IDEAS home Printed from https://ideas.repec.org/a/gam/jeners/v13y2020i11p2743-d364888.html
   My bibliography  Save this article

A Comprehensive Analysis of Public and Private Funding for Photovoltaics Research and Development in the European Union, Norway, and Turkey

Author

Listed:
  • Juan Francisco De Negri

    (Institute for Renewable Energy, European Academy of Bolzano (EURAC Research), Viale Druso 1, 39100 Bolzano, Italy)

  • Simon Pezzutto

    (Institute for Renewable Energy, European Academy of Bolzano (EURAC Research), Viale Druso 1, 39100 Bolzano, Italy)

  • Sonia Gantioler

    (Institute for Renewable Energy, European Academy of Bolzano (EURAC Research), Viale Druso 1, 39100 Bolzano, Italy)

  • David Moser

    (Institute for Renewable Energy, European Academy of Bolzano (EURAC Research), Viale Druso 1, 39100 Bolzano, Italy)

  • Wolfram Sparber

    (Institute for Renewable Energy, European Academy of Bolzano (EURAC Research), Viale Druso 1, 39100 Bolzano, Italy)

Abstract

This study aimed to examine the financing of photovoltaics research and development by analyzing funding from public (European Union and national budgets) and private sources (enterprises), Strategic Energy Technology Plan participating countries being the main focus (European Union Member States plus Norway and Turkey). In the coming years, photovoltaics are expected to heavily contribute towards the achievement of audacious climate and energy objectives. Continuous monitoring of the effects is of great importance to assess a course of action taken at such a large scale. It will be revealed that the distribution of funding provided by national budgets highly concentrates on a few Member States, which is part of a general trend in Research and Development within Europe. Approximately 85% of the current European investment provided by the EU budget is administered in the framework of the Horizon 2020 (2014–2020) program; private investment behaves differently. The European photovoltaics manufacturing market has been obliterated by low-budget imported goods. A major characteristic is that the remaining companies are almost exclusively privately held. Gathering data has consequently been a challenge, as opposed to the readily available public datasets.

