TY - JOUR
T1 - The role of the complementary sector and its relationship with network formation and government policies in emerging sectors
T2 - The case of solar photovoltaics between 2001 and 2009
AU - Choi, Hyundo
AU - Anadón, Laura Díaz
PY - 2014/2
Y1 - 2014/2
N2 - Understanding the role of government policies in promoting the introduction of renewable technologies can help to catalyze the transition toward a more sustainable energy system. The literature on technological transitions using a multi-level perspective suggests that the co-evolution of the niche market (the new technology) and the complementary regime may have an important role to play in shaping this transition. This paper provides a quantitative analysis of the interactions between different types of solar photovoltaic (PV) networks at the niche level, the complementary semiconductor sector at the complementary regime level, and the solar PV policies in 14 different countries. Using three equations for solar PV knowledge generation, manufacturing, and deployment, we investigate linkages between feed-in-tariff (FiT) and renewable portfolio standard (RPS) policies, network development, and the existence of a complementary sector. The empirical findings show that the complementary sector is an important determinant in solar PV deployment and manufacturing and network effects are dependent on the strength of the complementary sector in solar PV deployment and manufacturing. Feed-in-tariff and renewable portfolio standards are associated with solar PV diffusion and not with manufacturing. Finally, domestic government policies promoting renewable energy markets, which often lead to domestic electricity rate increases, have contributed to increased manufacturing capabilities internationally, including also in countries without a strong complementary sector, such as China, through the channel of manufacturing collaborations from countries with a strong complementary sector.
AB - Understanding the role of government policies in promoting the introduction of renewable technologies can help to catalyze the transition toward a more sustainable energy system. The literature on technological transitions using a multi-level perspective suggests that the co-evolution of the niche market (the new technology) and the complementary regime may have an important role to play in shaping this transition. This paper provides a quantitative analysis of the interactions between different types of solar photovoltaic (PV) networks at the niche level, the complementary semiconductor sector at the complementary regime level, and the solar PV policies in 14 different countries. Using three equations for solar PV knowledge generation, manufacturing, and deployment, we investigate linkages between feed-in-tariff (FiT) and renewable portfolio standard (RPS) policies, network development, and the existence of a complementary sector. The empirical findings show that the complementary sector is an important determinant in solar PV deployment and manufacturing and network effects are dependent on the strength of the complementary sector in solar PV deployment and manufacturing. Feed-in-tariff and renewable portfolio standards are associated with solar PV diffusion and not with manufacturing. Finally, domestic government policies promoting renewable energy markets, which often lead to domestic electricity rate increases, have contributed to increased manufacturing capabilities internationally, including also in countries without a strong complementary sector, such as China, through the channel of manufacturing collaborations from countries with a strong complementary sector.
KW - Complementary sector
KW - Feed-in-tariffs
KW - Multi-regime interaction
KW - Network
KW - Renewable portfolio standards
KW - Solar PV
UR - http://www.scopus.com/inward/record.url?scp=84894946260&partnerID=8YFLogxK
U2 - 10.1016/j.techfore.2013.06.002
DO - 10.1016/j.techfore.2013.06.002
M3 - Article
AN - SCOPUS:84894946260
SN - 0040-1625
VL - 82
SP - 80
EP - 94
JO - Technological Forecasting and Social Change
JF - Technological Forecasting and Social Change
IS - 1
ER -