by
Vale ia Cos an ini, F ancesco C espi, Alessand o Palma
Policy Inducemen E ec s in Ene gy E iciency Technologies. An
Empi ical Analysis on he Residen ial Sec o
The Sus ainabili y En i onmen al Economics and Dynamics S udies (SEEDS) is an in e -uni e si y
esea ch cen e ha aims a de eloping and p omo e esea ch and highe educa ion p ojec s in he
ields o ecological and en i onmen al economics, wi h a special eye o he ole o policy and
inno a ion in he pa h owa ds a sus ainable socie y, in economic and en i onmen al e ms.Main
ields o ac ion a e en i onmen al policy, economics o inno a ion, ene gy economics and policy,
economic e alua ion by s a ed p e e ence echniques, was e managemen and policy, clima e
change and de elopmen .
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SEEDS Wo king Pape 19/2014
Augus 2014
by Vale ia Cos an ini, F ancesco C espi, Alessand o Palma.
The opinions exp essed in his wo king pape do no necessa ily e lec he posi ion o SEEDS as a whole.
1
Policy Inducemen E ec s in Ene gy E iciency
Technologies. An Empi ical Analysis on he
Residen ial Sec o *
Vale ia Cos an ini, F ancesco C espi, Alessand o Palma
Depa men o Economics, Roma T e Uni e si y
Abs ac
The s udy p o ides a wide- anging empi ical analysis o he
d i e s o inno a ion, wi h a pa icula ocus on he policy side,
in esiden ial ene gy e iciency echnologies. The panel analysis
o 23 OECD coun ies o e he pe iod 1990-2010, con i ms he
impo ance o adop ing a sys emic pe spec i e when eco-
inno a ion is unde sc u iny. In pa icula , he inno a ion
sys ems, bo h na ional and sec o al, oge he wi h he ene gy
sys ems, spu ed he p opensi y o inno a e and signi ican ly
shaped he a e and di ec ion o echnical change in he
esiden ial sec o . A gene al policy inducemen e ec is ound
o be ele an , bu he size o i s con ibu ion o new EE
echnologies changes i disagg ega ed policy ins umen s a e
in es iga ed. The ole o policy mix as well as o policy
coo dina ion and cohe ence also posi i ely a ec he inno a i e
ac i i y in EE esiden ial echnologies.
Keywo ds: ene gy efficiency, policy mix, esiden ial sec o ,
inno a ion, pa en s.
J.E.L. O31, O38, Q48, Q55, Q58
* We acknowledge inancial suppo om: i) he Eu opean Union D.G. Resea ch unde G an Ag eemen numbe
283002 o he esea ch p ojec “En i onmen al Mac o Indica o s o Inno a ion” (EMInInn); ii) he Roma T e
Uni e si y-INEA-ENEA Conso ium; iii) he I alian Minis y o Educa ion, Uni e si y and Resea ch (Scien i ic
Resea ch P og am o Na ional Rele ance 2010 on “Clima e change in he Medi e anean a ea: scena ios, economic
impac s, mi iga ion policies and echnological inno a ion”). The usu al disclaime applies. We a e also g a e ul o
Gianluca O sa i o his help. Co esponding au ho : Alessand o Palma, Depa men o Economics, Roma T e
Uni e si y, Via Sil io d’Amico 77 – 00145 – Rome, I aly, E-mail: [email p o ec ed].
2
1. In oduc ion
Ene gy e iciency (EE) ep esen s one o he mos e ec i e mean o achie ing se e al goals,
as inc easing ene gy secu i y, os e ing in e na ional cos compe i i eness, and educing
pollu ing emissions. In pa icula , achie ing a mo e secu e, sus ainable and a o dable ene gy
sys em is a key challenge o he u u e wo ld de elopmen (EC, 2011; IEA, 2010, 2012a). In
his con ex , he a ailabili y and adop ion o new ene gy-e icien echnologies ep esen s a key
d i e o educing he o e all ene gy demand as i in luences he le els o EE (EE). This aspec
appea s o be pa icula ly ele an in he esiden ial sec o , whe e he demand o ene gy o
powe esiden ial appliances and equipmen does no show a slowing end wi h, on he
con a y, a con inuous g ow h o e he las 20 yea s in elec ici y demand.
The unde s anding o he de e minan s o he pace o in en i e ac i i ies in his sec o
he e o e appea s o be an impo an s ep o he design o app op ia e policies o os e he
gene a ion and di usion o en i onmen al echnologies aiming a inc easing EE. Howe e , he
esiden ial sec o is a complex sys em in which se e al ene gy se ices a e used such as space
hea ing, cooling sys ems, wa e hea ing sys ems, ligh ing and se e al elec ical appliances. This
implies ha ele an esea ch e o s a e needed o p ope ly map he e olu ion o echnologies
in his sec o and o sys ema ically collec in o ma ion o speci ic policy s a egy.
Gi en he limi ed numbe o s udies ha analysed he d i e s o inno a ion in his ield, we
p opose a comp ehensi e analysis o he ac o s a ec ing he dynamics o EE echnologies in
he esiden ial sec o , wi h a speci ic a en ion o he ole played by public policies. In so doing,
we con ibu e he cu en li e a u e: i) by including in he analysis he domain o elec ical
appliances which – al hough a he unexplo ed – cons i u e an impo an sha e o esiden ial
ene gy consump ion o hei la ge po en ial due o he mul iplica i e e ec o each single
appliance; ii) by ex ending he coun y co e age o he empi ical analysis o a comp ehensi e
numbe o high-income OECD coun ies; iii) by analysing he impac o he ull a ay o policy
ins umen s ha a e supposed o in luence inno a ion ac i i ies.
The es o he wo k is o ganised as ollows. Sec ion 2 shows he consump ion pa e ns as
well as he inno a ion dynamics in EE in he esiden ial sec o o be e unde s anding he
ene gy-g ow h decoupling p ocess occu ed in mos o OECD coun ies. In Sec ion 3, we
desc ibe he da a used o he econome ic analysis, wi h a pa icula ocus on he policy
amewo k, while Sec ion 4 lays ou he empi ical s a egy and p esen s he model esul s.
Finally, Sec ion 5 concludes wi h some policy implica ions and u he esea ch lines.
