting energy produced from renewable sources. The long-term connection between the use of renewable energy sources and the economic growth of the country will contribute to the accelerated development of renewable energy in Ukraine. Further scientific research will be conducted in the direction of forecasting the effect of the introduction of renewable energy.