Energy diplomacy and its influence on renewable energy adoption and global energy transition

Energy is central to economic development and societal advancement. As the world shifts from fossil fuels to renewable energy sources, diplomacy becomes vital in navigating the geopolitical, economic, and technological implications of this transition [27, 91]. According to Griffiths [33], energy diplomacy leverages foreign policy tools to foster international cooperation, secure energy resources, and address climate change. Among the foreign policy tools that can be leveraged to support a country in managing the geopolitical consequences of an energy transition, diplomacy is one of the most important [36, 37].

Energy diplomacy encompasses the foreign policy actions and collaborative efforts of states and non-state actors aimed at securing energy interests and promoting sustainable development [18]. It is increasingly recognized as essential for navigating the complexities of the global energy transition and ensuring equitable access to clean energy. This review explores the multifaceted role of energy diplomacy in advancing the renewable energy agenda, highlighting its drivers, benefits, challenges, and the critical importance of coordinated global action.

It primarily reflects the dynamics of global energy diplomacy and renewable energy transition up to the pre-2025 period. Developments occurring beyond this timeframe are not extensively discussed, as the objective is to synthesise peer-reviewed studies and policy frameworks available within this temporal scope.

1.1 Energy diplomacy

The concept of energy diplomacy emerged prominently during the global oil crises of the 1970s, particularly as the Organization of the Petroleum Exporting Countries (OPEC) nations asserted their influence on global oil markets and the United States sought greater energy independence [23]. During this period, diplomatic strategies were employed not only to secure energy supplies but also to manage geopolitical tensions tied to energy flows, especially in the context of Cold War dynamics between the Soviet Union and its satellite states [50].

Historically centered on fossil fuel securitization, energy diplomacy has since evolved into a broader framework encompassing international cooperation on renewable energy, technological collaboration, and sustainable investment [53]. Although a universally accepted definition remains elusive, energy diplomacy generally refers to a country’s use of foreign policy tools to secure energy interests, promote global energy trade, and influence international energy policies.

In today’s world, marked by a growing transition toward clean energy, diplomatic engagement is essential to align national goals with global climate targets, resolve resource dependencies, and ensure inclusive participation in the energy transition [74]. Effective multilateral diplomacy will be key to overcoming barriers and realizing a globally integrated, low-carbon energy system.

1.2 Global energy governance

According to Florini and Sovacool [30], global energy governance is perhaps the most important form of multilateral diplomacy for a large-scale energy system transformation as it seeks to ensure on a global scale security of energy supply and demand, economic development, international security, environmental sustainability and domestic good governance. Global energy governance is particularly challenging, however, because energy governance most often lies within national borders [8]. This bounded notion of energy governance creates a “paradox of sovereignty” whereby countries fail to act collectively despite the fact that globalization of energy markets increasingly diminishes their control over their individual energy interests [32, 33].

1.3 Energy transition

The gradual replacement of current energy sources and technologies with ones that have better technical, social, economic, and physical qualities is known as the energy transition. Globally, efforts to replace fossil fuels with renewable energy depend on diplomatic processes that persuade disputing parties to work together [22]. Presently, 25% of the world’s electricity is generated by renewable energy, and this percentage is still growing annually as stated by Bera et al. [11]. Forecasting the full scope and speed of the transition to a low-carbon energy system remains complex, influenced by a variety of socio-political dynamics. However, emerging trends suggest a substantial rise in renewable energy use within the power sector by mid-century, alongside notable progress in the electrification of transportation [11, 67].

The growing urgency to transition toward cleaner energy sources has brought energy diplomacy to the forefront of global discourse [33]. As nations grapple with the dual challenges of climate change and energy security, diplomatic engagements have become essential in shaping energy policies, facilitating cross-border cooperation, and fostering innovation [14].

Beyond descriptive cooperation, energy diplomacy serves as a strategic mechanism linking international agreements to measurable policy outcomes. For instance, climate-focused diplomacy under the Paris Agreement has driven national commitments that directly translate into expanded renewable capacity and emission reductions [60]. Similarly, bilateral partnerships such as the EU–China Renewable Energy Collaboration have demonstrably increased joint solar and wind investments, showing that diplomatic engagement can yield tangible decarbonisation outcomes [97]. Thus, diplomacy functions not merely as a channel for dialogue but as a catalyst aligning domestic policy instruments with global climate goals.

Several key drivers underpin the rising importance of energy diplomacy in the renewable energy landscape. These drivers not only influence national strategies but also shape the broader trajectory of the global energy transition.

2.1 Climate change and sustainability goals

Climate change remains one of the most pressing global challenges of the twenty-first century, driven largely by human activities such as fossil fuel combustion, deforestation, and industrial processes [25]. According to the Intergovernmental Panel on Climate Change (IPCC), global temperatures have risen by approximately 1.1 °C since pre-industrial times. This warming has led to increasingly severe climate impacts, including heatwaves, hurricanes, wildfires, rising sea levels, and melting ice caps, threatening ecosystems, biodiversity, and human livelihoods [92].

