The Impact of Economic Growth, Trade Openness and Technological Progress on Renewable Energy Use in Turkey: Fourier EG Cointegration Approach

In 2019, Turkey's total energy imports increased by 287.60%, total GDP increased by 245.44%, and total renewable energy use increased by 774.26%, compared to 1990. Therefore, this study differs investigating the factors affecting the increase in renewable energy use, which is very important for energy importer Turkey in reducing foreign dependency in the field of energy. Unlike other studies, it also reveals that the long-term relationship that does not appear with a traditional test is revealed with current tests. For this, the variables of economic growth, trade openness and technological progress, and renewable energy use are analyzed with annual data for the period 1990-2019. First of all, the stationarity of the variables is investigated with standard ADF and Fourier-ADF tests. Then, the long-term relationship is investigated with cointegration tests. The research findings showed that there was no long-term relationship between the variables according to the traditional Engle-Granger cointegration test but according to the Fourier Engle-Granger and multiple structural break cointegration tests. According to the long-term coefficient estimation results, it has been obtained that economic growth and technological progress are important in increasing the use of renewable energy for Turkey.