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How environmental protection agencies can promote eco-innovation: The prospect of voluntary reciprocal legitimacy

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  • Ball, Chris
  • Burt, George
  • De Vries, Frans
  • MacEachern, Erik

Abstract

This paper examines the UK and Irish Environmental Protection Agencies (EPAs) ability to move beyond regulatory compliance to support and promote sustainable environmental innovation, in short “eco-innovation”. To do so would require them to overcome the perception that they face, often being perceived as ‘policemen’ by the regulated business community. We propose a new empirically-derived theoretical construct called Voluntary Reciprocal Legitimacy (VRL), defined as the development of mutual trust between the regulator and business resulting in arrangements which generate eco-innovation benefits for the regulator, the regulated business communities and society at large. VRL adds a new category to Suchman's (1995) theory of moral legitimacy as well as highlights how EPAs can build trust between themselves and regulated business, allowing a shift of the ‘beyond compliance’ legislative boundary. Such an approach supports eco-innovation whilst simultaneously protecting the natural environment.

Suggested Citation

  • Ball, Chris & Burt, George & De Vries, Frans & MacEachern, Erik, 2018. "How environmental protection agencies can promote eco-innovation: The prospect of voluntary reciprocal legitimacy," Technological Forecasting and Social Change, Elsevier, vol. 129(C), pages 242-253.
    • Handle: RePEc:eee:tefoso:v:129:y:2018:i:c:p:242-253
    DOI: 10.1016/j.techfore.2017.11.004
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    2. Durán-Romero, Gemma & López, Ana M. & Beliaeva, Tatiana & Ferasso, Marcos & Garonne, Christophe & Jones, Paul, 2020. "Bridging the gap between circular economy and climate change mitigation policies through eco-innovations and Quintuple Helix Model," Technological Forecasting and Social Change, Elsevier, vol. 160(C).
    3. Marlous Blankesteijn & Bart Bossink, 2020. "Assessing the Legitimacy of Technological Innovation in the Public Sphere: Recovering Raw Materials from Waste Water," Sustainability, MDPI, vol. 12(22), pages 1-16, November.
    4. Yongfeng Zhu & Zilong Wang & Shilei Qiu & Lingling Zhu, 2019. "Effects of Environmental Regulations on Technological Innovation Efficiency in China’s Industrial Enterprises: A Spatial Analysis," Sustainability, MDPI, vol. 11(7), pages 1-19, April.
    5. Yuanyu Cao & Tao Xu, 2024. "The Impact of Environmental Social Responsibility on Total Factor Productivity: Evidence from Listed Companies in China," Sustainability, MDPI, vol. 16(18), pages 1-26, September.
    6. Luo, Yuanda & Xiong, Guobao & Mardani, Abbas, 2022. "Environmental information disclosure and corporate innovation: The “Inverted U-shaped” regulating effect of media attention," Journal of Business Research, Elsevier, vol. 146(C), pages 453-463.
    7. Dayuan Li & Fei Tang & Lu Zhang, 2020. "Differential effects of voluntary environmental programs and mandatory regulations on corporate green innovation," Natural Hazards: Journal of the International Society for the Prevention and Mitigation of Natural Hazards, Springer;International Society for the Prevention and Mitigation of Natural Hazards, vol. 103(3), pages 3437-3456, September.
    8. Shuying Li & Yujie Liu & Yang Xu, 2022. "Does ESG Performance Improve the Quantity and Quality of Innovation? The Mediating Role of Internal Control Effectiveness and Analyst Coverage," Sustainability, MDPI, vol. 15(1), pages 1-25, December.
    9. Yucai Hu & Shaorui Du & Yukun Wang & Xinya Yang, 2023. "How Does Green Insurance Affect Green Innovation? Evidence from China," Sustainability, MDPI, vol. 15(16), pages 1-15, August.
    10. Li, Ruiqian & Ramanathan, Ramakrishnan, 2024. "The interactive effect of environmental penalties and environmental subsidies on corporate environmental innovation: Is more better or worse?," Technological Forecasting and Social Change, Elsevier, vol. 200(C).

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