Transcript International Benchmarking as a Policy Learning Tool

Master Science in Engineering Policy and Technology Management
Innovation and Technology Transfer
Technology and Environmental Policy:
Innovation Effects of Past Policies and
Suggestions for Improvement
René Kemp
14 February 2003
Perform by: Duarte Trindade; Pedro Leal
Innovation and Technology Transfer
Summary
Overview
Pressures in the Policies Formulation
Policy Instruments
The “modulation” approach
Conclusions
Master Science in Engineering Policy and Technology Management
Innovation and Technology Transfer
Overview
Environmentally beneficial technologies are adopted by the
companies if costs are reduced (or product quality is enhanced)
The new technology is
more cost-effective
The new technology is
less cost-effective
Companies will adopt it
Companies will adopt it
if other advantages exist
Regulation
Master Science in Engineering Policy and Technology Management
Innovation and Technology Transfer
Pressures in the Policies Formulation
Companies
Regulation
Regulation
Environmentalist
groups
Regulation
Government
Regulation
Customers
Master Science in Engineering Policy and Technology Management
Innovation and Technology Transfer
Policy Instruments
Subsidies
Taxes / Tradeable Permits
Innovation waivers
Covenants
Communication
R&D Programmes
Master Science in Engineering Policy and Technology Management
Innovation and Technology Transfer
Policy Instruments
Subsidies
Subsidies had a limited impact on decisions
Subsidies combine with others instruments – Case clean vehicles
The innovator firms develop environmental technologies not because a subsidy
is available but because they believe a market exists for the new technology.
The agency responsible for the R&D subsidies or loans should be careful not
to stimulate second-rate technologies.
Master Science in Engineering Policy and Technology Management
Innovation and Technology Transfer
Policy Instruments
Taxes / Tradeable Permits
The environmental Taxes effects have been barely analysed.
Until now the experiences with Tradeable Permits are very positive as far
as efficiency is concerned. (S02 experience – cost gains of 50%)
Benefits of incentive-based approaches:
-They have a choice between compliance and paying the bill.
- Financial incentive to diminish all pollution, not merely up to the
level of emission standards.
- They create a constant demand for innovation.
- Independency of the pollution control technologies.
Tradeable Permits combine the use of standards with the economic
incentives which makes them very attractive for use
Master Science in Engineering Policy and Technology Management
Innovation and Technology Transfer
Policy Instruments
Innovation waivers
Incentive devices built into environmental regulation.
They exempt industry from penalties during trial periods and offer the
prospect of cost savings derived from superior technology.
Very attractive for both potential innovators and the regulating agencies.
Strong intervention of the persons that coordinate this kind of instruments.
Master Science in Engineering Policy and Technology Management
Innovation and Technology Transfer
Policy Instruments
Covenants
Environmental agreements between industry and governments.
A relatively new instrument of environmental policy.
The effectiveness of covenants is typically small.
Most of the covenants is about the substitution of an environmentally
hazardous substance (e.g. Cadmiun, CFCs, Phosphates etc).
Master Science in Engineering Policy and Technology Management
Innovation and Technology Transfer
Policy Instruments
Communication
Aim: raise the environmental awareness of companies and consumers
Mechanisms:
demonstration projects
information campaigns
Eco-labels
Examples:
ICPIC - International Cleaner Production Information
Clearinghouse - http://www.emcentre.com/unepweb/
“Optimização Energética e Ambiental na Indústria” – INETI – 29
November 2002
Master Science in Engineering Policy and Technology Management
Innovation and Technology Transfer
Policy Instruments
R&D Programmes
Aim: Directly stimulate technological innovation
Mechanisms:
R&D Projects
Examples:
STEP - Special Training for Environmentally-sound Production http://www.tek.fi/step/
ECOMOSART - “Ecotoxicological monitoring of industrially
polluted soils and assessment of the respective remediation techniques”
- INETI
Master Science in Engineering Policy and Technology Management
Innovation and Technology Transfer
The “modulation” approach
“The actual outcomes of environment policies are affected more by the institutional
arrangements emerging from the political process than by the technical characteristics of the
instruments employed.”
The starting point is the capabilities, interests, interdependencies and
interactions (games) of social actors around an environmental problem
instead of the environmental problem itself.
The challenge is to modulate the dynamics of social-technical change into
desirable directions, to ensure that the outcome of interactions lead to
desirable outcomes from a societal point of view.
Policy Instruments:
Game management
SNM – Strategic Niche Management
Master Science in Engineering Policy and Technology Management
Innovation and Technology Transfer
The “modulation” approach
Game Management
Aim: create a situation in which there is a search for environment-friendly
solutions and to select the best one.
Mechanisms: Change the “rules of the game” or by changing the way in
which the game is played.
Examples:
Manipulate technological and economic expectations
Increasing the number of players
Master Science in Engineering Policy and Technology Management
Innovation and Technology Transfer
The “modulation” approach
Strategic Niche Management
Aim: Modulate the dynamics of socio-technical change through the
creation and management of spaces (niches) for the use of a new
technology
Especially appropriated for pathway technologies, i.e. technologies that
pave the way for new developments
Protects the technology until it is mature enough to face the market
Applications:
optical fibre
cellular telephones
scanners
Master Science in Engineering Policy and Technology Management
Innovation and Technology Transfer
Conclusions
One single policy instrument is not the solution, a broader perspective is a
fundamental requirement. It is mandatory to match the old instruments (e.g.
taxes, etc) with the new ones (e.g. game management) to achieve an effective
environmental policy.
Possible governmental policies to work towards systems renewal should
include the creation of spaces for learning about new technologies, the
establishment of long-term goals and indicative, adaptive planning to guide
private and public investment in new directions.
Master Science in Engineering Policy and Technology Management