Economic growth in developed and developing countries in the context of the transition to renewable energy sources

Today, economic development is inseparably linked with global environmental problems. So, the search for their solutions without adverse influence on economic growth became relevant. The energy transition can ambiguously affect the pace and dynamics of economic growth. The purpose of this work is to identify the influence of the dynamics of investment in renewable energy on economic growth for groups of developed and developing countries and verification of the following hypotheses: for developing countries, the growth of investments in the renewable energy stimulates economic growth. For developed countries, the growth of investments in the renewable energy inhibits economic growth. Research results: with an increase in the share of income invested in the capital of renewable energy by 1% in developed countries the rate of economic growth will decrease by 0.0001%; while in developing countries — will increase by 0.0001%. The indicated reduction in the rate of economic growth for developed countries can be considered as a “payment” for the preference of the future state of ecology before the current receipt of additional release. As for developing countries, the energy transition positively affects the pace of economic growth. The fourth energy transition is a solution for global environmental problems caused by the CO2 emissions. The fourth energy transition based on the expansion of renewable energy sources and the displacement of fossil fuel is necessary since it is important for sustainable development of current and future generations.