Technological innovation to achieve sustainable development—Renewable energy technologies diffusion in developing countries

Abstract There is no dispute about the importance of speeding up the development, spread, and implementation of renewable energy technologies (RETs). RETs are the best means to address the current wasteful and dangerous effects of existing energy systems. In addition to the environmental aspects, the renewable energy industry is an exciting opportunity for investment. Nations that embrace the value of reinforcing renewables infrastructures will achieve competitive advantages in the worldwide marketplace. To accomplish that, however, one needs insight into the elements that make renewable energy development and diffusion move slowly. A variety of reasons causes the slow spread, but we would like to address the barriers from the economic theory perspective. Then, we will scrutinize the specific elements of the developing countries market that make the diffusion move slowly. We believe that by examining the factors that result in market failure and by taking into account the specific characteristics of the renewables industry, especially in developing countries, governments can enable their national infant market to be a competitor in the worldwide marketplace. To study the reason for the slow diffusion of RETs in developing countries, we need to examine the facts through the lens of the innovation system. The innovation ecosystem takes into account the socioeconomic factors that shape the capability for innovation in each specific country. This paper peered a meaningful link between innovation systems and the problem of poverty and inequality through a well‐researched and planned innovation system.