The deployment of eco-innovations in developing countries is a key driver of their contribution to efficiently addressing global environmental challenges. It is also a key driver of markets for eco-innovation and sustainable economic development. This report explores the barriers developing countries face in accessing markets for eco-innovation. It outlines the key considerations policy needs to address to overcome these barriers and discusses the extent to which selected existing policy mechanisms and organisation have achieved this. The key finding of the report is that the majority of existing policy mechanisms fails to recognise the critical importance of developing indigenous eco-innovation capabilities amongst developing country firms. Indigenous eco-innovation capabilities are essential to facilitating both the diffusion of existing ecoinnovations within developing countries and sustainable economic development based on the adoption, adaption and development of environmentally sound technologies that fit with the bespoke conditions faced by developing countries.
Technological innovation can help realise environmental objectives in a less costly manner than would otherwise be the case. Thus, understanding the role that technological innovation can play in achieving environmental objectives is important for policy debates.
However, the relationship between environmental policy and technological innovation remains an area in which empirical evidence is scant. In an attempt to bridge this gap, the OECD has examined the relevant issues, using patent activity as a measure of technological innovation.
Three case studies have been undertaken: abatement technologies for wastewater effluent from pulp production, abatement of motor vehicle emissions, and development of renewable energy technologies. On the basis of patent data, the nature, extent, and causes of innovation in each of these areas have been explored. While a particular focus has been placed on the role of environmental policy in bringing about the innovation documented, it is recognised that other factors play a key role in inducing innovation that has positive environmental implications.
This paper presents comparative data on innovation in selected climate change mitigation and adaptation technologies in the context of Africa. Such analysis informs policy aimed at encouraging international technology transfer and development of domestic innovation capacities. The authors present detailed analysis of the role of Africa in development of these technologies (invention), and then move on to examine Africa as a technology market (as reflected in patenting). In addition, the authors briefly touch upon the question of cross-border technology development (co-invention) in Africa. Despite Africa’s generally low volume of inventive activity in these fields in comparison with other countries, inventive activity is disproportionately directed towards mitigation and adaptation technologies. In addition, the rate of international co-invention for most mitigation and adaptation technologies is much higher in Africa than in the rest of the world. And finally, rates of protection of climate technologies at African intellectual property offices are high relative to other technologies.
The world economic and social survey (WESS) provides analysis of pressing long-term social and economic development issues and discusses the positive and negative impact of corresponding policies. Even though enormous improvements in human welfare have taken place over the past two centuries, these have been unevenly distributed and have come at a lasting cost of environmental degradation. At the same time, we cannot stop the engines of growth, because economic progress is still needed in order for people in developing countries to have a decent standard of living. The 2011 edition of WESS calls for a complete transformation of technology on which human economic activity is based. The survey details new policy directions and major investments in developing and scaling up clean energy technologies, sustainable farming and forestry techniques, climate proofing of infrastructure and reducing non-biodegradable waste production.
This summary was prepared by Eldis.
In this report, the WBCSD puts forward six key elements to enhance investments and sales of low-carbon technologies in developing countries. These range from government signals to foster low-carbon solutions to engaging business more actively into the international and national climate change process.
The diffusion of low-carbon technologies to developing countries is necessary to achieving a 450 parts per million (ppm) atmospheric CO2 target and keeping an increase of global temperature below 2ºC.
As key providers of technology and innovation, companies can support these targets but the transition to a low-carbon growth will be facilitated if governments set up frameworks that are conducive to investment in the first place.
Specifically, the six elements to enhancing investments and sales of low-carbon technologies are: