Are renewable energy sources advancing towards a sustainable society?

Abstract While renewable electricity is widely recognized as key to achieving climate goals, its broader contribution to a sustainable and just energy transition remains underexplored. Several studies assess the effect of renewables on individual outcomes, but few adopt an integrated approach that captures the multiple dimensions of environmental sustainability, social well-being, and economic development. This study addresses this gap by exploring the effects of renewable electricity expansion in five key indicators, serving as proxies of environmental, economic and social justice, within the EU-27 and UK from 2007–2022. The analysis employs panel data models with fixed effects, incorporating lagged values of renewable electricity generation by technology type to assess cross-country and temporal dynamics. Findings indicate renewable electricity reduces greenhouse gas emissions, confirming its climate mitigation potential, and contributes positively to economic growth and employment, with solar technologies showing the largest association with job creation, followed by wind. The analysis, however, finds no significant effect on income inequality (measured by Gini Index), and only marginal impacts on household electricity prices. These results suggest that while renewable deployment may advance environmental and economic goals, its contribution to greater social equity is less evident, underscoring the importance of policies that explicitly integrate decarbonization with distributive justice and affordability. Future research should further explore the differentiated social impacts of renewable deployment across income groups, and household types, providing a stronger empirical basis for designing energy transitions that are not only sustainable but also just.