Lead Markets for Environmental Innovations

by Klaus, Jacob; Beise, Marian; Blazejczak, Jurgen; Elder, Dietmar; Haum, Rudiger; Janicke, Martin; Low, Duke Thomas

• ISBN13: 9783790801644
• ISBN10: 379080164X
• Format: Paperback
• Copyright: 2005-05-31
• Publisher: Physica Verlag

Summary

Some countries are earlier than others in the development and introduction of environmental innovations. Often, the leadership in technological development is accompanied by a leadership in environmental policy. The book provides an analysis of lead markets for innovations such as fuel cells, photovoltaics, and others. Contributions of innovation economics, policy analysis and environmental economics are assessed regarding their potential to explain the leadership of single countries. The book depicts the policy frameworks that are favourable to the creation of such lead markets on the basis of theoretical considerations and case studies. Finally, recommendations for R and D policies, environmental and industrial policies are derived.

Table of Contents

Introduction	1	(10)
The Notion of Lead Markets	1	(5)
Studying Lead Markets	6	(5)
Theoretical Approaches	11	(18)
Lessons from Innovation Economics	11	(3)
Lessons from Policy Analysis	14	(8)
Pioneering Policy from the Perspective of Environmental Economics	22	(4)
Companies and Strategic Management	26	(3)
Towards an Integrated Model of the Lead Market for Environmental Innovations	29	(4)
Case Studies of Lead Markets from Literature Studies	33	(26)
Fuel-Efficient Passenger Cars	33	(3)
Wind Energy	36	(4)
Substitutes for CFCs in Domestic Refrigerators	40	(3)
Chlorine-Reduced Pulp Production	43	(4)
Introduction of the Catalytic Converter for Cars	47	(3)
Substitutes for Phosphates in Detergents	50	(5)
Interim Conclusions	55	(4)
The International Adoption of Photovoltaic Energy Conversion	59	(22)
Introduction	59	(1)
The Diffusion of Photovoltaic Energy Conversion	60	(10)
PV History	60	(2)
The Diffusion Pattern	62	(3)
Competing PV Designs and Policy Instruments	65	(3)
Domestic Markets and the Success of Manufacturers	68	(2)
Factors of International Diffusion	70	(9)
Explaining the Adoption of Solar Energy	70	(2)
Price and Cost	72	(2)
Demand Trends	74	(1)
Transfer and Policy Diffusion	74	(2)
Competition	76	(1)
Export	77	(2)
Conclusions	79	(2)
Fuel Cells in Stationary Applications	81	(28)
Innovation Designs	81	(12)
Phosphoric Acid Fuel Cell (PAFC)	84	(1)
Proton-Electrolyte-Membrane Fuel Cells (PEFC, PEM)	85	(1)
Molton Carbonate Fuel Cells (MCFC)	86	(1)
Solid Oxide Fuel Cells (SOFC)	87	(2)
Comparison of the Fuel Cell Types	89	(1)
Cost Comparison with Conventional Energy Technologies	90	(1)
Comparison of Environmental Impacts	91	(1)
Market for CHP Installations	92	(1)
Political Instruments	93	(1)
Comparison of Fuel Cell Policies	94	(11)
USA	94	(2)
Japan	96	(2)
Germany	98	(2)
European Union	100	(1)
Canada	100	(1)
Other Countries and International Activities	101	(1)
Comparison of the Research Activities	101	(2)
Comparison of Energy Prices	103	(2)
Summarised Assessment	105	(4)
Fuel Cells for Mobile Applications	109	(14)
Introduction	109	(1)
Lead Markets in the Automobile Industry	110	(3)
Fuel Cells and Alternative Innovation Designs	113	(3)
Fuel Cells	113	(1)
Battery Electric Vehicles	114	(1)
Hybrid Electric Vehicles (HEVs)	114	(1)
Conventional Fuel Efficient Vehicles	115	(1)
Regulations	116	(2)
USA	116	(1)
Japan	116	(1)
Europe	117	(1)
The International Diffusion of Engine Designs	118	(2)
Conclusions	120	(3)
Technologies to Reduce Harmful Emissions in Diesel Vehicles	123	(30)
Introduction	123	(2)
Emissions Regulation in the Automobile Industry	125	(7)
AutoOil I	126	(1)
Strategies Pursued by the Automobile Industry as Part of Auto Oil I	127	(1)
Outcome of Auto Oil I	128	(1)
