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THE IMPACT OF ENERGY EFFICIENCY ON CORPORATE PERFORMANCE OF LISTED COMPANIES IN EU
Last modified: 2024-05-30
Abstract
The paper analyzes the impact of energy efficiency mechanisms and iniaves on financialperformance of listed companies from EU. The research use predominantly industrial companies whichface two important specifics from the perspecve of energy: first, such companies are important pollutersand second these companies have energy intensive business models. For this reason, data is extractedfrom Thomson Reuters Refiniv Eikon where we combine corporate ESG, financial and capital marketsinformaon. Thus, the energy efficiency mechanisms are represented through corporate engagement andadherence to regulatory frameworks for energy efficiency, and corporate commitment to energy efficiencytargets. To address the research topic, we employed mulple regression methods for data analysis andfound that energy efficiency mechanisms significantly impact the financial performance of EU listedindustrial companies. Furthermore, in the analysis we included the usage of renewable energy resourcesto show how companies can increase their compeveness through sustainability iniaves andaddional to create added value for the investors. Our findings help to underline and sustain theimportance of the posive effects of the energy efficiency undertakings on the organisaonal performancefor the EU listed companies which in parallel brings a posive impact on the environment and increase thecorporate sustainability performance.
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