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Modeling technical change in energy system analysis: analyzing the introduction of learning-by-doing in bottom-up energy models
Luleå University of Technology, Department of Business Administration, Technology and Social Sciences, Social Sciences.ORCID iD: 0000-0003-2264-7043
2006 (English)In: Energy Policy, ISSN 0301-4215, E-ISSN 1873-6777, Vol. 34, no 12, p. 1344-1356Article in journal (Refereed) Published
Abstract [en]

The main objective of this paper is to provide an overview and a critical analysis of the recent literature on incorporating induced technical change in energy systems models. Special emphasis is put on surveying recent studies aimed at integrating learning-by-doing into bottom-up energy systems models through so-called learning curves, and on analyzing the relevance of learning curve analysis for understanding the process of innovation and technology diffusion in the energy sector. The survey indicates that this model work represents a major advance in energy research, and embeds important policy implications, not the least concerning the cost and the timing of environmental policies (including carbon emission constraints). However, bottom-up energy models with endogenous learning are also limited in their characterization of technology diffusion and innovation. While they provide a detailed account of technical options—which is absent in many top-down models—they also lack important aspects of diffusion behavior that are captured in top-down representations. For instance, they often fail in capturing strategic technology diffusion behavior in the energy sector as well as the energy sector's endogenous responses to policy, and they neglect important general equilibrium impacts (such as the opportunity cost of redirecting R&D support to the energy sector). Some suggestions on how innovation and diffusion modeling in bottom-up analysis can be improved are put forward.

Place, publisher, year, edition, pages
2006. Vol. 34, no 12, p. 1344-1356
National Category
Economics
Research subject
Economics
Identifiers
URN: urn:nbn:se:ltu:diva-14926DOI: 10.1016/j.enpol.2004.09.002ISI: 000236691800004Scopus ID: 2-s2.0-33645081194Local ID: e5d96540-6f53-11db-962b-000ea68e967bOAI: oai:DiVA.org:ltu-14926DiVA, id: diva2:987899
Note
Validerad; 2006; 20061003 (evan)Available from: 2016-09-29 Created: 2016-09-29 Last updated: 2018-07-10Bibliographically approved

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Berglund, ChristerSöderholm, Patrik

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