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Better Policies to Support Eco-innovation

OECD Studies on Environmental Innovation

This report takes a pragmatic approach to policies that support the development and diffusion of eco-innovation. Building on the OECD Innovation Strategy, it argues that eco-innovation is not merely about technological developments: non-technical innovations matter as well. It acknowledges that policies do not operate in a vacuum and that they must take account of the contexts that influence the development and diffusion of eco-innovation, such as market structures. It explores links between eco-innovation policies and related fields such as industry, competition, and international cooperation.

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Eco-innovation is more important than ever on the public policy agenda. It is a major driver for green growth and contributes to the environmental performance and economic development of OECD and developing countries alike.

This work builds on an OECD inventory of eco-innovation policies in OECD countries and in China. It also draws on studies of select environment-friendly innovations, highlighting different patterns of development across countries. It also incorporates extensive international consultation on the topics of eco-innovation and green growth.

The results from this publication will contribute to the Green Growth Strategy being developed by the OECD as a practical policy package for governments to harness the potential of greener growth.

Table of contents

Acronyms and abbreviations

Executive summary

Resume

Part I. Policy issues for eco-innovation: An overview

Introduction

Chapter 1 Towards eco-innovation: The role of policy

The value of a strategic approach: Eco-innovation roadmaps

Combining technical and non-technical innovation: From clean technologies to eco-innovation

Joining up an array of policies: Co-ordination needs

The role of public-private partnerships

New models for technology transfer

Notes

Annex 1.A1 Methodology for assessing eco-innovation roadmaps under the European Union’s Environmental Technology Action Plan

References

Part II Case studies on selected eco-innovations

Chapter 2 Combined heat and power: Policies in Germany and Canada

Introduction

The technological and competitive environment

Market, utility and demand characteristics for CHP

Main challenges faced by CHP technologies

Domestic public policies for CHP

Conclusion

References

Chapter 3 Micro combined heat and power generation: Policies in Germany

Micro-CHP fuel cell technologies, markets and industry

The deployment of micro-CHP fuel cells in Germany

The main drivers affecting micro-CHP fuel cell deployment

Notes

Annex 3.A1 List of interviews

Annex 3.A2 The added value of micro-CHP fuel cells

Annex 3.A3 Leading countries in FC-based micro-CHP

Notes

References

Chapter 4 Carbon capture and storage: Policies in Germany and Canada

Introduction

The technological and competitive environment

Market, utility and demand characteristics for CCS eco-innovation

Main challenges faced by CCS eco-innovation

Domestic public policies for CCS

Conclusion: The role of initial conditions in policy orientations and timing

References

Chapter 5 Electric cars: Policies in Canada, France and Germany

Introduction

Technological and competitive environment for electric vehicles

Market, utility and demand characteristics for electric cars

Main challenges faced by electric cars

National public policies for electric cars

Conclusion

References

Chapter 6 Biopackaging: What role for public policy?

Introduction

Benefits of biopackaging eco-innovation

Biopackaging market prospects limited to niche segments according to the industry

The pending issue of the management of biopackaging waste and recycling

Conclusion

References

Chapter 7 Solar tiles in Portugal: Linking research and industry

Introduction

The Solar Tiles Consortium

Basics of the technology

Eco-innovation in Portugal

Public strategy and modes of intervention

Prospects for the future

Lessons learned

Notes

References

Part III Case studies on selected public-private partnerships for eco-innovation .1

Chapter 8 The UK Carbon Trust: A public-private partnership for eco-innovation. 243

Rationale and objectives

Organisation and governance relations

Budget and financial arrangements

Main types of activity

External co-ordination and coherence.

Main findings and lessons learned

Note

Annex 8.A1 List of interviews

References

Chapter 9 Sustainable Development Technology Canada: The public-private partnership potential

Introduction

An instrument framed for the specific features of eco-innovation?

A coherent and articulated investment strategy for eco-innovation

Public-private partnerships versus alternative instruments to stimulate and support eco-innovation

How does SDTC cope with the usual criticisms addressed to PPPs?

References

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