Regulation, Innovation, and Systems Integration: Evidence from the EU

Carlo Cambini, Raffaele Congiu and Golnoush Soroush
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Carlo Cambini: Department of Management, Politecnico di Torino, 10129 Turin, Italy
Raffaele Congiu: Department of Management, Politecnico di Torino, 10129 Turin, Italy
Golnoush Soroush: Florence School of Regulation, European University Institute, 50133 Florence, Italy

Energies, 2020, vol. 13, issue 7, 1-18

Abstract: Energy systems integration (ESI) provides a holistic view of the electricity, gas, and heat sectors, which allows the identification and delivery of system solutions that lead to an overall cost efficiency while granting the reliability of the energy system. In this paper, we search for evidence of investments in ESI in the EU to assess whether policymakers are incentivizing its adoption adequately. To do so, we examine how innovation is being fostered in the energy sector in six EU countries by looking at the incentives provided by each country’s regulatory system. We look for evidence on investments in ESI-enabling technologies or ESI projects. We find a variety of approaches towards incentivizing innovation, which range from regulation-driven to government-driven ones. Preferences for different technologies emerge on a per-country basis. Nevertheless, what appears as most striking is the low level of investments throughout the six countries, both for ESI-enabling technologies and ESI projects. Although ESI’s role in the EU’s green transition has been recognized, there is still a need for technological and policy solutions to foster its adoption.

Keywords: energy systems integration; sector coupling; regulation; innovation; research and development (search for similar items in EconPapers)
JEL-codes: Q Q0 Q4 Q40 Q41 Q42 Q43 Q47 Q48 Q49 (search for similar items in EconPapers)
Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

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