2. Consump ion pa e ns and inno a ion dynamics in EE o he esiden ial sec o
2.1 Ene gy consump ion ends and ene gy-g ow h decoupling
Du ing he pas decades ene gy consump ion ends ha e changed subs an ially a e he i s
oil shock, due o se e al modi ica ions occu ed in ene gy policy as well as in consump ion
3
beha iou s, especially in he de eloped wo ld. Dec easing dynamics in ene gy and ca bon
in ensi y may be de ec ed in almos all economic sec o s, wi h a s onge e ec in he
manu ac u ing indus ies. By looking a he las wo decades (1990-2010), i is wo h no ing ha
he e a e some di e gences especially when he esiden ial sec o is unde sc u iny. By
compa ing index numbe s aking 1990 as base yea , buil on he a io be ween o al ene gy
consump ion and G oss Domes ic P oduc (GDP) o selec ed OECD coun ies (Figu e 1), he
a e age end o OECD coun ies as well as he pa h o h ee majo ene gy consume s (namely
Ge many, Japan and he US), is con inuously dec easing o e ime, wi h he excep ion o Japan
up o 2004. The esiden ial sec o shows, on a e age, a simila dynamics o OECD economies,
wi h inc easing alues o Japan and a less e iden nega i e end o Ge many (Figu e 2). Index
numbe s buil on he a io be ween ene gy consump ion in he esiden ial sec o and household
inal consump ion expendi u es p o ides in e es ing di e ences wi h he p e ious o e all end,
whe e he di e gence be ween Japan and he es o OECD coun ies appea s much highe .
This e idence p o ides a i s b oad pic u e o c oss-coun y speci ic ea u es, signalling ha
some coun ies ha e educed e o s o imp o e EE in he esiden ial sec o wi h espec o
o he s, while o he coun ies ob ained EE gains especially in his sec o . Reasons behind hese
di e gences may be de ec ed in se e al di ec ions.
A i s explana ion can be ound by he di e en policy s ingency adop ed in OECD
coun ies du ing hese wo decades o EE in he esiden ial sec o . Indeed, he numbe o
policies has inc eased subs an ially a e yea 2000 (see Sec ion 3), wi h coun ies as Japan, he
Uni ed Kingdom and he US adop ing mo e s ingen and pe asi e policies only ecen ly, while
o he coun ies as Denma k, Finland and Ge many in oduced a ela i ely smalle numbe o
policies, bu hey ha e been adop ed hem since he ea ly 1990s. I is also wo h no ing ha he
e ec i eness o en i onmen al policies is closely ela ed o he adop ed ins umen s. Se e al
di e ences a ise when compa ing o ins ance command and con ol wi h ma ke -based
ins umen s (Baumol and Oa es, 1988), whe e he la e a e conside ed as cos e ec i e as well
as mo e sui able o pushing echnological change (Po e and an de Linde, 1995).
As a ma e o ac , his ield o analysis equi es a complex amewo k, whe e se e al
d i ing ac o s may help explaining di e gen pe o mance ends, as ins i u ional and
echnological capabili ies, as well as he mo e gene al inno a ion sys em a coun y le el. I is
also ue ha gains in esou ce e iciency a e o ced o be s ic ly ela ed o echnological
inno a ion, gi ing impulse o a la ge numbe o scien i ic con ibu ions ying o disen angle
his issue.
2.2 Eco-inno a ion and ene gy e iciency
B oadly speaking, he educ ion o he o e all esiden ial ene gy demand can be hough as a
unc ion o he le el o EE, which in u ns depends on he a ailabili y and adop ion o new EE
echnologies, such as in elligen building design and high-pe o mance buildings including
highly e icien hea ing, en ila ion and wa e hea ing sys ems. Wi h espec o his, he
dynamics o employed echnologies in he esiden ial sec o is a key issue.
4
Figu e 1 – Ene gy in ensi y ends in o al economy, 1990-2010 (1990=100)
Sou ce: own elabo a ions on IEA (2012b), Wo ld Bank (WDI, 2013)
Figu e 2 – Ene gy in ensi y ends in he esiden ial sec o 1990-2010 (1990=100)
Sou ce: own elabo a ions on IEA (2012b), Wo ld Bank (WDI, 2013)
Conside ing he s ong linkage be ween he ene gy sys em, he en i onmen and inno a ion
p ocesses, EE can be well included EE in o he b oade eco-inno a ion amewo k (Kemp and
Pea son, 2008; OECD, 2010). In his wo k, we a e pa icula ly in e es ed in unde s anding how
public policies may induce inno a ion e o s a he coun y le el. By elying on he g owing
li e a u e analysing di e en echnological en i onmen al domains (A undel and Kemp, 2011;
Be khou , 2011; Bo ghesi e al., 2013; Haščič e al, 2009; Ho bach e al., 2012; Johns one e al.,
2010; Kemp and Ol a, 2011; Lanjouw and Mody, 1996; Ma ka d e al., 2012; Name o e al.,
2009; OECD, 2011; Popp, 2002), a pa en -based analysis seems o be he mos app op ia e way
60
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OECD DEU JPN USA
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5
o s udy inno a ion dynamics in his ield due o lack o speci ic da a on e o s in esea ch and
de elopmen (R&D), especially in he p i a e sec o .
Despi e some ele an limi a ions, he use o pa en da a is widesp ead in he economics o
inno a ion li e a u e (see A chibugi and Pian a, 1996; A undel and Kabla, 1998; Cohen e al.,
2000; G iliches, 1990; Hall e al., 2005; Ja e and T aj embe g, 2004; Male ba and O senigo,
1996; Ol a e al., 2010; Pa i , 1984; Lanjouw e al., 1998; Lanjouw and Schanke man 2004;
an Po elsbe ghe e al., 2001; an Zeeb oeck e al., 2006). Indeed, pa en s p o ide a public
weal h o in o ma ion on he na u e o he in en ion and he applican o a he long ime
se ies, indica ing no only he coun ies whe e in en ions a e made, bu also whe e such new
echnologies a e used and de i e om. Pa en da a equen ly ep esen he di ec esul o R&D
p ocesses, a u he s ep owa d he inal ou pu o inno a ion ha is use ul knowledge h ough
which i ms a e able o gene a e new p o i sou ces. Mo eo e , pa en applica ions a e usually
iled ea ly (G iliches, 1990), hence hey can be in e p e ed no only as a measu e o inno a i e
ou pu , bu also as a p oxy o inno a i e ac i i y (Popp, 2005). Besides his, i is wo h no ing
ha pa en da a a e subjec o an ex ensi e upda ing p ocess o hei in o ma i e con en ,
con inuously en iched by na ional and in e na ional pa en o ices. In addi ion, EE echnologies
a e only pa ially and oughly ep esen ed in he se o in e na ional pa en classi ica ions.
