Navigating solar energy transitions in oil-rich countries at a time when increased energy demand, global warming, and the economic ramifications of fossil fuel consumption have prompted governments to pursue net-zero emission targets. In this context, renewable energy development is paramount, particularly in oil-rich nations within the MENA region.
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Image above is for illustration – courtesy of Kazinform
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Navigating solar energy transitions in oil-rich countries: A network-based study of collaborative governance in Iranbased study of collaborative governance in Iran
Science Direct Original research article
Abstractbased study of collaborative governance in Iran
Increased energy demand, global warming, and the economic ramifications of fossil fuel consumption have propelled governments toward achieving net-zero emission targets. In this context, renewable energy (RE) development is paramount, particularly in oil-rich nations within the Middle East and North Africa region. This research focuses on Iran, examining collaborative governance as a pivotal driver in the transition to solar energy (SE). The energy transition is an inherently complex and multifaceted process, fraught with numerous challenges, necessitating effective stakeholder collaboration. This study employs two-mode social network analysis (SNA) to analyze the structure of collaborative governance in Iran’s SE transition and to link existing obstacles to relevant stakeholders. Data were meticulously gathered through a comprehensive literature review, semi-structured interviews, expert surveys, and document analysis. The resulting network comprises 39 stakeholders across 11 categories, 16 key barriers within 5 classifications, and 92 interconnections among them. Furthermore, 12 fundamental challenges to collaborative governance were identified, indicative of institutional weaknesses and policy-level inconsistencies. Utilizing interactive models—specifically, challenge–stakeholder and challenge–barrier models—the role of each stakeholder in addressing challenges and their impact on existing barriers was thoroughly investigated. Findings reveal challenges such as power imbalance, lack of cooperation, fragmented rules and regulations across levels of governance, lack of coordination and institutional alignment, and the impact of administrative corruption on resource allocation in the SE transition. This research provides actionable insights for policymakers to design targeted interventions that strengthen collaborative governance and facilitate a more effective transition to SE in Iran.
Introduction
The Paris Agreement is designed to restrict the increase in worldwide temperatures to under 2 degrees Celsius [1]. Over 100 national governments have set, or are considering, net-zero emissions targets [2]. RE is among the most effective solutions for the continuously growing energy demand [3]. RE is increasingly competing with fossil fuels; however, it is becoming mainstream and relies on industrial and commercial development [4]. Most RE projects are located in developed countries. These countries often lack fossil fuel resources and are therefore compelled to utilize RE to fulfill their energy requirements across various sectors.
Given the increasing environmental concerns and the economic repercussions of rising oil and gas consumption, it is essential to adopt and expand RE in oil-rich countries, including many in the Middle East and North Africa (MENA) region [5]. In these countries, the transition to RE faces a unique set of barriers. These barriers stem from technical and financial constraints, structural dependencies on fossil fuel revenues, entrenched policy preferences, and geopolitical considerations [6,7]. Subsidies for fossil fuels, underdeveloped infrastructure, insufficient policy frameworks, and institutional stagnation collectively hinder the shift toward clean energy [[8], [9], [10], [11]].
Moreover, despite the region’s vast solar potential, RE projects are often deprioritized in favor of conventional energy sources. A critical shortcoming in the existing literature and policymaking approaches is the limited attention to stakeholder dynamics in overcoming barriers. Research treats barriers to RE in isolation, without accounting for the complex web of relationships among policy actors, institutions, and governance frameworks [12,13]. Identifying who these stakeholders are and how they are connected is crucial for designing effective energy transition policies.
Governance structures in oil-rich nations further complicate the deployment of SE. These systems are often hierarchical, centralized, and resistant to collaborative policymaking [14]. Political instability, budgetary constraints, and low institutional capacity limit the ability to formulate and implement inclusive energy strategies [15]. In such contexts, energy governance tends to be top-down, with limited room for innovation, dialogue, or stakeholder engagement, exacerbating existing barriers.
Collaborative governance has been proposed as a promising approach to overcome these limitations. Ansell and Gash [16] define collaborative governance as structured interactions among governmental and non-governmental actors to achieve consensus-driven policy outcomes. In the context of RE, this approach can enhance coordination, align priorities, and build trust among diverse stakeholders [18,19]. It emphasizes collaboration, transparency, and inclusivity in decision-making processes, particularly critical in fragmented and politically sensitive regions. A collaborative governance system involving diverse actors—governmental, non-governmental, and user groups—can effectively tackle unpredictable complexities [12]. Therefore, collaborative governance plays a vital role in ensuring the quality of the energy transition [19]. It highlights the importance of engaging with various stakeholders through diverse methods such as dialogue, consultation, negotiation, and more [20].
However, collaborative governance has challenges, especially in oil-rich rentier states. These challenges significantly impede SE development. For instance, they structurally perpetuate barriers to SE expansion through the mediation of unequal power dynamics, weak institutional coordination, and the exclusion of marginalized actors [21]. Furthermore, heterogeneity and unjust decision-making in policy and governance, coupled with structural inequalities in the distribution of energy infrastructure and services, contribute to disparities and, consequently, hidden barriers [22] to SE development. The absence of inclusive collaboration and stakeholder consultation is a governance challenge that hinders SE’s sustainable and effective development [23].
Previous studies have examined the challenges of collaborative governance [24], the organization of collaborative governance through stakeholder participation [25], and the barriers to collaborative governance [26] separately in the context of SE implementation [27]. However, the review highlights a significant gap in the theoretical literature regarding how collaborative governance challenges impact the barriers and various stakeholder relationships in SE development, particularly in oil-rich countries.
Iran, being one of the countries in the Middle East, has significant potential for harnessing RE such as SE. Despite having around 300 sunny days per year and being ranked among the sunniest regions in the world, SE holds only a minor share of Iran’s energy mix [28]. Iran’s government has a hierarchical structure that has not effectively addressed the challenge of utilizing its energy resources. The political discourse of the country has preferred fossil fuels as the primary source for meeting increasing electricity demand [29,30].
This study examined the governance structure impacting Iran’s SE generation through two-mode SNA. In particular, we address four interrelated research questions:
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Which stakeholders are involved in developing Iran’s SE?
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What are the barriers to SE development in Iran?
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What are the relationships between stakeholders and barriers at various levels?
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How do collaborative governance challenges impact the relationship between specific barriers and the engagement of various stakeholders in the SE transition process in Iran?
This study identifies stakeholders and barriers to the development of SE in Iran through a literature review and interviews with experts. Based on the data collected from expert questionnaires, a two-mode network model (barrier–stakeholder) was created to illustrate the power of stakeholders in a network relationship. Then, the challenges of collaborative governance in Iran were discussed based on expert interviews. Moreover, the mediating role of collaborative governance challenges in the interaction between barriers and the role of various stakeholders was analyzed.
We contribute to the energy transition literature in three key areas. First, we provide an overview of SE development stakeholders and barriers in Iran to illustrate the representation of various interests in the country. Second, by mapping the relationships between stakeholders and barriers, we analyze their interactions to understand each stakeholder’s role better. This is significant because researchers focusing on SE development in Iran have not yet provided a comprehensive overview of the country. Third, by examining the challenges of collaborative governance in RE in an oil-rich country, we contribute to the literature on transformative collaborative governance. This research elucidates how challenges in collaborative governance impact the barriers and various stakeholder relationships in SE development in Iran. The collaborative governance approach illustrates how specific stakeholders cannot influence SE not due to a lack of resources, but rather because of the restrictive governance structure.
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