The consequences of climate change disproportionately affect the poorest and most vulnerable populations, making it the greatest threat to global sustainable development. In response, governments, international organizations, and individuals have set ambitious sustainability goals aimed at reducing emissions and promoting cleaner alternatives. The United Nations Sustainable Development Goals (SDGs) adopted in 2015, directly address climate and environmental sustainability. SDG 7 promotes affordable and clean energy, SDG 11 targets sustainable cities, and SDG 13 calls for urgent climate action [80].

Three post-2015 global agendas, the Paris Agreement, the 2030 Agenda for Sustainable Development, and the Sendai Framework for Disaster Risk Reduction, form the foundation for coordinated climate and energy action [15, 55]. The Paris Agreement, in particular, seeks to limit global temperature rise to well below 2 °C, with efforts to keep it under 1.5 °C. Achieving this goal requires urgent emission reductions and increased resilience, particularly through support for developing countries [60].

Transitioning to renewable energy, such as solar, wind, and hydroelectric power, is central to climate mitigation. Cebulla and Jacobson [17] emphasize that a full transition to renewables by 2050 could drastically reduce global greenhouse gas emissions. Complementary strategies such as reforestation, energy efficiency, and waste reduction further support environmental goals. Beyond institutional actions, individual behaviour also plays a crucial role. As Steffen [81] states, collective behavioural shifts, like reduced energy consumption and sustainable consumption patterns, can significantly lower carbon footprints. Public education and awareness campaigns are vital in driving this transition [14].

2.2 Energy security

Energy security, as used in this review, refers to the uninterrupted availability of energy resources at an affordable cost [40]. In the context of energy diplomacy, it extends beyond domestic supply stability to include the cooperative and strategic efforts of nations to reduce vulnerability to market volatility and geopolitical disruptions. Diplomatic engagement contributes to energy security by facilitating diversification of supply chains, promoting cross-border energy trade, and building resilience through long-term international agreements and shared infrastructure development.

The global energy landscape is undergoing a transformative shift as countries increasingly embrace renewable energy to reduce dependence on fossil fuels and ensure stable energy supplies. This transition not only addresses climate change but also enhances economic resilience and national security [49]. Fossil fuels have historically accounted for over 80% of the global energy supply and have contributed to more than 75% of greenhouse gas emissions. This dependency not only contributes to environmental degradation but also exposes nations to volatile energy markets and geopolitical risks [24].

Renewable energy sources such as solar, wind, hydro, and geothermal offer cleaner, abundant, and locally available alternatives. Renewables play a key role in stabilizing energy systems by diversifying supply sources and reducing overreliance on imports. This diversification buffers nations against supply disruptions and strengthens energy security [13]. Furthermore, the renewable energy transition drives economic development. The International Energy Agency (IEA) estimates that achieving net-zero emissions by 2050 could create over 14 million clean energy jobs globally, resulting in a net employment gain of 9 million [9].

Technological innovations have further enhanced the reliability of renewable energy. Energy storage solutions, such as advanced battery systems, address intermittency issues by storing excess power for use during low-generation periods [20]. Smart grids and AI-driven energy management systems are improving electricity distribution and grid efficiency, while emerging solutions like green hydrogen provide new opportunities for storing and transporting clean energy [66]. Beyond environmental benefits, the shift to renewables also offers significant economic advantages.

The cost of solar electricity dropped by 85% between 2010 and 2020, making it the most affordable power source in many regions [77]. This enhances energy independence and geopolitical stability. Local generation reduces reliance on external suppliers and buffers economies against market shocks, supply chain disruptions, and political conflicts [9]. Moreover, the decentralized nature of renewables, such as rooftop solar and community wind projects, allows flexible, scalable solutions suited to both urban and rural contexts, strengthening energy resilience worldwide [36, 37].

Collectively, these diplomatic and policy interactions enhance national and global energy security by mitigating exposure to single-source dependencies and aligning shared security objectives with renewable energy expansion.

2.3 Technological innovation

Technological innovation in renewable energy is critical for addressing global energy challenges and mitigating climate change. However, the development and diffusion of renewable energy technologies require strong collaboration among governments, private industries, research institutions, and international organizations. Joint efforts in research, funding, and knowledge sharing can accelerate advancements in clean energy, reduce costs, and ensure widespread access to sustainable energy solutions [57].

Collaborative research and development (R&D) significantly accelerates breakthroughs in renewable energy technologies such as solar panels, wind turbines, and battery storage systems. Pooling resources and expertise through joint initiatives enables faster innovation and deployment. The International Energy Agency (IEA) underscores the importance of international partnerships, noting, “No single country or company can solve the clean energy challenge alone” [39].