A i s con ibu ion in illing his gap is p o ided by Noailly and Ba ako a (2010), analysing
he building sec o o a limi ed numbe o coun ies. They used pa en applica ions pe yea in
selec ed a eas o en i onmen al echnologies in buildings, classi ied by applican coun y and
p io i y da e. In o de o iden i y he ele an pa en s, hey e e ed o echnical expe s,
p o iding IPC classes ela ed o speci ic echnologies oge he wi h a lis o keywo ds o
desc ibing he s a e-o - he-a o EE echnologies in he building sec o . Al hough his wo k
p o ides an impo an con ibu ion in mapping EE echnologies, i does no conside he
impo an domain o domes ic elec ical appliances, which ep esen an impo an sha e in inal
ene gy consump ion ha ing a he same ime a high po en ial impac in e ms o EE gains hanks
o he mul iplica i e e ec o hei widesp ead di usion (IEA, 2009). This gap has been
pa ially illed by he ecen Coope a i e Pa en Classi ica ion (CPC), a join collabo a ion
be ween he Eu opean Pa en O ice (EPO) and he Uni ed S a es Pa en and T adema k O ice
(USPTO), which in eg a es now some pa en classes speci ic o EE, also including ou
domes ic elec ical appliances. In pa icula , o hose pa en s ela ed o building, we adop ed he
me hodology based on keywo ds de eloped by Noailly and Ba ako a (2010), ex ending he
sea ch o 23 OECD coun ies and 21 yea s. In his wo k, we also ake in o accoun EE pa en s in
domes ic elec ical appliances, ollowing he wo k al eady done in Essay 1, which p o ides a
comp ehensi e and up- o-da e con ibu ion in mapping such a echnological domain (including
also he new EE classes based on he CPC-Y02 classi ica ion) while main aining he same
me hodology o pa en sea ching as o he p e ious sec o s. As a esul , we ob ained a se o
55,261 pa en applica ions ela ed o EE echnologies in di e en esiden ial sec o s and
ollowing a homogeneous ex ac ion me hodology. Once ex ac ed pa en da a using he
Thomson Reu e s Co e Pa en s sea ch engine, he pa en coun has been calcula ed and so ed
6
by applica ion da e, ha ing d opped duplica es o a oid possible double coun ing o pa en s.
Finally, he whole echnological domain has been di ided in o h ee sub-domains: building,
ligh ing and la ge esiden ial appliances (see Sec ion 3). A comple e lis o keywo ds is
p o ided in Table A1a,b o he Appendix, while o a comp ehensi e desc ip ion o pa en s
ex ac ion me hodology, see Noailly and Ba ako a (2010) and Cos an ini e al., (2014).
2.3 Ene gy e iciency pa en s end
Pa en ing ac i i y on EE esiden ial echnologies g ew d ama ically in he pe iod 1990-2010.
Figu e 3 depic s he ends o EE pa en s in he esiden ial sec o and he sha e o hese la e on
o al pa en s egis e ed a EPO in he same pe iod. Al hough a sligh dec ease be ween he 2005
and 2007, which mi o s a gene al less in ensi e pa en ing ac i i y, EE pa en s show a cons an
g ow h. A e he yea 2007, EE pa en ing ac i i y was subjec o a new posi i e impulse,
s onge wi h espec o he pas , mos likely due o he g ow h in EE egula ions in each coun y
(as o ins ance, he implemen a ion o EE Ac ion Plans, EEAPs, in he Eu opean Union). The
g owing end is also con i med by he sec o al analysis as showed in Figu e 4, o he h ee
conside ed sub-sec o s o EE esiden ial echnologies, namely buildings, ligh ing and la ge
elec ical appliances. In he case o building, he inc ease in pa en ing ac i i y was e en
s onge , especially in he pe iod 2006-2010. I is wo h no ing ha pa en s on highly e icien
appliances a e no a ec ed by he gene al pa en ing ac i i y down u n occu ed in 2005,
main aining a cons an g ow h o e he en i e analysed pe iod. In e ms o sec o al con ibu ion,
pa en s in buildings ep esen he la ges sha e o EE echnologies, ollowed by ligh ing and
elec ical appliances which bo h mode a ely con ibu e o he o al numbe o EE pa en s se .
Speci ically, summing he o al pa en s in he en i e pe iod, he sha e o buildings con ibu ion is
73% co esponding o 33,973 applica ions, hose o ligh ing and elec ical appliances a e 21%
and 17%, co esponding o 11,669 and 9,619 pa en applica ions, espec i ely.
3. Inno a ions d i e s in esiden ial EE echnologies: he empi ical amewo k
A la ge body o li e a u e has con ibu ed o ind ou which a e he main o ces pushing and
suppo ing eco-inno a ion, bo h by means o heo e ical and empi ical models. Such analyses
sugges ha a sys emic app oach o s udy he de e minan s o in oduc ion and he pa e ns o
di usion o eco-inno a ion appea s o be app op ia e (Del Rio, 2009; Ho bach, 2008; an de
Be gh e al., 2007) as i allows o shed ligh on he ele ance o bo h demand-pull and supply-
push o ces and on he p ima y ole played by public policies in his con ex (Ho bach e al.,
2012; Neme , 2009; Popp, 2010). F om a gene al poin o iew, Coenen and Díaz López (2010)
clea ly emphasize ha a sys emic app oach is necessa y in eco-inno a ion s udies wha e e
heo e ical amewo k is adop ed. Whe he echnological inno a ion sys ems, o socio- echnical
sys ems, o sec o al sys ems o inno a ion is he analy ical se ing whe e he analysis is
included, in any case p i a e inno a i e e o s, echnological and ins i u ional capabili ies,
di e en public suppo policies should be accoun ed o in an in eg a ed manne .
7
Figu e 3 – T ends o EE pa en s as abs. coun alues and as sha e o o al pa en s a EPO
(1990-2010)
Sou ce: own elabo a ions on EPO (2013)
Figu e 4 – T ends o EE pa en s a EPO in he h ee sub-domains (1990-2010)
Sou ce: own elabo a ions on EPO (2013)
Building on his comp ehensi e app oach, he p oposed empi ical analysis akes in o accoun
he di e en o ces able o shape he a e and di ec ion o eco-inno a ion in he conside ed
sec o . In pa icula , ou dependen a iable, ep esen ed by he coun o pa en applica ions
iled a EPO by 23 coun ies o e he pe iod 1990-2010, is eg essed agains a se o explana o y
a iables, e e ing o he inno a ion, he ma ke , he ins i u ional and he ene gy sys em. The
g oups o explana o y a iables a e desc ibed as ollows.
0.0%
0.5%
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2.0%
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Pa . Buildings
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Pa .Elec. Apps.
