Why does renewable energy diffuse so slowly? A review of innovation system problems

Abstract

In this paper we present a literature review of studies that have analysed the troublesome trajectory of different renewable energy technologies (RETs) development and diffusion in different, mainly European countries. We present an overview of typical systemic problems in the development of innovation systems around RETs. We make use of the literature on innovation system failures to develop a categorisation of typical systemic problems that hamper the development and diffusion of RETs. Based on this categorisation the paper suggests several policy recommendations to overcome the systemic problems and accelerate the diffusion and implementation of RETs.

The Spanish Turn against Renewable Energy Development

“…This type of strategy which can include various distinctions such as instrumental, discursive, material, and institutional forms of power, has been reported within the MLP, for the case of the UK [73]. We showed that although renewables no longer need a protected space for niche developments, they do need a fair framework in order to strengthen the key processes (functions) of their innovation system [74,75]. All these developments have taken place despite EU and international efforts to increase energy efficiency and accelerate a transition to RES in order to reduce greenhouse gas emissions.…”

Learning to shield – Policy learning in socio-technical transitions

“…The sustainability of policies is subject to political changes, limited resources or changes in narratives that uphold niche protection. Literature concerned with socio-technical transitions has often concluded that instable policies were to blame for the failure or slow pace of sustainability transitions (Negro et al 2012). Our cases show that policymakers are not the only one to blame, since policy making is an interactive process of negotiations and, perhaps most of all, of learning between niche insiders and outsiders.…”

“…The question, obviously, is when protection can be reduced or removed, which entails a balancing act. Protection may be removed too early leading to collapsing transition trajectories (Negro et al 2012), whereas protection being removed too late may produce 'lazy' actors (Nill and Kemp 2009). Fourth, several tools can be employed to provide protection.…”

Innovation in the European Energy Sector and Regulatory Responses to It: Guest Editorial Note

“…Innovation in this sector used to be characterized as mostly incremental and top-down, while introduction of most renewable energy technologies underwent troublesome trajectories [1]. With the increasing tempo in which innovations in technology and markets occur, catalysed inter alia by the energy transition and accompanied by new formats of innovation (disruptive and bottom-up), the question arises whether existing regulatory frameworks sufficiently allow for such innovation and support its further development.…”