Initiatives like the Clean Energy Ministerial and Mission Innovation bring together governments and industry leaders to fund cutting-edge solutions. Academic-industry partnerships also play a vital role. Joint research between universities and corporations has led to improvements in solar photovoltaic efficiency and next-generation wind energy technologies [73].

2.4 Economic incentives

Public–private partnerships (PPPs) have been central to advancing renewable energy infrastructure by combining public oversight with private capital and expertise. In the United States, PPPs have leveraged government incentives to stimulate private investment in clean energy technologies [82]. Similarly, Nigeria has promoted PPPs to mobilize funding for renewable energy projects, aiming to diversify its energy mix and improve electricity access in underserved communities [45]. Global trade agreements are also shaping renewable energy development.

The African Continental Free Trade Area (AfCFTA), launched in 2019, aims to eliminate tariffs and attract investment, thereby enhancing cross-border renewable energy infrastructure and intra-African trade [3]. Countries like South Africa, Nigeria, and Egypt are leveraging this framework to expand renewable energy exports [83]. France and Morocco have deepened trade ties through investments worth €10 billion in projects including green hydrogen and wind energy, highlighting Morocco’s leadership in clean energy development [66].

China and Saudi Arabia have shifted their economic relationship from oil-based trade to green technology collaboration. Chinese investments now support Saudi Arabia’s Vision 2030 goal of transitioning to renewables [4]. The Australia-India Economic Cooperation and Trade Agreement (ECTA), effective since 2022, is another example of trade-driven renewable energy partnerships. It supports India’s green energy ambitions while leveraging Australia’s expertise in clean technologies [62].

These partnerships have far-reaching impacts, which include:

• Economic Growth and Job Creation: Clean energy investments generate millions of jobs in manufacturing, construction, and maintenance, fuelling global economic development [41, 42].
• Energy Security: Renewables reduce dependence on fossil fuels and enhance national resilience by diversifying supply sources and stabilising markets (UNDP 2022) [93, 94].
• Technological Advancement: Cross-border trade fosters innovation and accelerates the development of cost-effective clean energy solutions through shared R&D initiatives [39, 70, 71].
• Environmental Benefits: Scaling up renewable energy deployment significantly cuts carbon emissions, supports global climate goals, and advances the Paris Agreement targets [38, 86, 87].

Collectively, these outcomes illustrate the tangible benefits of diplomacy-driven economic cooperation in accelerating the global energy transition.

The governance of global energy diplomacy involves a complex web of institutions, regional alliances, and non-state actors that interact to shape energy policy, financing, and technological cooperation. For clarity, these stakeholders can be broadly categorised into three groups: (1) multilateral institutions that set norms and provide policy direction; (2) regional alliances and blocs that coordinate collective strategies; and (3) non-state actors that drive innovation, advocacy, and investment.

The United Nations (UN), International Energy Agency (IEA), International Renewable Energy Agency (IRENA), and other key international organizations play essential roles in shaping global energy diplomacy [65, 89]. Their work involves setting policies, fostering international cooperation, mobilizing resources, and ensuring a sustainable energy transition worldwide. These organizations serve as platforms for negotiation, research, and implementation of energy strategies that affect governments, industries, and people across the globe.

3.1 Multilateral institutions

Multilateral institutions such as the United Nations, International Energy Agency (IEA), and International Renewable Energy Agency (IRENA) serve as the backbone of global energy governance. These organisations coordinate policy, facilitate technology transfer, and mobilise financial resources to advance the renewable energy transition. Development banks such as the World Bank and African Development Bank complement these efforts through infrastructure financing and capacity building, particularly in developing economies.

The United Nations (UN) is at the heart of global discussions on energy sustainability, climate change, and international cooperation. Through frameworks such as the Sustainable Development Goals (SDGs), particularly SDG 7, which focuses on Affordable and Clean Energy, the UN, encourages countries to expand access to energy while ensuring environmental responsibility [12, 26].

One of the most influential UN-led initiatives in energy diplomacy is the United Nations Framework Convention on Climate Change (UNFCCC). This body organizes the Conference of the Parties (COP) summits, where world leaders gather annually to negotiate climate policies, including energy transition strategies. Agreements such as the Paris Agreement, adopted at COP21 in 2015, commit nations to reducing carbon emissions, shifting toward renewable energy, and enhancing energy efficiency [21]. The UN Development Programme (UNDP) and UN Environment Programme (UNEP) also contribute to energy diplomacy by supporting developing nations with technical expertise, funding, and policy guidance. They assist governments in creating regulatory environments that promote clean energy investment and sustainable economic growth [16, 85].