14
combining se e al policy ins umen s, including clima e policy (IEA, 2011b, Ma hes, 2010),
en i onmen al policy (OECD, 2007, Ring and Sch ö e -Schlaack, 2011) and inno a ion policy
(Flanagan e al., 2011, Nauwelae s and Win jes, 2008). Howe e , policy mix s udies end o be
limi ed o examining he e ec s o policy mix design and ins umen in e ac ions (del Río and
He nández, 2007; IEA, 2011a, b) and u he empi ical analysis is equi ed in o de o assess he
con ibu ion o policy ins umen s in e ac ion in a sys emic iew (Coenen and DíazLópez,
2010).
Figu e 6 – Fi s implemen a ion o esiden ial- ela ed EE policies in 23 OECD coun ies
by ype
Sou ce: own elabo a ion on IEA (2013b)
15
Figu e 7 – Gene al policy composi ion by ins umen ype (1990-2010)
Sou ce: own elabo a ion on IEA (2013b)
Figu e 8 – Gene al policy composi ion by a ge sub-domains (1990-2010)
Sou ce: own elabo a ion on IEA (2013b)
<1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Ec Ins 102111111354334210 4 8 9 2
In o&Edu 103102322274403414 10 11 6 3
Pol Supp 200000010070011311 4 5 3 1
Reg Ins 305112011645711416 811 4 5
RD&D 100000000120113154121
Vol App 101000110311101342811
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N° o policy ypes
<1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Buildings 1 0 3 1 1 3 2 2 3 5 5 6 4 4 6 6 16 11 13 9 3
Ligh ing 0 0 3 0 1 2 1 0 1 6 4 4 4 1 1 2 5 6 8 2 3
Appliances 0 0 4 1 0 2 1 0 1 5 7 5 5 1 1 4 12 7 7 9 4
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16
Figu e 9 – Gene al EE gene al policy ac i i y, pe coun y, 1990-2010
Sou ce: Own elabo a ion on IEA (2013b)
A ele an impulse owa d he concep ualisa ion o e olu iona y app oach o policy making
is gi en by he pape by Rammel e al., (2003), who highligh ed he limi s and d awbacks o he
neoclassical app oach. T adi ional policy ins umen s based on he op imal equilib ium p ice o
in e nalising ex e nali ies such as command-and-con ol and ma ke -based measu es - as
opposed as mo e lexible ones ''mo al suasion-o ien ed'' ins umen s - ha e been e ained by he
economis s as he mos e ec i e in he amewo k o s a ic equilib ium e iciency (see, o
ins ance, Baumol and Oa es, 1988).
No wi hs anding, such an app oach did no ake in o accoun bounded a ionali y and
e olu ion phenomena and i was no exemp om many c i iques (Cumbe land, 1994 and an
den Be gh e al, 2000, among all). On he o he hand, he e olu iona y app oach seems o allow
o in eg a ing phenomena such as non-op imised change, unce ain y and long e m sus ainable
de elopmen (see also Lund all, 1992; Foxon, 2003). In pa icula , e olu iona y policymaking
would be able o well unde ake he adap i e lexibili y, which cha ac e ises he economic
beha iou : ha is he capaci y o ''main ain [...] a iabili y and a la ge amoun o p e-adap i e
ai s'' (Rammel e al., 2003, p. 127). Al hough he pape by Rammel e al. da es back mo e han
one decade ago, he au ho s an icipa e he cu en deba e on he op imal policy mix and d aw he
conclusion ha a cohe en and comple e se o policy ins umen s would be highly desi able o
he ansi ion owa d a sus ainable pa h led by inno a ion p ocesses.
A u he call o in eg a ed policy making comes om he pape by Foxon e al. (2004),
which p o ides a wide- ange analysis and comp ehensi e agenda o a sus ainable ansi ion
owa d inno a ion policies. The au ho s s essed he g owing in e ela edness be ween social
and long- e m en i onmen al p oblems leading o highe le el o unce ain y and complexi y in
e o ming and designing new e ec i e inno a ion policies. In ligh o his, a sys em o
0
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1998
2000
2002
2004
2006
2008
2010
EU-15 JP US
17
inno a ion policy p ocess is p oposed, based on i e key ea u es, and namely: long- e m
sus ainabili y goals; inno a ion and policy-making as sys emic p ocesses; new p ocedu al and
ins i u ional basis o deli e y o sus ainable inno a ion policies inco po a ing moni o ing,
impac e iew and lea ning p ac ises. The au ho s poin ed ou a lack o cohe ence and
coo dina ion in he cu en policy design, in oking a s ong need o policies ha monisa ion by
p oposing an in eg a ed and lexible policy ins umen s mix, coupled wi h a egula o y
backs opping mechanism, indica ed as s ongly unc ional o his aim.
Figu e 10 – Coun y-speci ic policy ac i i y, pe ype and a ge , 1990-2010.
Sou ce: Own elabo a ion on IEA (2013b)
Kemp (2011), p o ides an impo an con ibu ion in analysing he weaknesses o he cu en
eco-inno a ion policies and o a wide policy-making app oach. Di e en a ionales o policy
make s aimed a spu ing eco-inno a ion a e p esen ed, poin ing ou ha his la e ep esen s a
special case o inno a ion a ec ing di e en issues in ol ed: en i onmen , na u al esou ces
deple ion, ma ke and ade pa e ns as well as ins i u ions a na ional and in e na ional le el
18
(Kemp and Pea son, 2008). Depa ing by he dis inc ion be ween wo di e en ailu es equi ing
he policy in e en ion, he ma ke ailu es a ionale (public good na u e o inno a ion,
unce ain y abou he cos s and bene i s o inno a ion, monopolis ic powe and ma ke ba ie s)
and sys em ailu es a ionale (knowledge ba ie s, ins i u ional ba ie s, compe i ion wi h old
p oduc s and, in gene al, lack o in e ac ion e ec s), a se o hemes o eco-inno a ion policies
is p oposed oge he o a call o a speci ic and con ex -based policy agenda. Some impo an
hemes include he balance o policy measu es and iming, a ge ed spending in a eas whe e
inno a ion is needed, policy lea ning and policy coo dina ion as well as public-p i a e
in e ac ions.
