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Technology innovation and diffusion in “less than ideal” climate policies: An assessment with the WITCH model

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  • Enrica Cian
  • Valentina Bosetti
  • Massimo Tavoni

Abstract

This paper examines the dynamics of innovation in low-carbon energy technologies distinguishing between research and development and technology diffusion as a response to alternative climate policies. We assess the implications of second-best policies that depart from the assumption of immediate and global participation and of full technology availability. The analysis highlights the heterogeneous effects of climate policy on different energy R&D programs and discusses the contribution of important determinants such as carbon price and policy stringency, policy credibility, policy and technological spillovers and absorptive capacity. Copyright Springer Science+Business Media B.V. 2012

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  • Enrica Cian & Valentina Bosetti & Massimo Tavoni, 2012. "Technology innovation and diffusion in “less than ideal” climate policies: An assessment with the WITCH model," Climatic Change, Springer, vol. 114(1), pages 121-143, September.
    • Handle: RePEc:spr:climat:v:114:y:2012:i:1:p:121-143
    DOI: 10.1007/s10584-011-0320-5
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    2. Enrica De Cian & Fabio Sferra & Massimo Tavoni, 2013. "The Influence of Economic Growth, Population, and Fossil Fuel Scarcity on Energy Investments," Working Papers 2013.59, Fondazione Eni Enrico Mattei.
    3. Steckel, Jan Christoph & Brecha, Robert J. & Jakob, Michael & Strefler, Jessica & Luderer, Gunnar, 2013. "Development without energy? Assessing future scenarios of energy consumption in developing countries," Ecological Economics, Elsevier, vol. 90(C), pages 53-67.
    4. Valeria Costantini & Anil Markandya & Elena Paglialunga & Giorgia Sforna, 2018. "Impact and distribution of climatic damages: a methodological proposal with a dynamic CGE model applied to global climate negotiations," Economia Politica: Journal of Analytical and Institutional Economics, Springer;Fondazione Edison, vol. 35(3), pages 809-843, December.
    5. Brigitte Knopf & Yen-Heng Henry Chen & Enrica De Cian & Hannah Förster & Amit Kanudia & Ioanna Karkatsouli & Ilkka Keppo & Tiina Koljonen & Katja Schumacher & Detlef P. Van Vuuren, 2013. "Beyond 2020 — Strategies And Costs For Transforming The European Energy System," Climate Change Economics (CCE), World Scientific Publishing Co. Pte. Ltd., vol. 4(supp0), pages 1-38.
    6. Enrica Cian & Samuel Carrara & Massimo Tavoni, 2014. "Innovation benefits from nuclear phase-out: can they compensate the costs?," Climatic Change, Springer, vol. 123(3), pages 637-650, April.
    7. Bertram, Christoph & Johnson, Nils & Luderer, Gunnar & Riahi, Keywan & Isaac, Morna & Eom, Jiyong, 2015. "Carbon lock-in through capital stock inertia associated with weak near-term climate policies," Technological Forecasting and Social Change, Elsevier, vol. 90(PA), pages 62-72.
    8. Antoine Mandel & Solmaria Halleck Vega & Dan-Xia Wang, 2020. "The contribution of technological diffusion to climate change mitigation: a network-based approach," Climatic Change, Springer, vol. 160(4), pages 609-620, June.
    9. Karoline S. Rogge & Elisabeth Dütschke, 2017. "Exploring Perceptions of the Credibility of Policy Mixes: The Case of German Manufacturers of Renewable Power Generation Technologies," SPRU Working Paper Series 2017-23, SPRU - Science Policy Research Unit, University of Sussex Business School.
    10. Ottmar Edenhofer & Carlo Carraro & Jean-Charles Hourcade, 2012. "On the economics of decarbonization in an imperfect world," Climatic Change, Springer, vol. 114(1), pages 1-8, September.
    11. Gunnar Luderer & Enrica DeCian & Jean-Charles Hourcade & Marian Leimbach & Henri Waisman & Ottmar Edenhofer, 2012. "On the regional distribution of mitigation costs in a global cap-and-trade regime," Climatic Change, Springer, vol. 114(1), pages 59-78, September.
    12. Gunter Stephan & Georg Müller-Fürstenberger, 2014. "Global Warming, Technological Change and Trade in Carbon Energy: Challenge or Threat?," Discussion Papers of DIW Berlin 1397, DIW Berlin, German Institute for Economic Research.
    13. Gunnar Luderer & Valentina Bosetti & Michael Jakob & Marian Leimbach & Jan Steckel & Henri Waisman & Ottmar Edenhofer, 2012. "The economics of decarbonizing the energy system—results and insights from the RECIPE model intercomparison," Climatic Change, Springer, vol. 114(1), pages 9-37, September.
    14. Gunter Stephan & Georg Müller-Fürstenberger, 2015. "Global Warming, Technological Change and Trade in Carbon Energy: Challenge or Threat?," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 62(4), pages 791-809, December.
    15. Hof, Andries F. & Carrara, Samuel & De Cian, Enrica & Pfluger, Benjamin & van Sluisveld, Mariësse A.E. & de Boer, Harmen Sytze & van Vuuren, Detlef P., 2020. "From global to national scenarios: Bridging different models to explore power generation decarbonisation based on insights from socio-technical transition case studies," Technological Forecasting and Social Change, Elsevier, vol. 151(C).

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