Renewable energy and innovative climate technology would play a key role in the transformation of energy systems from fossil to renewable – due to the report: ‘The New Climate Economy’ from The Global Commission on the Economy and Climate. We are going towards a low emission society that will require changes in energy use, consumption and production patterns.
The report ‘The New Climate Economy’, shows how technological innovation and investments in efficient low emission solutions can create new possibilities for improved economic growth. A main conclusion from the report is that there is often no contradiction between economic growth and climate action. In order to achieve growth, we need to use more renewable energy, and also developing new technological solutions. In the transformation of energy systems from fossil to renewable, innovation and technology development would play a key role.
The change process to a low emission society is demanding, but also creates new growth opportunities. The periphery regions of Europe are well positioned to take part in the development of new energy and climate technology – based on their assets; renewable energy production, environmental knowledge, sustainable technology development focus and climate technology goals.
The technology development takes place in a market with players range from major companies with designated development departments to individual enterprises and entrepreneur companies. The large companies are important for driving development, the smaller and creative suppliers often provide new ideas. The key elements for renewable and climate technology development:
- Private industry – is the most important driver of technology development. They develop new technology when this is competitive with established solutions. If the private industry companies and business are to invest in innovation – there must be a possibility to make profit and a market hat is willing to pay.
- Price level – In the energy market it has always been the price level that come first, then requirements for renewable energy and environmental standards – is this situation about to change?
- Recession – Technology development often take place during periods of recessions – the necessity of improving efficiency and innovation is stronger when competition gets tougher during periods with lower demand.
- Public support – for development of renewable energy and climate technology has proven to be important. It exists in a range of policy instruments – covering the entire development course from research to demonstration of new technology, and thus ensuring that projects reach the commercialization phase.
It takes time to develop new technological solutions. Without any profitable prospects, there is no basis for technology development. It is important that those with the ability and willingness to take the investment risk, receive the necessary help along the way. The GREBE Project should strengthen the efforts to bring new technology to the market, and ensure the realization of new technology projects – give the necessary help to companies that wants to bring new renewable and climate technology to the market.
The change to renewable energy is on it’s way.