Fu he c i iques o he s anda d neoclassical app oach o policy-making a e d awn also in he
pape by Dodgson e al. (2011), in which a s ylised scheme o di e en app oaches o
inno a ion-policies is de ined. They analyse limi s and possible ajec o ies o na ional
inno a ion sys ems unde he h ee di e en app oaches, and namely:
- i) he ee-ma ke app oach (Baumol, 2002; Baumol e al., 2007), iden i ied by he
En ep eneu ial Capi alism, in which he ole o go e nmen s is limi ed o ensu e ee
ma ke s uc u es and educe ma ke ailu es;
- ii) he coo dina ed app oach (Johnson, 1982; Wade, 2004), in e p e ed by Dodgson e
al. by ollowing he F ied ich's Lis and F eeman (1992). The lis includes a se o
elemen s o be de eloped in he long- e m iew such as in ellec ual capi al,
in e ac ions be ween angible and in angible, impo ed o eign echnology,
in es men and skilled mig an s, skills and manu ac u ing sec o s;
- iii) he complex-e olu iona y app oach (o iginally concep ualised by Schumpe e and
u he de eloped by Me cal e (1994; 1995; 2007) and Nill and Kemp (2009) in he
con ex o en i onmen al sus ainabili y. In such a amewo k, he concep s o
unce ain y, adap abili y as well as expe imen a ion a e c ucial and he p ocess o
policy making ollows a sys emic pe spec i e able o add ess i ms along he
complex and unp edic able na u e o inno a ion p ocesses. This implies an e ol ing
and a ious na u e o policy concep , which ejec s he ''one-size- i s-all'' app oach
and has o add ess a wide ange o ac o s (no only ma ke ailu es) con ibu ing o
he success o inno a ion p ac ises as social, poli ical and legal ins i u ions.
In ecen imes, he ole o policy ins umen s o os e ing inno a ion p ac ices, has been
subjec o ex ensi e in es iga ion mos ly ollowing he e olu iona y app oach. This la e would
be able o cap u e by a ious sides he complex p ocess o inno a ion iewed as sys emic
p ocess among di e en ac o s (indi iduals, go e nmen s, na ional as well as in e na ional
p i a e and public ins i u ions) and a di e en le els ( i ms, sec o al inno a ion sys ems,
na ional inno a ion sys ems).
Wieczo ek and Hekke . (2011), ex ending he analysis o Smi s and Kuhlmann (2004),
p o ide a de ini ion o sys emic ins umen s
1
and de i e a se ies o hei cha ac e is ics, which
1
Sys emic ins umen s a e de ined as " ools ha ocus on he le el o he inno a ion sys em ins ead o ocusing on specific pa s o inno a ion sys ems and
suppo p ocesses
19
can be de ined as sys emic on he basis o he capabili y o: i) s imula e and allow pa icipa ion
o a ious ac o s, including use s; ii) p e en lock-in and s imula e c ea i e des uc ion; iii)
p e en oo weak and oo s ingen ins i u ions; i ) s imula e physical and knowledge
in as uc u es. In he pa icula ield o eco-inno a ion, he au ho s also pinpoin ed he
uns uc u ed cha ac e o sus ainabili y, which di e s om o he scien i ic issues, as i in ol es
complex, global and long- e m impac s being o en he esul o a mul i ude o di e en ac o s
con ibu ing wi h di e en in ensi ies. Such a he e ogenei y o he sys em o en goes wi h lack
o speci ic da a, inc easing he le el o unce ain y in he model design and analysis ou comes
(see also Un uh, 2000 and Ri chey, 2007).
The no ion o policy mix has been also ecen ly in es iga ed by Flanagan e al., 2011,
de eloping a comp ehensi e and s anda d concep , ixing i s limi s and de i ing some in insic
cha ac e is ics. In pa icula , hey men ion he consis ency (a policy mix showing absence o
con adic ions and syne gies among he di e en policy elemen s), he cohe ence (no
con adic ion o o e ly among he di e en in- o ce policy mix), he c edibili y (how much a
policy is belie able and eliable), he s abili y ( he le el o policy ce ain y in he long e m) and
he comp ehensi eness ( he ex ensi eness and exhaus i eness o i s elemen s).
Besides his, Bo as and Edquis (2013) ex ensi ely e iewed and u he ca ego ised he se
o policy ins umen s so a employed a global le el and c i ically analysed hei na u e and
scope. In doing so, hey unde lined he impo an nexus cause-and-e ec , he uniqueness o each
ins umen (cus omiza ion) as well as he cohe ency o he en i e se o implemen ed
ins umen s. The pe sis en g ow h o he so-called ''so ins umen s''- olun a y and non-
coe ci e measu es - is iewed as unc ional o he ansi ion owa d he concep o ''policy
go e nance'' (pp. 1516). The au ho s also sugges he applica ion o a well-combined se o
di e en ins umen s as a c ucial pa o he inno a ion policies picking he sys emic na u e o
inno a ion, oge he o an ac i e p ocess o e-designing and adap a ion acco ding o possible
changed o con ex s o e ime.
Fu he ad ices a e also p o ided in Reicha d and Rogge (2013), who de i e some impo an
policy implica ions by de eloping a mo e comp ehensi e concep o policy mix and ocusing
also on he concep o cohe ence and consis ency. Acco ding o he au ho s, he cu en
li e a u e only oughly analysed he policy ins umen s in e ac ions and such ew wo ks a e
a ec ed by a he e ogeneous, and some imes ambiguous, e minology. Di e ing om he
ins umen mix, he e m policy mix should indica e no only a me e combina ion o policy
ins umen s, bu also '' he p ocesses by which such ins umen s eme ge and in e ac '' (page 3).
Depa ing by di e en de ini ions summa ised in Table 3, hey ex apola ed h ee key
elemen s which should be pa o a p ope policy mix:
- he ul ima e objec i e (e.g. inno a ion);
- he in e ac ion o di e en ins umen s;
ha play a c ucial ole in he managemen o inno a ion p ocesses.'' Wieczo ec and Hekke . (2011), page 74.
20
- a dynamic na u e and he complex na u e o he policy mix, able o adap o di e en
changing con ex , which o en e e s o long- un s a egies.
Table 3 – Di e en policy mix de ini ions
Sou ce
De ini ion
Guy e al., 2009
(p.1)
“An R and Inno a ion Policy Mix can be de ined as ha se o
go e nmen policies which, by design o o - une, has di ec o
indi ec impac s on he de elopmen o an R&D and inno a ion
sys em.”
Ke n and Howle ,
2009 (p.395)
“Policy mixes a e complex a angemen s o mul iple goals and
means which, in many cases, ha e de eloped inc emen ally o e
many yea s.”
Nauwelae s and
Win jes, 2008 (p.3)
“A policy mi x is de ined as: The combina ion o policy
ins umen s, which in e ac o in luence he quan i y and quali y o
R&D in es men s in public and p i a e sec- o s.”
Boekhol , 2010
(p.353)
“A policy mix can be de ined as he combina ion o policy
ins umen s, which in e ac o in luence he quan i y and quali y o
R in es men s in public and p i a e sec o s.”
De Heide, 2011
(p.2)
“A policy mix is he combined se o in e ac ing policy ins umen s
o a coun y add essing R and inno a ion.”
