The importance of project finance for renewable energy projects

Given the magnitude of investment needs into low-carbon power generation, the availability and cost of capital is crucial for successful energy transitions. Recently, a strong increase of non-recourse project finance (as compared to corporate finance on a project sponsor’s balance sheets) could be observed for power generation projects. Classical economic motivations for project finance are […]

Six principles for energy innovation

Last month, the European Union marked the tenth year of its Strategic Energy Technology Plan. It is one of many policy initiatives worldwide to accelerate innovation in energy technologies to reduce greenhouse-gas emissions. As the window of opportunity to avert dangerous climate change closes, we urgently need to take stock of these initiatives — what […]

On order and complexity in innovations systems: conceptual frameworks for policy mixes in sustainability transitions

The sheer complexity of sustainability transitions makes it vital to develop simplifying conceptual frameworks. Starting from the contrast between the mainstream innovation-economics and systems-innovation/evolutionary literatures, this paper begins by summarising the “Three Domains” framework, which relates technology innovation and adoption choices to different domains of socio-economic decision-making, at successively larger scales of time and social […]

Integrating techno-economic, socio-technical and political perspectives on national energy transitions: A meta-theoretical framework

Economic development, technological innovation, and policy change are especially prominent factors shaping energy transitions. Therefore explaining energy transitions requires combining insights from disciplines investigating these factors. The existing literature is not consistent in identifying these disciplines nor proposing how they can be combined. We conceptualize national energy transitions as a co-evolution of three types of […]

Rescue US energy innovation

President Trump has proposed severe cuts to US government spending on energy research, development and demonstration, but Congress has the ‘power of the purse’ and can rescue US energy innovation. If serious cuts are enacted, the pace of innovation will slow, harming the economy, energy security and global environmental quality. Written by Laura Diaz Anadon, […]