Consumers’ intention-based influence factors of renewable energy adoption in Pakistan: a structural equation modeling approach

Abstract

As the adoption of renewable energy (RE) is a complex and intricate procedure affected by a wide range of factors, it prompts traction among researchers to examine these influence factors. The aim of this study is to scrutinize the factors affecting consumers’ intention to adopt RE for household use in Pakistan. The current research has contributed through expanding the structural framework of the theory of planned behavior by incorporating three novel factors (perception of self-effectiveness, perception of neighbor’s participation, and belief about RE benefits) to have a deep insight into the factors that motivate or inhibit consumers to adopt RE. Outcomes are based on the primary data compiled from 353 households in the five main cities of Pakistan accompanying an inclusive survey. The state-of-the-art structural equation modeling was utilized to test and analyze the proposed hypotheses. The results signify that the influencing factors such as perception of self-effectiveness, awareness of RE, and perception of neighbor’s participation impart a positive effect on consumers’ intention to adopt RE, whereas cost of RE generation has an opposite effect. Interestingly, environmental concern and belief about RE benefits found to have neutral effects. Research results emphasize the need to enhance public awareness, reform policy structure, transform social norms, and highlight the benefits that RE provides, all through an integrative and coherent way.