Ring and Sch e -
Schlaack, 2011
(p.15)
“A policy mix is a combina ion o policy ins umen s which has
e ol ed o in luence he quan i y and quali y o biodi e si y
conse a ion and ecosys em se ice p o ision in public and p i a e
sec o s.”
(Sou ce: Rogge and Reicha d , 2013)
Among he se e al cha ac e is ics, he cohe ency (o consis ency
2
) appea s o be pa icula ly
impo an o be enhanced by policy make s and analysed by empi ical analysis, as called also by
Asho (2005), OECD (1996), OECD (2003) and many o he au ho s. Besides his, as Flanagan
e al. (2011), also Rogge and Reicha d men ion he policy c edibili y and s abili y as desi able
ea u es o a well-designed policy mix and sys emic capabili ies o policies o suppo cohe en
policy p ocesses and eedback lea ning mechanisms. Again, Ch is opoulos e al. (2012)
emphasised he cu en agmen a ion o go e nance a global le el and p opose an app oach
ha ing he po en ial o add ess economies owa d a sus ainable pa h. They s ongly call o a
2
Rogge and Reicha d (2013) dis inguish be ween he wo e ms sugges ing ha consis ency ela es o policy
mix elemen s and cohe ence o he policy p ocesses, In o he s udies (see n, 1999) and Piccio o e al.,
2004), unde di e en de ini ions, he e ms a e equi alen .
21
''new, balanced, and con ex -sensi i e policy mix'' (page 305), supe ised by a me ago e nance
3
p ocess able o in luence and secu e go e nmen p ac ises as well as o imp o e bo om-up
p ocesses such as sha ed decision making and democ a ic pa icipa ion a di e en scale and
con ex s (see also Meuleman, 2008).
Las ly, C espi and Qua a o (2013) p o ide a gumen s on he impo ance o policy
ins umen s o p omo ing new echnologies gene a ion and s ess he ole o hese la e o
add essing a sus ainable g ow h pa h.
Building on his deba e, he p esen s udy p o ides a i s a emp o empi ically e alua e he
ole played by policy mix in shaping ene gy e iciency echnological inno a ion. This sec o
appea s o be an app op ia e echnological domain since he ole o policies bo h in he
gene a ion and di usion o inno a ions is pa icula ly ele an om bo h demand and supply
sides. To his aim, we de eloped a se o policy measu es and indexes in o de o disen angle he
con ibu ion o di e en policy ins umen s as well as he cha ac e is ics o he policy mix as
highligh ed by he nume ous heo e ical con ibu ions.
In he econome ic model, he ins i u ional amewo k is ini ially shaped by building a
disc e e a iable as he s ock o EE policies calcula ed as he cumula i e numbe o policy
ins umen s in o ce a ime in coun y , as ollows:
∑( )
(3)
di iding by six policy ins umen ypes and h ee policy sub-domains as speci ied in Table 1 and
Table 2. This modelling choice allows o conside o each yea he whole ange o policies s ill
in o o ce a ime in coun y , e ealing no only a simple impulse gi en by he exis ence o
no o EE policies, bu also a so o quali ica ion o he s eng h and complexi y o he o e all
ins i u ional sys em. Besides his and depa ing om he (3), he ollowing indexes and
measu es a e buil :
- Policy a ie y, calcula ed as he a ie y o policy ins umen s s ock ( ep esen ed by
he six di e en policy ins umen s, namely Economic Ins umen s, In o ma ion and
Educa ion, Policy Suppo , Regula o y Ins umen s, RD&D suppo , Volun a y
App oaches) in o ce a ime in a gi en coun y , as ollows:
( ) ∑( )
[ ]
(4)
wi h a ia ion ange [ ]. Policy ins umen s coun has been aken om OECD-
IEA Ene gy Policy da abase (a ailable online). The expec ed e ec he e is
unce ain. Acco ding o Po e hypo hesis (Po e , 1991; Po e and an de Linde,
3
Ch is opoulos e al. (2012) de ines he me ago e nance as " he go e nance o go e nance", which in he
con ex o sus ainable de elopmen "conce n he e lexi e coo dina ion and o ganisa ion o he amewo k
condi ions unde which go e nance ake place". (page 306).
22
1995) and in e p e ing he policy a ie y as inc eased lexibili y in achie ing he
policy goals, highe le els o lexibili y should p o ide s onge impulse o i m's
inno a i e ac i i y. On he o he hand, when he le el o a ie y is pa icula ly high,
inno a ing i ms also ace a high le el o unce ain y and he isk o policy
coo dina ion ailu e may occu . In o de o es such a hypo hesis, a quad a ic e m
o he policy a ie y a iable has been also calcula ed.
- Ra io be ween RD in EE and in To al Ene gy, calcula ed as he a io be ween public
expendi u es on RD in ene gy e iciency (million USD a 2010 p ices) and public
expendi u es on R&D in o al ene gy (million USD a 2010 p ices) as ollows:
(5)
Public R&D lows in EE and in o al ene gy a e aken by IEA Technology S a is ics
(IEA online da abase). we expec a posi i e co ela ion be ween his a io and he
le el o inno a i e ac i i y in EE echnologies.
- Policy Simila i y, calcula ed as he cohe ence o policy ins umen s o al s ock in
o ce a ime o coun y wi h espec o policy ins umen s s ock adop ed by all
o he coun ies ( ) applying a simila i y o mula as ollows:
∑(| |
√ )
(6)
The a ia ion ange is [ ]. This index measu es he simila i y be ween he
policy s ock o a gi en coun y wi h espec o he policy s ock o he o he
coun ies, o in o he e ms, he le el o global coo dina ion among simila coun y's
policies, conside ing ha highe le el o simila i y can be also in e p e ed as a
measu e o po en ial ma ke exploi a ion d i en by policies able o a ec he
demand o new ene gy e icien echnologies, hus u he inducing he Po e
hypo hesis mechanism. The expec ed sign is hus posi i e.
- Policy spillo e s, calcula ed as he in luence played by he policy ins umen s s ock
o each speci ic echnology sub-domain (he e classi ied as Building, Ligh ing,
Elec ical Appliances) in o ce a ime o all coun ies bu weigh ed by bila e al
expo lows in ene gy consuming manu ac u ing sec o s om coun y o
coun y as ollows:
23
∑
(8)
We also calcula ed he policy-spillo e index weigh ed by he in e se o
geog aphical dis ance
om coun y o coun y as ollows:
∑
(9)
Expo lows ha e been aken by UN-COMTRADE da abase (Table A3), while
bila e al dis ances de i e om he CEPII da abase.
