What Political Settings Promote Renewable Energy Investments by Energy Utilities?-A Qualitative Comparative Analysis in Swiss Cantons

Investment decisions by power utilities significantly shape sustainable energy systems. While it is known that different political factors influence investment decisions, the interaction of these factors remains unclear. Using a fuzzy set qualitative comparative analysis of 22 cases in 19 Swiss cantons, this study analyses which combinations of political conditions promote investment decisions by utilities in renewable energies. The analysis reveals the significance of different combinations of political conditions. High investments in renewable energies can be explained above all by political settings in which high administrative capacity is linked to ambitious policy goals, to the considerable power of a parliamentary pro‐ecology coalition or to non‐privatized utilities. The results support other findings on the importance of complex governance settings with hierarchical elements. They raise further questions about the precise mechanisms that mediate between political conditions and investment decisions of energy utilities, and the role of public administrations in this respect.