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R&D drivers and obstacles to innovation in the energy industry

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  • Costa-Campi, M.T.
  • Duch-Brown, N.
  • García-Quevedo, J.

Abstract

The energy industry is facing substantial challenges that require the fostering of innovation. In this paper we analyse the main drivers of R&D investment and obstacles to innovation in this industry. We examine, firstly, whether the stated R&D objectives pursued by firms play a role in their R&D effort. Secondly, we analyse the effects of financial, knowledge and market barriers on the innovation outcomes of the firms. The data is taken from the Technological Innovation Panel (PITEC) for Spanish firms for the period 2004–2010. We use a structural model with three equations corresponding to the decision to carry out R&D or not, the R&D effort, and the production of innovations. The results of the econometric estimations show, first, that R&D intensity is positively related to process innovation. Second, the main barriers that hamper innovation in the energy industry are related to market factors while financial and knowledge obstacles are not significant.

Suggested Citation

  • Costa-Campi, M.T. & Duch-Brown, N. & García-Quevedo, J., 2014. "R&D drivers and obstacles to innovation in the energy industry," Energy Economics, Elsevier, vol. 46(C), pages 20-30.
  • Handle: RePEc:eee:eneeco:v:46:y:2014:i:c:p:20-30
    DOI: 10.1016/j.eneco.2014.09.003
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    Cited by:

    1. Maria Teresa Costa-Campi & Néstor Duch-Brown & José García-Quevedo, 2016. "Innovation strategies of energy firms," Working Papers 2016/28, Institut d'Economia de Barcelona (IEB).
    2. repec:eee:enepol:v:111:y:2017:i:c:p:403-413 is not listed on IDEAS
    3. Shouro Dasgupta & Enrica De Cian & Elena Verdolini, 2016. "The political economy of energy innovation," WIDER Working Paper Series 017, World Institute for Development Economic Research (UNU-WIDER).
    4. repec:taf:jsustf:v:7:y:2017:i:2:p:147-168 is not listed on IDEAS
    5. repec:eee:appene:v:240:y:2019:i:c:p:499-512 is not listed on IDEAS
    6. Rexhäuser, Sascha & Löschel, Andreas, 2015. "Invention in energy technologies: Comparing energy efficiency and renewable energy inventions at the firm level," Energy Policy, Elsevier, vol. 83(C), pages 206-217.
    7. Costa-Campi, M.T. & García-Quevedo, J. & Martínez-Ros, E., 2017. "What are the determinants of investment in environmental R&D?," Energy Policy, Elsevier, vol. 104(C), pages 455-465.
    8. repec:eee:streco:v:49:y:2019:i:c:p:228-244 is not listed on IDEAS
    9. repec:eee:rensus:v:82:y:2018:i:p3:p:3623-3632 is not listed on IDEAS
    10. Nestor Duch-Brown & Andrea de Panizza & Ibrahim Kholilul Rohman, 2016. "Innovation and productivity in a S&T intensive sector: the case of Information industries in Spain," JRC Working Papers JRC101847, Joint Research Centre (Seville site).
    11. repec:gam:jsusta:v:11:y:2019:i:4:p:1085-:d:207193 is not listed on IDEAS
    12. repec:gam:jsusta:v:9:y:2017:i:4:p:617-:d:95887 is not listed on IDEAS
    13. María Teresa Costa-Campi & Jose García-Quevedo, 2017. "Why do manufacturing industries invest in energy R&D?," Working Papers 2017/20, Institut d'Economia de Barcelona (IEB).

    More about this item

    Keywords

    R&D; Innovation; Energy; Barriers; Regulation;

    JEL classification:

    • Q40 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - General
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives

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