OIL PRICE VOLATILITY AND SUSTAINABLE TRANSITION: A BEHAVIOURAL FINANCE PERSPECTIVE

Fluctuations in oil prices create serious uncertainty in the economy, affecting business decisions far beyond fuel purchases and consumption. Existing research on the shift to renewable energy remains framed largely in environmental and regulatory terms, leaving a gap in understanding the psychological and financial mechanisms that also drive this shift - a gap this paper addresses by asking whether oil price volatility itself functions as a behavioural driver of sustainable adoption among technology firms. Drawing on Behavioural Finance Theory, Prospect Theory, and Hedging Theory, the paper develops a conceptual framework linking oil price volatility to fear, loss aversion, and ambiguity aversion among decision makers, using Hyderabads technology corridor as an illustrative context. The approach is descriptive and theory-driven rather than statistical, synthesizing existing literature alongside a qualitative reading of sustainability awareness within Hyderabads technology sector.