The IEA is a highly influential organization that provides critical data, research, and policy recommendations to governments worldwide. Originally established in response to the 1973 oil crisis, the IEA now focuses on ensuring global energy security, economic growth, and environmental sustainability [65]. One of the agency’s key contributions to energy diplomacy is its World Energy Outlook (WEO) report, published annually.

This report provides comprehensive insights into global energy trends, investment needs, and policy recommendations. Governments use this data to shape their national energy strategies [51]. The IEA also leads discussions on energy security, particularly regarding oil and gas supplies, renewable energy adoption, and electricity grid resilience. For example, in response to geopolitical tensions and supply chain disruptions, the IEA advises nations on emergency preparedness and alternative energy sourcing [96]. Additionally, the IEA facilitates international collaborations through initiatives such as the Clean Energy Ministerial (CEM) and the Technology Collaboration Programme (TCP). These platforms bring together policymakers, businesses, and researchers to advance clean energy technologies and share best practices [89].

The International Renewable Energy Agency (IRENA) is a specialized intergovernmental organization dedicated to promoting the widespread adoption of renewable energy. With over 160 member countries, IRENA plays a key role in helping nations transition away from fossil fuels [72]. One of IRENA’s primary functions is providing technical expertise and policy guidance to countries seeking to increase their use of renewables. Through reports like the Global Energy Transformation: A Roadmap to 2050, IRENA outlines the steps required to achieve a clean energy future, including investment needs, infrastructure development, and policy adjustments [31].

IRENA also actively supports developing nations in securing financing for renewable energy projects. It collaborates with organizations like the Green Climate Fund (GCF) and the World Bank to mobilize resources for solar, wind, and hydropower initiatives [5]. A major area of focus for IRENA in recent years has been green hydrogen. Through initiatives such as the Collaborative Framework on Green Hydrogen, the agency works with governments and private sector leaders to develop the hydrogen economy, which has the potential to revolutionize energy storage and transportation [31, 66].

The World Bank plays also take part in energy diplomacy by financing large-scale energy projects, particularly in developing countries [30, 33]. It provides loans and grants to governments for building renewable energy infrastructure, expanding electricity access, and improving energy efficiency [30]. One of the World Bank’s key initiatives is the Energy Sector Management Assistance Program (ESMAP), which supports countries in developing policies and investment strategies for clean energy.

Additionally, the Scaling Solar Program helps governments attract private investment into solar power projects by offering risk mitigation tools and financial guarantees [54]. In recent years, the World Bank has emphasized ending fossil fuel financing and redirecting funds toward renewable energy. However, this shift has sparked debates, especially in energy-poor nations that still rely on traditional energy sources for economic development [44].

The African Development Bank (AfDB) is at the forefront of efforts to expand electricity access across the African continent. Many African nations face significant energy poverty, with millions of people lacking reliable electricity [68]. The AfDB works to address this through investments in solar farms, hydropower plants, and energy grid expansion projects. One of the bank’s flagship initiatives is “Mission 300,” which aims to provide electricity to 300 million people in Africa by 2030.

This ambitious program is being carried out in collaboration with international partners such as the World Bank and the European Investment Bank [29]. The AfDB also supports regional power integration, helping African countries develop interconnected electricity grids. By facilitating cross-border electricity trade, the bank enables nations to share surplus energy, reducing reliance on expensive imports and improving energy security [44].

3.2 Regional alliances and blocs

Regional alliances and blocs, including the European Union (EU), African Union (AU), Gulf Cooperation Council (GCC), Association of Southeast Asian Nations (ASEAN), and the Organization of the Petroleum Exporting Countries (OPEC), play pivotal roles in shaping energy diplomacy at the continental and interregional levels [65]. The EU promotes climate-neutrality through policies like the Green Deal and Global Gateway Strategy, while the AU and GCC emphasise regional integration and investment in clean energy infrastructure. OPEC continues to influence global oil markets, underscoring the ongoing interplay between fossil fuel diplomacy and renewable energy transition.

The European Union (EU) has become a leading force in energy diplomacy through its Green Deal policy, which aims to make Europe climate-neutral by 2050 [65]. The EU’s Carbon Border Adjustment Mechanism (CBAM), which imposes carbon tariffs on imports, is influencing global trade and energy policies, pushing other countries to adopt greener practices. The EU is also heavily involved in renewable energy partnerships with Africa, Asia, and Latin America. Through the Global Gateway Strategy, the EU funds clean energy projects in developing nations, helping them transition away from fossil fuels [7].

While many organizations focus on renewable energy, OPEC remains a major player in global oil diplomacy. Made up of 13 oil-producing nations, OPEC influences oil prices and market stability through production quotas and policy agreements [23]. OPEC’s policies directly affect global energy security. For example, production cuts by OPEC members can lead to higher oil prices, affecting economic conditions worldwide. At the same time, the organization collaborates with non-OPEC oil producers, such as Russia, under the OPEC + agreement, which plays a key role in balancing supply and demand [64, 76].