Suggested Citation

  • Juan Francisco De Negri & Simon Pezzutto & Sonia Gantioler & David Moser & Wolfram Sparber, 2020. "A Comprehensive Analysis of Public and Private Funding for Photovoltaics Research and Development in the European Union, Norway, and Turkey," Energies, MDPI, vol. 13(11), pages 1-23, May.
  • Handle: RePEc:gam:jeners:v:13:y:2020:i:11:p:2743-:d:364888
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/1996-1073/13/11/2743/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/1996-1073/13/11/2743/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Marino, Marianna & Parrotta, Pierpaolo & Sala, Davide, 2010. "New Perspectives on the Evaluation of Public R&D Funding," Working Papers 11-2, University of Aarhus, Aarhus School of Business, Department of Economics.
    2. Sirin, Selahattin Murat, 2011. "Energy market reforms in Turkey and their impact on innovation and R&D expenditures," Renewable and Sustainable Energy Reviews, Elsevier, vol. 15(9), pages 4579-4585.
    3. Mairesse, Jacques & Mohnen, Pierre, 2010. "Using Innovation Surveys for Econometric Analysis," Handbook of the Economics of Innovation, in: Bronwyn H. Hall & Nathan Rosenberg (ed.), Handbook of the Economics of Innovation, edition 1, volume 2, chapter 0, pages 1129-1155, Elsevier.
    4. Raphael Bointner & Simon Pezzutto & Gianluca Grilli & Wolfram Sparber, 2016. "Financing Innovations for the Renewable Energy Transition in Europe," Energies, MDPI, vol. 9(12), pages 1-16, November.
    5. Hall, Bronwyn H. & Lerner, Josh, 2010. "The Financing of R&D and Innovation," Handbook of the Economics of Innovation, in: Bronwyn H. Hall & Nathan Rosenberg (ed.), Handbook of the Economics of Innovation, edition 1, volume 1, chapter 0, pages 609-639, Elsevier.
    6. van Beeck, Nicole & Doukas, Haris & Gioria, Michel & Karakosta, Charikleia & Psarras, John, 2009. "Energy RTD expenditures in the European union: Data gathering procedures and results towards a scientific reference system," Applied Energy, Elsevier, vol. 86(4), pages 452-459, April.
    7. Kobos, Peter H. & Erickson, Jon D. & Drennen, Thomas E., 2006. "Technological learning and renewable energy costs: implications for US renewable energy policy," Energy Policy, Elsevier, vol. 34(13), pages 1645-1658, September.
    8. Pierre Mohnen & Bronwyn Hall, 2013. "Innovation and Productivity: An Update," Eurasian Business Review, Springer;Eurasia Business and Economics Society, vol. 3(1), pages 47-65, June.
    9. Miremadi, I. & Saboohi, Y. & Arasti, M., 2019. "The influence of public R&D and knowledge spillovers on the development of renewable energy sources: The case of the Nordic countries," Technological Forecasting and Social Change, Elsevier, vol. 146(C), pages 450-463.
    10. Bronwyn H. Hall, 2011. "Innovation and Productivity," NBER Working Papers 17178, National Bureau of Economic Research, Inc.
    11. Holger Görg & Eric Strobl, 2007. "The Effect of R&D Subsidies on Private R&D," Economica, London School of Economics and Political Science, vol. 74(294), pages 215-234, May.
    12. Bointner, Raphael, 2014. "Innovation in the energy sector: Lessons learnt from R&D expenditures and patents in selected IEA countries," Energy Policy, Elsevier, vol. 73(C), pages 733-747.
    13. Baccini, Leonardo & Urpelainen, Johannes, 2012. "Legislative fractionalization and partisan shifts to the left increase the volatility of public energy R&D expenditures," LSE Research Online Documents on Economics 45571, London School of Economics and Political Science, LSE Library.
    14. Bronwyn H. Hall & Nathan Rosenberg (ed.), 2010. "Handbook of the Economics of Innovation," Handbook of the Economics of Innovation, Elsevier, edition 1, volume 1, number 1.
    15. Raphael Bointner & Simon Pezzutto & Wolfram Sparber, 2016. "Scenarios of public energy research and development expenditures: financing energy innovation in Europe," Wiley Interdisciplinary Reviews: Energy and Environment, Wiley Blackwell, vol. 5(4), pages 470-488, July.
    16. Paola Garrone & Lucia Piscitello & Yan Wang, 2014. "Innovation Performance and International Knowledge Spillovers: Evidence from the Renewable Energy Sector in OECD Countries," Industry and Innovation, Taylor & Francis Journals, vol. 21(7-8), pages 574-598, November.
    17. Dunjic, Stefan & Pezzutto, Simon & Zubaryeva, Alyona, 2016. "Renewable energy development trends in the Western Balkans," Renewable and Sustainable Energy Reviews, Elsevier, vol. 65(C), pages 1026-1032.
    18. Simon Pezzutto & Reza Fazeli & Matteo De Felice & Wolfram Sparber, 2016. "Future development of the air-conditioning market in Europe: an outlook until 2020," Wiley Interdisciplinary Reviews: Energy and Environment, Wiley Blackwell, vol. 5(6), pages 649-669, November.
