Public policy and clean technology promotion. The synergy between environmental economics and evolutionary economics of technological change
by Pablo Del Rio Gonzalez
International Journal of Sustainable Development (IJSD), Vol. 7, No. 2, 2004

Abstract: Obstacles to clean technology development, innovation and diffusion are not only related to the lack of internalisation of environmental externalities in production costs, as defended by traditional environmental economics. Empirical studies show that many other obstacles prevent these technologies from penetrating the market. The relevance of these obstacles differs between sectors, firms and technologies. Consequently, a more focused approach is proposed. By taking a look at the specific, real-world barriers to clean technologies, a policy framework as well as some specific measures that target those barriers are suggested. These instruments are useful and complementary in a policy framework that, in addition to specific instruments, takes into account the influence of the style of regulation and the configuration of actors in the environmental technological change process. This paper proposes a coherent framework integrating environmental policy and technology policy instruments. This is deemed necessary in the technological transition to sustainable development.

Online publication date: Wed, 29-Sep-2004

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