Energy diplomacy has become an essential aspect of international relations, with national governments and regional alliances playing pivotal roles in shaping global energy strategies. Governments engage in bilateral and multilateral negotiations to secure energy supplies, promote renewable energy, and advance technological development. Countries like the United States, Russia, China, and Saudi Arabia strategically use their energy resources and diplomatic channels to influence global markets and foster partnerships. For instance, the U.S.-EU Energy Council promotes transatlantic cooperation, while China’s Belt and Road Initiative supports global energy infrastructure development [52].

Regional alliances also contribute significantly to energy diplomacy. The European Union, through its Energy Union strategy and initiatives like the Southern Gas Corridor, promotes energy security and sustainability among member states. The Gulf Cooperation Council (GCC) coordinates energy policies and invests in renewables, while the African Union (AU) drives regional energy integration and collaborates with agencies like IRENA to boost renewable energy adoption [75]. Similarly, ASEAN fosters regional energy connectivity through projects such as the ASEAN Power Grid. Together, these actors influence not only energy supply and market dynamics but also contribute to the global transition toward cleaner energy and climate resilience. Their collaboration in international forums reinforces the collective pursuit of sustainable energy solutions [31].

3.3 Non-governmental organisations and civil society

While energy diplomacy has traditionally been driven by state actors, non-state actors such as multinational corporations, NGOs, and civil society groups, now play a growing role in shaping global energy policies and advancing sustainability goals. These actors influence policy, drive innovation, and foster international cooperation. Multinational corporations like ExxonMobil, Shell, and Tesla significantly influence energy markets through investments, technological advancements, and advocacy. While ExxonMobil and Shell have historically shaped fossil fuel policy, companies like Tesla have pioneered clean energy solutions, influencing government support for electric vehicles and offshore wind development [58].

NGOs contribute by pushing for sustainable energy policies and holding governments accountable. Organizations like Greenpeace and the World Wildlife Fund (WWF) advocate for renewable energy transitions, influence policy decisions, and promote environmental conservation [61]. The International Energy Agency (IEA), though an intergovernmental body, collaborates with both public and private stakeholders to provide research-based energy policy guidance. Despite facing challenges such as political resistance and corporate conflicts of interest, non-state actors remain pivotal in achieving an inclusive and just energy transition. Their continued engagement ensures global energy governance is both participatory and aligned with climate and development objectives.

While energy diplomacy has the potential to drive global cooperation in the transition to renewable energy, several challenges hinder its effectiveness.

4.1 Geopolitical tensions

One of the major challenges to energy diplomacy is geopolitical tensions arising from competition over critical resources needed for renewable energy technologies. Rare earth metals, such as neodymium, dysprosium, and terbium, are essential for manufacturing wind turbines, electric vehicle batteries, and solar panels [48]. However, these resources are not evenly distributed across the world, leading to power struggles between countries that possess them and those that rely on imports. A significant issue is that a few countries control the majority of rare earth metal supplies.

China, for instance, dominates global rare earth production, accounting for nearly 60% of the world’s supply as of 2022 [90]. This dominance gives China significant leverage over other nations that depend on these metals for their renewable energy transitions. In past years, China has restricted exports of rare earth materials as a strategic tool in diplomatic disputes, highlighting the geopolitical risks involved [56]. Countries that rely heavily on Chinese exports, such as the United States, European nations, and Japan, face uncertainties that can disrupt their clean energy initiatives.

Resource nationalism is another challenge where countries with abundant rare earth metals impose strict regulations on exports to protect their economic interests. For example, Indonesia has implemented policies to restrict the export of nickel, a key element in battery production, to promote domestic industries [79].

Such policies can lead to trade conflicts, as importing nations struggle to secure a steady supply of necessary materials. Diplomatic tensions between major economies, such as the U.S.-China trade war, have also exacerbated competition over access to these resources (Zhang and Gallagher 2020). The extraction of rare earth metals poses significant environmental and ethical concerns. Mining these materials often leads to deforestation, soil degradation, and water pollution, raising global sustainability concerns [63]. Additionally, some mining operations, particularly in developing countries, have been linked to exploitative labor practices, further complicating international cooperation on energy diplomacy (Amnesty International 2020). Balancing the demand for rare earth metals with responsible sourcing practices remains a complex diplomatic challenge.

To address these geopolitical tensions, countries are exploring alternative solutions such as diversifying supply chains, investing in recycling technologies, and forming strategic alliances. The European Union, for example, has launched the European Raw Materials Alliance to reduce reliance on Chinese rare earth imports [28]. Additionally, the U.S. has sought partnerships with countries like Australia and Canada to secure alternative supply sources [35]. Strengthening international cooperation through agreements and multilateral dialogues is crucial to mitigating competition and ensuring a stable transition to renewable energy.

