*2.2. Determinant Factor Analysis*

To investigate the e ffect of ICT capital share on productive performance indicators in the energy sector, panel regression analysis is applied. Four performance indicators are regressed on the seven determinant factors (see Figure 2). In addition, the interaction terms of the ICT capital share and the renewable energy share to investigate the CP improvement e ffect. The specification for the regression is assumed to be that in Equation (2):

$$\text{Performance}^{j}\_{\text{it}} = \sum\_{k} \beta^{k}\_{1} \text{ICT}^{k}\_{\text{it}} + \sum\_{k} \beta^{k}\_{2} (\text{I} \text{CT}^{k}\_{\text{it}} \times \text{Rener}able\_{\text{it}}) + \mathbf{X}\mathfrak{B} + \mu\_{\text{t}} + \delta\_{\text{i}} + \varepsilon\_{\text{it}} \tag{10}$$

The subscripts *i*, *t*, *j*, and *k* represent the country, time, type of performance indicator, and type of *ICT* capital, respectively, whereas β1, β2, and β are the coe fficient parameters. To capture the (42)

Japan, Korea, Latvia, Lithuania,

United States

Romania, Russia, Slovakia, Slovenia,

characteristics of the energy sector in each country, the control variable vector **X** was incorporated into the models. μ*t* and δ*i* are unobserved time- and country-specific fixed effects, respectively. ε*it* is an idiosyncratic error term.
