Technological innovation systems for microgeneration in the UK and Germany – a functional analysis

Abstract

This paper examines the deployment of microgeneration in Germany and the UK from a technological innovation systems (TIS) perspective. Based on the TIS functions approach, we condense supportive and obstructive factors and discuss the differences in the respective national setting for small-scale renewable and combined heat and power (CHP) technologies. The findings underline the relevance of legitimation and of institutional and financial support. High degrees of legitimacy were achieved in both the UK and Germany. In Germany, early institutional and financial support reduced uncertainty for new market entrants and consumers, and fuelled a self-reinforcing diffusion dynamic for small renewables. In the UK, by comparison, microgeneration enjoys little support. The paper concludes that distributed generation will not be successful without a more focussed and technology-oriented innovation policy.

Keywords:

• technological innovation system
• functions
• microgeneration
• renewables
• micro CHP

Acknowledgements

We gratefully acknowledge funding from the German Ministry for Education and Research (BMBF) and from the UK Economic and Social Research Council. We would also like to thank the reviewers and colleagues who commented on previous drafts of this paper.

Notes

BWEA's name changed to RenewableUK in March 2010.

Energy policy in the UK is now handled by the Department of Energy and Climate Change (DECC), which was created in October 2008. Prior to that energy policy was with the Department for Business, Enterprise & Regulatory Reform (BERR). BERR is now the Department for Business, Innovation & Skills (BIS), created in June 2009.

www.bwea.com

Personal communication with Solar Trade Association, 18 November 2009.

Personal communication with Renewable Energy Association, 18 November 2009.

In general, public RD&D spending is difficult to measure with accuracy. This is due to different interpretations by different bodies and/or countries about which activities fit with the scope of RD&D. Reporting of figures to international bodies such as the International Energy Agency rarely cover all RD&D spending. For example, spending by the Carbon Trust (a public body) is excluded.

ASUE (Arbeitsgemeinschaft für sparsamen und umweltfreundlichen Energieverbrauch) (Working group for an efficient and environmentally sound energy use)