Better Policies to Support Eco-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.





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