4.2 Policy misalignment

There is also the issue of misalignment between national interests and global agreements. While international frameworks aim to facilitate a coordinated transition to renewable energy, countries often prioritize their own economic and political interests, leading to conflicts that hinder cooperation. This misalignment complicates the implementation of global energy policies, slowing down efforts to combat climate change and achieve energy security.

Many nations develop energy policies based on domestic economic priorities, political ideologies, and resource availability [66]. However, these policies do not always align with global commitments such as the Paris Agreement, which seeks to limit global warming to below 2 °C above pre-industrial levels [88]. For example, despite international climate pledges, some major economies continue to invest heavily in fossil fuels to sustain economic growth and energy security [47]. This contradiction undermines global efforts to reduce greenhouse gas emissions and transition to renewable energy.

Governments often provide subsidies to traditional energy industries, making it difficult for renewable energy sources to compete. Despite international agreements advocating for reduced fossil fuel reliance, many countries still allocate substantial financial support to coal, oil, and gas industries [39]. For instance, in 2020, global fossil fuel subsidies amounted to over $450 billion, while renewable energy investments received significantly less funding [69].

These financial inconsistencies slow down the energy transition and pose challenges for diplomatic efforts to align national policies with global sustainability goals. To bridge the gap between national interests and global agreements, enhanced diplomatic mechanisms are necessary. Strengthening international institutions such as the International Renewable Energy Agency (IRENA) can facilitate better policy coordination and encourage compliance with climate goals [42]. Additionally, countries can adopt flexible policy frameworks that balance national priorities with global commitments, allowing for gradual but steady progress toward sustainability.

4.3 Technological and financial barriers

Another one of the major challenges to energy diplomacy is the disparity in access to technology and financial resources necessary for renewable energy development. While some countries have advanced technological capabilities and sufficient funding to drive the clean energy transition, others struggle due to economic constraints and limited access to cutting-edge innovations. These imbalances hinder global cooperation in energy diplomacy and slow down the worldwide shift to sustainable energy.

Advanced renewable energy technologies, such as high-efficiency solar panels, wind turbines, and smart grids, are primarily developed and produced in technologically advanced nations [34]. Countries like the United States, Germany, and China lead in clean energy innovation, while many developing nations lack the expertise and manufacturing capacity to produce or implement these technologies effectively [42].

This technological gap creates dependence on imports, increasing costs and limiting the ability of less developed nations to achieve energy self-sufficiency [19]. The transition to renewable energy requires substantial financial investment in infrastructure, research, and deployment. However, many developing countries face difficulties securing funding due to high capital costs, weak financial institutions, and perceived investment risks [94]. International financial mechanisms such as the Green Climate Fund aim to support energy projects in low-income countries, but bureaucratic challenges and insufficient funding often limit their effectiveness [86, 87]. As a result, countries with fewer financial resources struggle to scale up their renewable energy projects.

Although the costs of renewable technologies have been declining, the initial investment required for infrastructure remains a significant barrier. Establishing solar farms, wind parks, and energy storage facilities requires billions of dollars in investment, which is often out of reach for developing nations [39]. Furthermore, the lack of supportive policies, such as subsidies and tax incentives, in some countries makes renewable energy projects financially unviable compared to fossil fuel alternatives [82]. Programs like the International Solar Alliance and Africa Renewable Energy Initiative aim to support developing nations in building their clean energy capacity, but sustained diplomatic efforts are required for long-term success.

4.4 Equity and justice issues

The shift to renewable energy is vital for global sustainability, but unequal access to clean energy raises serious equity concerns. Developing countries often face financial, technological, and policy barriers, making it difficult to match the progress of wealthier nations. According to the IEA (2022), nearly 770 million people, mainly in Sub-Saharan Africa and South Asia, still lack electricity access, reinforcing global inequalities.

High upfront costs and reliance on foreign loans limit clean energy adoption in low-income countries, while energy poverty persists even within nations, disproportionately affecting marginalized communities. The principle of “common but differentiated responsibilities” under the Paris Agreement acknowledges these disparities, but practical implementation remains limited [78]. A just transition requires inclusive policies that create fair economic opportunities, particularly for workers displaced from fossil fuel industries.

Developing economies dependent on coal, oil, or gas risk economic instability without careful planning. International support (through grants, not loans) is essential to avoid exacerbating debt burdens. Initiatives like the Just Energy Transition Partnership (JETP) and policies promoting technology transfer, capacity building, and inclusive governance can bridge the energy divide and ensure a fair, resilient transition for all [10].

Energy diplomacy has proven to be a powerful tool in advancing the global renewable energy agenda. Through strategic cooperation, financial partnerships, and knowledge exchange, countries and regions have made significant progress in clean energy deployment. The following examples highlight key initiatives and the lessons they offer for future diplomacy-driven energy transitions.