Outlook on Future Emissions Standards for Diesel Vehicles in the EU	129	(1)
Tax Incentives	130	(1)
Assessing the Process from the Perspective of Technological Potential: Technology Forcing?	130	(2)
The Spread of Diesel Vehicles and Their Markets	132	(1)
Market Development for Diesel Passenger Cars	133	(2)
Technologies Designed to Reduce Hazardous Emissions	135	(3)
Engine Modification	135	(1)
Exhaust Gas Recirculation	136	(1)
Direct Injection Systems	136	(1)
Homogeneous Combustion	137	(1)
Exhaust Treatment	137	(1)
Particulate Filters	137	(1)
Catalytic Converters for the Reduction of Nitrogen Oxides	138	(1)
Carmakers' Technological Development Strategy	138	(7)
Peugeot Introduces the Particulate Filter	139	(2)
Long-Term Testing by ADAC and the Federal Environmental Agency	141	(1)
Automobile Manufacturers' Current Technological Strategies	142	(3)
Strategies by Components Suppliers	145	(3)
The Companies	146	(1)
Research & Development	147	(1)
Assessment from a Supplier Perspective	147	(1)
Outlook and Discussion	148	(5)
Lead Markets for VOC-Reduced Paints	153	(26)
Markets for Paint and Lacquer	154	(7)
The Economic Salience of Paint and Solvent	154	(4)
Consumption	158	(2)
Costs of Low Solvent Paints	160	(1)
VOC Regulations	161	(7)
Comparison of Most Important Regulative Measures	161	(6)
Summarised Evaluation of Policy Measures	167	(1)
Effects of Regulations	168	(3)
Solvent-Based Paints and the Reformulation of the European Chemical Policy	171	(8)
Potentials for Substituting Paper by Electronic Media	179	(26)
Introduction	179	(1)
Potentials for Substituting Graphical Papers Through Electronic Media	180	(2)
Technologies and Applications and Their Diffusion	182	(12)
Cross-Section Technologies and Applications	183	(1)
Information and Communication Technologies	183	(1)
The Internet	183	(4)
Business-Related Technologies and Applications	187	(1)
Electronic Document and Form Management	187	(1)
Document Management Systems	187	(2)
Electronic Signatures	189	(1)
Electronic Services	190	(1)
Consumer-Oriented Technologies and Applications	191	(1)
E-Books	191	(1)
Electronic Paper	192	(1)
Printing on Demand	193	(1)
Policy Framework	194	(6)
Public Policies	194	(1)
IT Strategies and Action Plans	194	(3)
The US Government Paperwork Elimination Act	197	(1)
E-Government Initiatives	198	(1)
Industry and Stakeholder Activities	199	(1)
Diffusion Factors	200	(2)
Summary and Conclusions	202	(3)
Technologies for Paper Recycling	205	(12)
The Development of the Utilisation of Recovered Waste Paper in Germany and in the International Context	205	(4)
Environmental Impacts	209	(1)
Technologies	210	(3)
Collection of Waste Paper	210	(1)
Treatment of Waste Paper	211	(2)
Policy Measures and Regulatory Approaches	213	(4)
Regulations Promoting Socially Responsible Investment	217	(12)
Introduction	217	(1)
Design of SRI Products	218	(1)
Regulations Promoting SRI	219	(4)
Existing Types	219	(1)
International Diffusion of SRI Regulations	220	(2)
Effectiveness of SRI Regulations	222	(1)
Window of Opportunities to Introduce Regulations	222	(1)
Market Development	223	(6)
International Development of SRI Investment Funds	223	(3)
Structure of the SRI Market in the UK	226	(1)
Further Development	227	(2)
Comparison of In-Depth Case Studies	229	(10)
Introduction	229	(1)
Frequency Distribution	229	(3)
Analysis of Factor Subgroups	232	(4)
Early Hypotheses in the Light of the Findings from In-Depth Studies	236	(2)
Conclusions	238	(1)
Policy Patterns to Develop International Markets of Innovations for Sustainability	239	(6)
Policies for Lead Markets	245	(8)
Policies to Stimulate the Emergence of Environmental Innovations	245	(4)
R&D Policies	249	(1)
Environmental Policies for the International Diffusion of Environmental Innovations	250	(1)
Economic Policies	251	(2)
List of Figures	253	(2)
List of Tables	255	(2)
References	257