The hypo hesis ha policy-leading coun ies spill o e o he coun ies pa o hei
s ingency o adop ing EE echnologies by echnology- ollowe coun ies is he e
in es iga ed. We linked such a leade ship o he expo capaci y o ene gy in ensi e
manu ac u ing goods o a gi en coun y. Policy spillo e s a e ew in es iga ed in he
li e a u e. G ay and Shadbegian (2007) and Cos an ini e al. (2013) p o ide some
con ibu ions in his espec , inding signi ican and posi i e ela ionships be ween
ex a- egional egula ion and egional inno a ion pe o mances.
The ene gy sys em. EE pe o mances a e able o a ec all he componen s o he ene gy
sys em, allowing his la e o be mo e e icien (Flo ax e al., 2011, among o he s). Indeed, EE
echnologies can be ound in he en i e se o ene gy echnologies, bo h on he side o ene gy
p oduc ion and consump ion. On he o he hand, EE pe o mances can be a ec ed by he
cha ac e is ics o he ene gy sys em i sel . Fo ins ance, he lack o ene gy gene a ion in a gi en
coun y migh induce highe le el o gene a ion and adop ion o EE echnologies able o
coun e balance he subop imal supply o ene gy. In ligh o his, he e alua ion o he ene gy
sys em as a whole appea s c ucial, especially in a panel se ing.
A ecen s udy de elops he concep o ene gy- echnology inno a ion sys em (ETIS), de ined
as '' he applica ion o a sys emic pe spec i e on inno a ion o ene gy echnologies comp ising
all aspec s o ene gy sys ems (supply and demand); all s ages o he echnology de elopmen
cycle; and all inno a ion p ocesses, eedbacks, ac o s, ins i u ions, and ne wo ks'' (Gallaghe e
al., 2012, pp. 139). Such a sys em elies on he ole o inno a ion o imp o ing he o e all EE
bu i is s ic ly ela ed o speci ic con ex s and incen i e s uc u es, hus implying o ake in o
accoun he p ocesses and mechanisms a wo k wi hin he sys em, including he oles o ac o s,
ne wo ks, and ins i u ions.
In ligh o his, we iden i ied a se o speci ic a iables o cap u e in insic cha ac e is ics o
he ene gy sys em, and p ecisely:
- he le el o ene gy independence. The mechanism a wo k he e is based on he
hypo hesis ha i a coun y is a ne -ene gy expo e , his implies ichness in ene gy
supply and mos likely less s ingency o inno a e in EE echnologies. In o he e ms,
30
Figu e 12 - Ke nel densi y o he policy a ie y a iable.
Sou ce: own elabo a ion on IEA (2013b).
Table 7 – Policy inducemen e ec . The ole o policy mix and a ie y
To al Pa en s in EE
To al s ock o GERD
0.73***
(12.52)
0.53***
(9.11)
0.53***
(8.18)
0.54***
(9.39)
0.54***
(9.31)
0.54***
(8.44)
0.62***
(10.12)
P ice- ax bundle
0.15*
(1.73)
0.20**
(2.47)
0.19**
(2.36)
0.19**
(2.34)
0.26***
(3.04)
0.19**
(2.24)
0.04
(0.41)
Ra io be ween RD in EE and in To al Ene gy
0.14***
(3.42)
S ock o To al EE policy
0.21***
(8.44)
In e ac ion be ween RD in EE and he s ock
o policy ins umen s
0.07***
(7.35)
Policy a ie y
0.13***
(7.37)
0.29***
(7.56)
In e ac ion be ween s ock o policy and
policy a ie y
0.03***
(5.36)
In e ac ion be ween RD in EE and policy
a ie y
0.04***
(6.43)
Policy a ie y sq
-0.04***
(-4.88)
Cons an
-9.76***
(-10.91)
-6.01***
(-6.69)
-6.07***
(-6.18)
-6.30***
(-7.04)
-6.26***
(-6.79)
-6.37***
(-6.49)
-7.81***
(-8.00)
N
299.00
317.00
299.00
317.00
317.00
299.00
317.00
chi2
167.50
314.88
249.80
276.97
236.95
224.63
295.41
Hausman es o FE s. RE
= 27.88***
s a is ics in pa en heses; * p <0.1, ** p <0.05, *** p <0.01
Table 8 p esen s he e ec s o policy cohe ence. Highe le el o policy s ock cohe ence,
es ed on bo h he global s ock o policy ins umen s as well as a single ins umen le el, shows
a posi i e and signi ican impac on he numbe o esiden ial EE pa en s. When he o al s ock
o ins umen s is conside ed, he impac is a he la ge, a ound 0.30%. A ins umen le el, wi h
31
he excep ion o olun a y ins umen s, he con ibu ion o he policy cohe ence o spu ing
new ene gy e iciency echnologies is, on a e age, one hi d (0.10%) wi h li le a ia ion among
he ins umen s.
Las ly, Table 9 p o ides es ima ion esul s when policy spillo e e ec s a e conside ed. As
expec ed, a posi i e con ibu ion in each o he policy sec o s can be no ed, wi h a pa icula
in ensi y in he case o elec ical appliances (0.33% and 0.17%, espec i ely in he case o ade
weigh ed and ade-dis ance weigh ed). The highe impac in elec ical appliances can be
jus i ied by he ac ha domes ic appliances ep esen he lion's sha e in he ade sec o s aken
in o accoun . I is wo h no ing ha ade-dis ance weigh s p oduce lowe impac s o policy
spillo e s.
Table 8 – Policy inducemen e ec . The ole o in e na ional cohe ence.
To al Pa en s in EE
To al s ock o GERD
0.61***
(10.41)
0.57***
(10.32)
0.56***
(10.06)
0.59***
(10.71)
0.53***
(9.27)
0.61***
(11.13)
0.63***
(11.18)
P ice-Tax bundle
0.16**
(2.13)
0.18**
(2.17)
0.17**
(2.08)
0.21**
(2.49)
0.16**
(1.99)
0.20**
(2.30)
0.17*
(1.69)
Policy simila i y (global cohe ence)
0.29***
(12.58)
S ock o EE policy - Economic Ins umen s -
weigh ed by coun y cohe ence
0.11***
(7.61)
S ock o EE policy - In o ma ion and Educa ion -
weigh ed by coun y cohe ence
0.11***
(7.26)
S ock o EE policy - Policy Suppo –
weigh ed by coun y cohe ence
0.09***
(5.44)
S ock o EE policy - Regula o y Ins umen s -
weigh ed by coun y cohe ence
0.11***
(8.15)
S ock o EE policy - RD&D –
weigh ed by coun y cohe ence
0.09***
(4.14)
S ock o EE policy - Volun a y App oaches -
weigh ed by coun y cohe ence
0.05
(1.54)
Cons an
-7.46***
(-8.49)
-6.67***
(-7.71)
-6.71***
(-7.73)
-7.00***
(-8.16)
-6.25***
(-7.02)
-7.44***
(-8.71)
-7.98***
(-8.79)
N
317.00
317.00
317.00
317.00
317.00
317.00
317.00
chi2
452.00
284.72
267.89
241.04
297.91
211.05
168.71
s a is ics in pa en heses; * p <0.1, ** p <0.05, *** p <0.01
32
Table 9 - Policy inducemen e ec . The ole o in e na ional policy spillo e .