    19. Baccini, Leonardo & Urpelainen, Johannes, 2012. "Legislative fractionalization and partisan shifts to the left increase the volatility of public energy R&D expenditures," Energy Policy, Elsevier, vol. 46(C), pages 49-57.
    20. Kim, Kyunam & Kim, Yeonbae, 2015. "Role of policy in innovation and international trade of renewable energy technology: Empirical study of solar PV and wind power technology," Renewable and Sustainable Energy Reviews, Elsevier, vol. 44(C), pages 717-727.
    21. Wiesenthal, Tobias & Leduc, Guillaume & Haegeman, Karel & Schwarz, Hans-Günther, 2012. "Bottom-up estimation of industrial and public R&D investment by technology in support of policy-making: The case of selected low-carbon energy technologies," Research Policy, Elsevier, vol. 41(1), pages 116-131.
    22. Klaassen, Ger & Miketa, Asami & Larsen, Katarina & Sundqvist, Thomas, 2005. "The impact of R&D on innovation for wind energy in Denmark, Germany and the United Kingdom," Ecological Economics, Elsevier, vol. 54(2-3), pages 227-240, August.
    23. Martín-Barrera, Gonzalo & Zamora-Ramírez, Constancio & González-González, José M., 2017. "Impact of flexibility in public R&D funding: How real options could avoid the crowding-out effect," Renewable and Sustainable Energy Reviews, Elsevier, vol. 76(C), pages 813-823.
    24. Simon Pezzutto & Silvia Croce & Stefano Zambotti & Lukas Kranzl & Antonio Novelli & Pietro Zambelli, 2019. "Assessment of the Space Heating and Domestic Hot Water Market in Europe—Open Data and Results," Energies, MDPI, vol. 12(9), pages 1-16, May.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Magdalena Grębosz-Krawczyk & Agnieszka Zakrzewska-Bielawska & Beata Glinka & Aldona Glińska-Neweś, 2021. "Why Do Consumers Choose Photovoltaic Panels? Identification of the Factors Influencing Consumers’ Choice Behavior regarding Photovoltaic Panel Installations," Energies, MDPI, vol. 14(9), pages 1-20, May.
    2. Robert Huterski & Agnieszka Huterska & Ewa Zdunek-Rosa & Grażyna Voss, 2021. "Evaluation of the Level of Electricity Generation from Renewable Energy Sources in European Union Countries," Energies, MDPI, vol. 14(23), pages 1-18, December.
    3. AbdulRafiu, Abbas & Sovacool, Benjamin K. & Daniels, Chux, 2022. "The dynamics of global public research funding on climate change, energy, transport, and industrial decarbonisation," Renewable and Sustainable Energy Reviews, Elsevier, vol. 162(C).
    4. Andrea M. Bassi & Valeria Costantini & Elena Paglialunga, 2021. "Modelling the European Union Sustainability Transition: A Soft-Linking Approach," Sustainability, MDPI, vol. 13(11), pages 1-24, June.
    5. Simon Pezzutto & Giulio Quaglini & Philippe Riviere & Lukas Kranzl & Antonio Novelli & Andrea Zambito & Luigi Bottecchia & Eric Wilczynski, 2022. "Space Cooling Market in Europe: Assessment of the Final Energy Consumption for the Year 2016," Sustainability, MDPI, vol. 14(5), pages 1-23, February.
    6. Paulius Šūmakaris & Renata Korsakienė & Deniss Ščeulovs, 2021. "Determinants of Energy Efficient Innovation: A Systematic Literature Review," Energies, MDPI, vol. 14(22), pages 1-20, November.
    7. Myroslava Bublyk & Agnieszka Kowalska-Styczeń & Vasyl Lytvyn & Victoria Vysotska, 2021. "The Ukrainian Economy Transformation into the Circular Based on Fuzzy-Logic Cluster Analysis," Energies, MDPI, vol. 14(18), pages 1-17, September.
    8. Simon Pezzutto & Giulio Quaglini & Andrea Zambito & Antonio Novelli & Philippe Riviere & Lukas Kranzl & Eric Wilczynski, 2022. "Potential Evolution of the Cooling Market in the EU27+UK: An Outlook until 2030," Sustainability, MDPI, vol. 14(8), pages 1-25, April.
    9. Simon Pezzutto & Philippe Riviere & Lukas Kranzl & Andrea Zambito & Giulio Quaglini & Antonio Novelli & Marcus Hummel & Luigi Bottecchia & Eric Wilczynski, 2022. "Recent Advances in District Cooling Diffusion in the EU27+UK: An Assessment of the Market," Sustainability, MDPI, vol. 14(7), pages 1-16, March.
    10. Simon Pezzutto & Giulio Quaglini & Philippe Riviere & Lukas Kranzl & Antonio Novelli & Andrea Zambito & Luigi Bottecchia & Eric Wilczynski, 2023. "Process Cooling Market in Europe: Assessment of the Final Energy Consumption for the Year 2016," Sustainability, MDPI, vol. 15(4), pages 1-19, February.
    11. Ghouchani, Mahya & Taji, Mohammad & Cheheltani, Atefeh Sadat & Chehr, Mohammad Seifi, 2021. "Developing a perspective on the use of renewable energy in Iran," Technological Forecasting and Social Change, Elsevier, vol. 172(C).
    12. Carlo Renno & Alessandro Perone & Diana D’Agostino & Francesco Minichiello, 2021. "Experimental and Economic Analysis of a Concentrating Photovoltaic System Applied to Users of Increasing Size," Energies, MDPI, vol. 14(16), pages 1-18, August.
    13. Maximilian Gasser & Simon Pezzutto & Wolfram Sparber & Eric Wilczynski, 2022. "Public Research and Development Funding for Renewable Energy Technologies in Europe: A Cross-Country Analysis," Sustainability, MDPI, vol. 14(9), pages 1-28, May.