5.1 International solar alliance (ISA)

The International Solar Alliance (ISA) is a landmark example of South–South energy diplomacy, initiated jointly by India and France in 2015 at the COP21 summit. Conceived as a coalition of nations situated between the Tropics of Cancer and Capricorn, the Alliance seeks to mobilise collective action to promote solar energy deployment, reduce financing barriers, and enhance technical capacity across the Global South. According to the International Solar Alliance (2022), the organisation now includes more than 100 signatory countries, representing a majority of the world’s solar-rich nations. The ISA’s diplomatic architecture rests on a multilateral negotiation framework that aligns national solar policies with global decarbonisation commitments, thereby transforming renewable cooperation into a key pillar of climate diplomacy [6].

Through initiatives such as the Solar Risk Mitigation Initiative (SRMI) and the One Sun, One World, One Grid (OSOWOG) programme, the ISA exemplifies how diplomacy can de-risk investment and harmonise policy environments across borders [46]. The SRMI, launched in collaboration with the World Bank and the African Development Bank, provides partial guarantees and insurance products to attract private capital to solar projects in developing economies [93–95]. Meanwhile, OSOWOG aims to establish an interconnected global grid for solar energy exchange, strengthening both energy access and security through transnational collaboration [40]. These initiatives highlight diplomacy’s role in translating political intent into technical and financial instruments that facilitate real-world outcomes.

However, the ISA has faced challenges typical of multilateral cooperation. Member states differ significantly in financial capacity, institutional readiness, and grid infrastructure. Some smaller economies struggle to meet the co-funding requirements for large-scale solar projects, while others face bureaucratic delays in implementing agreed frameworks [42]. Moreover, the geopolitical context of India’s leadership role introduces both strategic opportunities and sensitivities, as nations balance the benefits of cooperation with the need to preserve national sovereignty over energy systems [33].

Despite these complexities, the ISA has succeeded in mobilising over USD 10 billion in solar investment commitments and catalysing new partnerships between public and private stakeholders [43]. Its structure, rooted in mutual capacity building and shared technological development, illustrates that energy diplomacy can foster equity in global energy transitions by enabling developing nations to participate more effectively in the renewable economy. The ISA’s experience demonstrates that diplomatic coordination, when paired with financial innovation and trust-building, can transform renewable energy from a national policy issue into a global cooperative agenda [59].

The lessons learned from the ISA are stated below;

• Multilateral cooperation can accelerate clean energy access.
• Risk mitigation mechanisms attract private investments.
• Capacity building is vital for technology adoption in the Global South.

5.2 African renewable energy initiative (AREI)

The African Renewable Energy Initiative (AREI) represents a regionally anchored model of energy diplomacy designed to promote renewable energy deployment across the African continent. Established in 2015 under the political auspices of the African Union (AU) and endorsed by the G7 and the European Union, AREI aims to achieve at least 300 GW of renewable energy generation capacity in Africa by 2030 [2, 84]. It was conceived as a response to Africa’s dual challenge of energy poverty and climate vulnerability, recognising that a coordinated continental approach was needed to attract international support and financing.

AREI’s governance structure reflects Africa’s attempt to assert ownership of its clean energy transition through diplomacy. The initiative operates under a Board of Directors chaired by the African Union Commission and includes representatives from regional economic communities, development finance institutions, and donor countries. This multilevel arrangement allows African leaders to negotiate directly with global partners on investment priorities, ensuring that projects align with continental development goals rather than external agendas [1]. Such diplomatic assertiveness has helped reposition Africa as an active participant in global energy governance rather than a passive recipient of aid [29].

Concrete achievements underscore AREI’s potential. Between 2016 and 2022, the initiative facilitated financing commitments for more than 150 renewable energy projects across 45 countries, mobilising over USD 20 billion in pledged support [42]. These include large-scale solar parks in Egypt and Morocco, hydropower expansion in Ethiopia, and decentralised mini-grids in West and Central Africa. Through these activities, AREI has strengthened regional energy integration and helped diversify supply sources, advancing the continent’s energy security objectives [36, 37].

Yet, the path has not been without obstacles. Early tensions between African governments and European donors over governance transparency and control of project pipelines slowed implementation. Some projects suffered delays due to limited absorptive capacity, regulatory inconsistencies, and overlapping mandates among national and regional agencies [68]. These challenges reveal the delicate balance between regional ownership and international cooperation, a central issue in energy diplomacy.

Overall, AREI illustrates the power of regional diplomatic collaboration in turning political commitments into tangible outcomes. Its emphasis on continental ownership and inclusivity has provided a platform for aligning energy access, industrial policy, and climate mitigation under one vision. The initiative’s experience demonstrates that diplomacy is most effective when it operates as a partnership between equals, enabling both donor and recipient nations to co-create sustainable energy futures. From the AREI, it is seen that;

• Regional coordination enhances cross-border energy trade.
• Decentralized systems (mini-grids, off-grid solar) are critical in reaching rural communities.
• Strong local policy frameworks must complement international financial support.

