Technology policy for renewable energy Knut H. Sørensen NTNU 2003-11-20.

Technology policy for renewable Technology policy for renewable energyenergy

Knut H. SørensenNTNU 2003-11-20

Aim of the talkAim of the talk

To discuss the conditions for a technology policy that supports the development of new renewable energy technologies

To outline possible elements in such a policy

Some socio-cultural Some socio-cultural considerations Iconsiderations I We live in a comfort society

– Price elasticity is low– Income elasticity is low– Comfort is difficult to decrease– Increasing demands of user friendliness

We live in a hydroelectric society– Hydropower electricity is the golden standard of

energy supply– Electricity is perceived as clean

Some socio-cultural Some socio-cultural considerations IIconsiderations IIWe live in a society of mobility

– Mobility is a human right– Mobility is non-urban

We live in a petro society– Norway is a large exporter of oil and gas– Oil and gas provide large revenues

We live in a energy economic rather than energy efficient society

Are new energy technologies Are new energy technologies reflecting the socio-cultural reflecting the socio-cultural conditions?conditions? Problems in the technological culture:

– The engineering ethos: You can’t always get what you want - but you’ll get what you need?

– The professor Higgins’ problem: I’m an ordinary man - why can’t everybody be like me

Problems outside the technological culture:– Ideology

– Instruments

Inside technology-problem: Big Inside technology-problem: Big is beautiful?is beautiful?HeatpumpsWindmillsWave power

Technology policy – a Technology policy – a contradiction in terms?contradiction in terms?Three common problematic assumptions:

– Technology = progress– ”Soft” technological determinism– Accept of the anatomic validity of the linear

model of innovationThus, no need for policy. Technology is

above policy and politics

Common weaknesses in Common weaknesses in technology policy thinking:technology policy thinking: tendency to leave technology out of policy tendency to focus only on development

and design as the main policy objects tendency to limit policy to innovation tendency to limit policy to experts inefficient policy instruments

Example: ENØK – economic Example: ENØK – economic efficiency of energy use. A efficiency of energy use. A story in three actsstory in three acts Act 1. invention: 1976-1985

– small efforts, mainly financial instruments– focus on five activities:

information r&d financial support for prototypes to demonstrate usefulness of

new technologies committee to explore energy conservation issues improvements in the transfer system of electric power

the last remained very dominant in terms of funding.

Act 2: Growth 1986-1992

Increased economic efforts– Use of subsidies to make investments in

energy conservation more attractive– Establishment of education programmes– Economic support of local energy planning

Act 3. Liberalization

Reduced efforts, in particular of subsidies and incentive systems– Greater emphasis of Norway's role as exporter of oil

and - in particular - gas

– Greater emphasis on the market as instigator of energy conservation

– Integration of energy conservation r&d into general energy r&d

Withdrawal of politics?

Some highlights:Some highlights:

With bureaucratic assistance, the Norwegian parliament invents a particular understanding of sustainable energy-use, called “energy economization” (economically optimal use of energy)

This concept is a compromise between economists concerned with the economics of the energy market and the role of relative prices, and engineers concerned with technologies for increased energy efficiency and new energy supplies.

Outcome IOutcome I

A very heterogeneous constituency of actors:– Research communities from different fields, spanning

from physics to economics– New institutions with vested interests in energy

economization - ENOVA– New support systems form development of new

technologies as well “diffusion”– Partly reorientation of relevant regulatory bodies– Parliamentary routines to survey the successes and

failures of the efforts

Outcome IIOutcome II

A regulatory regime with serious deficiencies:– Sidetracks sustainability

– Does not communicate well with actors in technological fields (including architechts)

– Imposes inflexible economic criteria as the basis of evaluating renewable energy technologies

– Sidetracks technology

Example 2: HydrogenExample 2: Hydrogen

A shared dream about a not-to-soon-to-happen future

Positive, but vague political supportA market issue?

Brief comment on the Brief comment on the anatomyanatomy of technology policy:of technology policy:InfrastructureInnovationRegulationParticipation

Outline of a technology policy Outline of a technology policy for a hydrogen economyfor a hydrogen economyInfrastructure: How to make hydrogen

availableInnovation: What innovations need to be

supported in what ways?Regulation: How should the use of

hydrogen be controlled?Participation: How to involve the public in

the hydrogen future?

Sustainable technologies: From Sustainable technologies: From low tech to high tech?low tech to high tech? Electrical cars:

– 1970s: small scale, artisan production, simple solutions

– Today: technologically advanced, engineering-based production

Ecological buildings:– ”Nature-like” solutionsvs– Smart, energy-efficient, high-tech buildings

A general trend?

Criteria of sustainability ICriteria of sustainability I

1970s: Appropriateness– Technologies should be adapted to local conditions

and resources - modular– Simple rather than complex, artisan-based rather than

engineering science– Preferably low cost– Small is beautiful!– Critical towards technical fixes– Alternative rather than new technologies– Limits to growth

Criteria of sustainability IICriteria of sustainability II

Today: Ecological efficiency– Advanced methods to measure sustainability, like

LCA, input-output, etc.

– Mainstream efforts, utilising front-end engineering science

– Sustainable growth –> high costs are acceptable as part of techno-economic optimation

– Big is beautiful?

Towards a new regime of Towards a new regime of sustainable engineering?sustainable engineering?Is high tech appropriate?What are the consequences of making

sustainability a mainstream engineering concern?

Out of control: Oh, not again!