Pa en coun
To al
Building
Ligh ing
Elec. Appl.
To al
Building
Ligh ing
Elec. Appl.
To al s ock o GERD
0.28***
(4.03)
0.26***
(3.51)
0.34**
(2.54)
0.32**
(2.23)
0.30***
(4.51)
0.30***
(4.23)
0.39***
(3.03)
0.43***
(3.12)
P ice- ax bundle
0.06
(0.76)
0.01
(0.17)
0.40***
(3.23)
0.46***
(2.98)
0.16**
(2.22)
0.08
(0.95)
0.49***
(4.40)
0.61***
(4.02)
To al policy spillo e s in EE- ade weigh
0.23***
(10.09)
Building policy spillo e s in EE- ade weigh
0.22***
(9.38)
Ligh ing policy spillo e s in EE- ade weigh
0.17***
(3.81)
Elec. App. policy spillo e s in EE- ade weigh
0.33***
(5.66)
To al policy spillo e s in EE- ade-dis ance
weigh
0.15***
(9.01)
Building policy spillo e s in EE- ade-dis ance
weigh
0.15***
(8.56)
Ligh ing policy spillo e s in EE- ade-dis ance
weigh
0.10***
(3.41)
Elec. App. policy spillo e s in EE- ade-
dis ance weigh
0.17***
(4.08)
Cons an
-5.82***
(-6.37)
-5.51***
(-5.61)
-6.39***
(-3.29)
-8.95***
(-5.16)
-3.60***
(-3.79)
-3.69***
(-3.64)
-5.08***
(-2.64)
-6.46***
(-3.67)
N
317.00
317.00
289.00
276.00
317.00
317.00
289.00
276.00
chi2
466.13
301.25
130.65
216.20
414.78
276.86
125.56
189.98
s a is ics in pa en heses; * p <0.1, ** p <0.05, *** p <0.01
5. Conclusions
The p esen s udy p o ides a b oad analysis o he d i e s o inno a ion in EE by looking a
he esiden ial sec o in 23 OECD coun ies and a a he long ime se ies. As e idenced by he
desc ip i e analyses on he e olu ion o EE pa e ns and public policy in e en ions, c oss-
coun y speci ic ea u es eme ge, which appea o be ela ed o di e en policy s ingency
adop ed in he OECD coun ies du ing he las wo decades in his ield. The econome ic
analysis, based on an o iginal da ase comp ising sec o al pa en da a and in o ma ion on
speci ic policy ins umen s, con i med he impo ance o public policies as d i e s o inno a ion
ac i i ies in his poo ly explo ed sec o .
Mo e speci ically, his s udy highligh s ha na ional and sec o al inno a ion sys ems explain
a la ge po ion o coun y’s p opensi y o inno a e in EE echnologies adop ed wi hin he
esiden ial sec o . In pa allel, en i onmen al and ene gy sys ems a e shown o shape he a e and
di ec ion o echnical change in his sec o , wi h ene gy a ailabili y playing an impo an ole, as
la ge abundance o cheap ene gy sou ces (as nuclea powe ) ends o educe he p opensi y o
inno a e.
Rega ding he speci ic ole o gene al and sec o al public policies, economic ins umen s as
ene gy axa ion seem o play an inducemen e ec on he likelihood o inno a e in ene gy
sa ing de ices. Mo eo e , public policies speci ically designed o induce e iciency in ene gy
33
consump ion eme ge as c ucial o gi ing impulse o inno a ions in echnologies necessa y o
each highe esou ce e iciency s anda ds. In his espec , he analysis o he impac o di e en
policies p o ides in e es ing and no el insigh s. In pa icula , he econome ic esul s poin ou
ha he policy inducemen e ec on inno a ion is ele an no only when s anda d ins umen s
such as di ec in es men s, axes o subsidies a e adop ed, bu i s impo ance ex ends o ''so
policies'' aimed a imp o ing he le el o consume 's in o ma ion and awa eness. Among hese,
in o ma ion and educa ion policies, which include he ene gy labelling and pe o mance codes
o he conside ed sec o s, eme ge as s ongly capable o a ec ing inno a ion dynamics in
esiden ial EE echnologies. Mo eo e , he close he ela ionship be ween agen s paying ene gy
bills and agen s adop ing e icien echnologies, he highe he impulse o inno a e in ela ed
echnological domains as clea ly eme ges om he analysis o ligh ing and elec ical appliances
cases.
These esul s appea o ha e ele an policy implica ions and o sugges he way o u he
de elop esea ch in his ield. Fi s , he join ele an in luences o he inno a ion and he
ene gy sys ems on in en ion ac i i ies in he sec o unde sc u iny, con i ms he impo ance o
adop ing a sys emic pe spec i e o he analysis o eco-inno a ion. Second, his implies ha
di e en policy dimensions bo h wo king on he mul iple elemen s in luencing inno a ion
dynamics and a he sys em le el should be combined in a p ope ly designed policy mix. Thi d,
an app op ia e policy mix should con ain no only adi ional ma ke -based ins umen as
s anda d en i onmen al economics heo y claimed in he pas , bu should include
in o ma ion/educa ion based ins umen s o policy ins umen s designed as olun a y
app oaches. Mo eo e , policy ins umen s should be planned in o de o be as much as possible
ela ed o he ma ke o inal use o echnologies, gi ing he co ec signals o hose agen s
in es ing in ene gy sa ing echnologies. Finally, he eme ging complexi y o policy mix in his
ield calls o speci ic a en ion o coo dina ion p oblems o enhance he cohe ence and
pe sis ence o he whole policy s a egy, including possible si ua ions go e ned by policy-
leading coun ies able o spill o e policy induced-e ec s o gi ing u he impulse o new
pa en ing ac i i y.
Al hough he p esen wo k akes in o accoun in a single empi ical amewo k all o hese
elemen s de i ing om a g owing se o heo e ical con ibu ions and shows how such elemen s
play a ole in spu ing he complex p ocess o inno a i e ac i i y in he ield o esiden ial EE,
u he e o s bo h om he scien i ic and policy communi ies a e needed in o de o inc ease
ou unde s anding o policy in e ac ions and consequen ly enhance he e ec i eness o he
adop ed policy amewo k.
34
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