    14. Paolo Sospiro & Leonardo Nibbi & Marco Ciro Liscio & Maurizio De Lucia, 2021. "Cost–Benefit Analysis of Pumped Hydroelectricity Storage Investment in China," Energies, MDPI, vol. 14(24), pages 1-20, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Iman Miremadi & Yadollah Saboohi, 2018. "Planning for Investment in Energy Innovation: Developing an Analytical Tool to Explore the Impact of Knowledge Flow," International Journal of Energy Economics and Policy, Econjournals, vol. 8(2), pages 7-19.
    2. Miremadi, I. & Saboohi, Y. & Arasti, M., 2019. "The influence of public R&D and knowledge spillovers on the development of renewable energy sources: The case of the Nordic countries," Technological Forecasting and Social Change, Elsevier, vol. 146(C), pages 450-463.
    3. Raphael Bointner & Simon Pezzutto & Gianluca Grilli & Wolfram Sparber, 2016. "Financing Innovations for the Renewable Energy Transition in Europe," Energies, MDPI, vol. 9(12), pages 1-16, November.
    4. Raphael Bointner & Simon Pezzutto & Wolfram Sparber, 2016. "Scenarios of public energy research and development expenditures: financing energy innovation in Europe," Wiley Interdisciplinary Reviews: Energy and Environment, Wiley Blackwell, vol. 5(4), pages 470-488, July.
    5. Castrejon-Campos, Omar & Aye, Lu & Hui, Felix Kin Peng, 2022. "Effects of learning curve models on onshore wind and solar PV cost developments in the USA," Renewable and Sustainable Energy Reviews, Elsevier, vol. 160(C).
    6. Gianluca ORSATTI, 2019. "Public R&D and green knowledge diffusion:\r\nEvidence from patent citation data," Cahiers du GREThA (2007-2019) 2019-17, Groupe de Recherche en Economie Théorique et Appliquée (GREThA).
    7. Jarosław Brodny & Magdalena Tutak, 2020. "Analyzing Similarities between the European Union Countries in Terms of the Structure and Volume of Energy Production from Renewable Energy Sources," Energies, MDPI, vol. 13(4), pages 1-37, February.
    8. Sung, Bongsuk & Soh, Jin Young & Park, Chun Gun, 2022. "Comparing government support, firm heterogeneity, and inter-firm spillovers for productivity enhancement: Evidence from the Korean solar energy technology industry," Energy, Elsevier, vol. 246(C).
    9. Brutschin, Elina & Fleig, Andreas, 2016. "Innovation in the energy sector – The role of fossil fuels and developing economies," Energy Policy, Elsevier, vol. 97(C), pages 27-38.
    10. Bointner, Raphael, 2014. "Innovation in the energy sector: Lessons learnt from R&D expenditures and patents in selected IEA countries," Energy Policy, Elsevier, vol. 73(C), pages 733-747.
    11. Maximilian Gasser & Simon Pezzutto & Wolfram Sparber & Eric Wilczynski, 2022. "Public Research and Development Funding for Renewable Energy Technologies in Europe: A Cross-Country Analysis," Sustainability, MDPI, vol. 14(9), pages 1-28, May.
    12. Baumann, Julian & Kritikos, Alexander S., 2016. "The link between R&D, innovation and productivity: Are micro firms different?," Research Policy, Elsevier, vol. 45(6), pages 1263-1274.
    13. Wadho, Waqar & Chaudhry, Azam, 2020. "Innovation Strategies and Productivity Growth in Developing Countries: Evidence from Pakistan," GLO Discussion Paper Series 466, Global Labor Organization (GLO).
    14. Michel Dumont, 2015. "Working Paper 05-15 - Evaluation of federal tax incentives for private R&D in Belgium: An update," Working Papers 1505, Federal Planning Bureau, Belgium.
    15. Burcu Fazlıoğlu & Başak Dalgıç & Ahmet Burçin Yereli, 2019. "The effect of innovation on productivity: evidence from Turkish manufacturing firms," Industry and Innovation, Taylor & Francis Journals, vol. 26(4), pages 439-460, April.
    16. Ding, H. & Zhou, D.Q. & Liu, G.Q. & Zhou, P., 2020. "Cost reduction or electricity penetration: Government R&D-induced PV development and future policy schemes," Renewable and Sustainable Energy Reviews, Elsevier, vol. 124(C).
    17. Plank, Josef & Doblinger, Claudia, 2018. "The firm-level innovation impact of public R&D funding: Evidence from the German renewable energy sector," Energy Policy, Elsevier, vol. 113(C), pages 430-438.
    18. Sung, Bongsuk, 2015. "Public policy supports and export performance of bioenergy technologies: A dynamic panel approach," Renewable and Sustainable Energy Reviews, Elsevier, vol. 42(C), pages 477-495.
    19. Bongsuk Sung & Woo-Yong Song, 2017. "Does Dynamic Efficiency of Public Policy Promote Export Prformance? Evidence from Bioenergy Technology Sector," Energies, MDPI, vol. 10(12), pages 1-18, December.
    20. Audretsch, David B. & Belitski, Maksim, 2020. "The role of R&D and knowledge spillovers in innovation and productivity," European Economic Review, Elsevier, vol. 123(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jeners:v:13:y:2020:i:11:p:2743-:d:364888. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.