Rethinking energy security in the condition of a rise in public-private partnership in energy : fresh insights from new estimation

Energy security (ES) needs large expenditures to provide a competitive alternative to fossil fuel energy, expedited by the rising demand for renewable energy, population increase, and rising energy consumption. Among all policy tools, public-private partnerships in energy (LPPPE) are essential to improve clean energy output. This article presents an empirical analysis of the influence of LPPPE on ES using various econometric techniques applied to data from 21 countries from 2014 to 2022. Our research consistently demonstrates the impact of LPPPE on ES. Our estimations reveal that countries adopting PPP policies in energy contribute significantly to ES, particularly through increased renewable energy consumption. However, our examination of the non-linear relationship between PPPE and ES indicates that some ES indicators decrease after the LPPPE value surpasses a certain threshold. To delve deeper into the role of LPPPE, we examine its short- and long-term influences on six dimensions of ES. Our findings suggest that LPPPE exerts a negative impact, potentially leading to prolonged ES challenges. Lastly, we explore the interactions between variables representing institutional quality and the influence of LPPPE on ES. Our results indicate that nations with well-established institutional frameworks might experience more pronounced favorable effects of LPPPE. Our findings suggest that improving energy efficiency extends the longevity of power sources and lessens dependency on inefficient financial investments. High energy efficiency increases the energy system's resilience by ensuring that systems with restricted funds continue functioning in the event of energy restrictions or global uncertainty.