Open Access

Reassessing Germany’s energy transition: The role of energy R&D and population ageing in shaping the load capacity factor

1 Department of Economics, Hakkari University, Hakkari, 30000, Türkiye ROR

Abstract

Environmental (ENV) concerns now occupy a central position in policy agendas alongside countries’ economic objectives. Achieving the Sustainable Development Goals (SDGs), with a particular focus on affordable and clean energy, requires redirecting investments toward clean energy technologies and scaling them effectively. This study assesses ENV sustainability in Germany through the Load Capacity Factor (LCF) and investigates the technology and innovation dimension of the energy transition by integrating energy-type-specific R&D budgets (fossil, renewable, and nuclear) with demographic ageing dynamics. The analysis utilizes annual data for 1974–2023, including LCF, GDP, fossil/REN/NUC energy R&D expenditures, and the population aged 65 and over, and examines both long- and short-run relationships using the ARDL bounds testing approach and an error correction model (ECM). The results confirm the existence of a long-run cointegration relationship among the variables and indicate that GDP significantly reduces LCF in the long run. Similarly, fossil energy R&D exerts a negative effect on LCF, and population ageing is found to weaken ecological sustainability. In contrast, REN and NUC energy R&D expenditures significantly increase LCF, suggesting that clean energy innovation functions as a reinforcing channel for ecological balance. Accordingly, the findings imply the gradual reduction of fossil-oriented R&D and incentives, the expansion of REN and NUC R&D funding, and the management of ageing-induced health and care demand in alignment with green transition standards.

Keywords

How to Cite

Polat, I. H. (2026). Reassessing Germany’s energy transition: The role of energy R&D and population ageing in shaping the load capacity factor. International Journal of Eurasia Social Sciences, 17(64), 504–519. https://doi.org/10.70736/ijoess.2300

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