5.3 EU–China renewable energy collaboration

The collaboration between the European Union (EU) and China stands as a leading example of energy diplomacy between major powers with differing governance models yet shared interests in renewable energy advancement. Rooted in the 2012 EU–China Energy Dialogue and expanded under the EU–China Energy Cooperation Platform (ECECP), this partnership seeks to promote technological exchange, joint research, and policy alignment in renewable energy, efficiency, and grid integration [28]. Through regular ministerial dialogues and joint working groups, both sides have cultivated a structured platform that facilitates information exchange and capacity building.

Diplomatically, the EU–China partnership operates as both cooperation and competition. On one hand, it has produced joint initiatives such as the EU–China Energy Roadmap 2050 and several projects under the Horizon 2020 and Horizon Europe frameworks [97]. These programmes have advanced shared R&D in wind turbine design, smart grid systems, and solar manufacturing, contributing to cost reductions and accelerated innovation [39]. On the other hand, trade disputes over photovoltaic tariffs and intellectual property occasionally test the durability of this collaboration [7]. Nevertheless, continued diplomatic engagement has ensured that energy cooperation remains insulated from broader political tensions.

This partnership has generated measurable outcomes. China has become the world’s largest producer of solar modules, while the EU remains a key market for renewable technology imports and innovation. Joint R&D programmes have facilitated technology transfer and training exchanges that directly contribute to global emission reduction goals [42]. Moreover, EU–China cooperation has expanded the policy space for climate leadership, as both actors coordinate positions in multilateral forums such as the UNFCCC and the G20 [28].

However, the partnership faces ongoing challenges in reconciling regulatory differences and ensuring mutual benefit. While the EU seeks to promote fair competition and environmental standards, China emphasises energy sovereignty and industrial competitiveness [33]. Sustained diplomatic negotiation has been required to navigate these divergences while maintaining shared focus on decarbonisation and global stability.

In sum, the EU–China renewable energy partnership illustrates how diplomacy among great powers can yield practical gains for the global transition despite strategic rivalry. Its experience shows that diplomacy’s greatest strength lies in its ability to transform competition into collaboration through institutionalised dialogue, technical exchange, and shared problem-solving.

5.4 Recommendations

To accelerate the global transition to renewable energy, energy diplomacy must evolve into a more inclusive, strategic, and cooperative mechanism. The following recommendations are proposed:

1. i.Strengthen Multilateral Institutions: Enhance the capacity and influence of global institutions like IRENA, IEA, and the UNFCCC in driving coordinated energy transition efforts.
2. ii.Promote Technology Transfer and Capacity Building: Facilitate equitable access to renewable technologies for developing nations through robust technology transfer frameworks and technical training.
3. iii.Establish Energy Diplomacy Frameworks: Countries should develop national energy diplomacy strategies aligned with global sustainability goals, emphasizing bilateral and regional cooperation.
4. iv.Scale up Financial Mechanisms: Expand international funding initiatives and incentives that support renewable energy infrastructure in low-income regions.
5. v.Foster Public–Private Partnerships: Leverage partnerships between governments and industry leaders to drive innovation, lower costs, and scale up renewable energy deployment.
6. vi.Mitigate Geopolitical Risks: Diversify critical material supply chains and invest in local resource development to minimize global market volatility and reduce resource nationalism.
7. vii.Align Policies with Climate Goals: Encourage policy harmonization across nations to ensure alignment with global climate commitments such as the Paris Agreement and SDGs.

Evidence from multilateral and regional initiatives indicates that energy diplomacy produces outcomes through three primary causal pathways: facilitating international financing, enabling technology transfer, and harmonising policy frameworks. These mechanisms collectively explain how diplomatic engagement transforms political consensus into tangible progress in climate mitigation, energy security, and economic stability.

Energy diplomacy plays a pivotal role in shaping the global energy transition, fostering collaboration, enhancing energy security, and addressing climate change challenges. As nations grapple with the multifaceted implications of decarbonisation, diplomacy has become an indispensable tool for negotiating shared energy goals, overcoming geopolitical barriers, and ensuring equitable access to clean energy technologies. Through coordinated actions among international organizations, national governments, regional alliances, and non-state actors, the path to a sustainable and inclusive energy future becomes attainable. While challenges such as resource nationalism, policy misalignment, and technological disparities persist, strategic diplomatic engagement, coupled with robust international cooperation, remains the cornerstone of a successful renewable energy transition. The pursuit of a just and resilient global energy system must continue to be driven by collaborative, forward-thinking diplomacy that prioritizes people, planet, and prosperity.