The Political Economy of Energy Transitions and the Role of Fusion in the Climate Change Debate

Abstract

This article examines the political economy of energy transitions with a particular focus on the role of nuclear fusion in the climate change debate. Drawing on an ideas–interests–institutions framework, the analysis investigates how fusion is integrated into national decarbonisation pathways in the United Kingdom and the United States. The study combines a documentary analysis of 28 policy documents with 22 semi-structured interviews, which were coded manually using thematic content analysis. Findings show that although both countries demonstrate strong commitments to decarbonisation, their institutional architectures differ markedly: the United Kingdom relies on State-led coordination whereas the United States emphasises private-sector innovation. These structural variations shape stakeholder power, investment patterns, regulatory clarity, and social acceptance. Fusion’s growing presence within policy discourse, especially after COP26, illustrates its symbolic and strategic significance for long-term climate governance. The study concludes that fusion’s political prospects depend not only on technological progress but on the alignment of institutional incentives and stakeholder interests, demonstrating the need for a multidisciplinary governance approach to support its potential as a low-carbon energy source.