Upgrading peripheral wind sectors

ABSTRACT

The implementation of traditional policies does not consider institutional singularities in peripheral sectors. The main aim of this paper is to analyse the interaction among local capabilities and multinational agents to upgrade a peripheral wind sector. The case study conducted in the peripheral region of Galicia (Spain) emphasises the challenges concerning policy design and implementation in this kind of regions. The theoretical foundations are based on the systemic and evolutionary approach of the innovation system and the global value chain perspective. This combination enables to analyse how local contexts could shape governance patterns within value chains in peripheral regions. Likewise, the target approach is also applied concerning the design and implementation of a policy programme and its timing. Empirical evidences underline the complementarity of market size and foreign direct investment policies, as well as the diversification towards green transitions through enhancing local capabilities.

KEYWORDS:

• Wind peripheral sector
• public policies
• value chains
• target approach

Acknowledgements

The authors acknowledge the valuable comments on the draft from IKE research group (Aalborg University) and in particular from B. Gregersen, I. Drejer, J.L. Christensen and P.H. Andersen. The authors also acknowledge the valuable comments from the anonymous reviewers. The authors are grateful to the interviewees who have collaborated in this research.

Disclosure statement

No potential conflict of interest was reported by the authors.

Notes on contributors

Pedro Varela-Vázquez is researcher at the University of Santiago de Compostela and member of ICEDE Group. His research focuses on wind sectoral policies and its regional socio-economic impact.

María del Carmen Sánchez-Carreira is lecturer at the University of Santiago de Compostela and member of ICEDE Group. Her research focuses on innovation policies, state-owned enterprises privatisation and sectoral and regional development.

ORCID

Pedro Varela-Vázquez http://orcid.org/0000-0002-9276-669X

María del Carmen Sánchez-Carreira http://orcid.org/0000-0001-9265-2521

Notes

1. The term governance refers to ‘the coordination of economic activities through non-market relationships’ (Humphrey and Schmitz 2002, 1018).

Additional information

Funding

The authors would like to thank the financial support of Competitive Grant Research Units from the Regional Ministry of Culture, Education and Universities (Xunta de Galicia) GRC GI-1178 2014-2017. Likewise, P. Varela-Vázquez thanks the support of FPU [grant number 13/05483] and Ph.D. Fellowship from Xunta de Galicia [grant number 2012/004].