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									    Eco-innovation
Proposed definition and
   typology in MEI
       René Kemp
     A project for FP6
• Call FP6-2005-SSP-5A, Area B, 1.6, Task 1
• In cooperation with Eurostat, EEA and JRC
• Project officer Michele Galatola of DG
  Research
• One of 4 projects funded by DG research
• Project website: www.merit.unu.edu/MEI
• The other projects are:
   – ECODRIVE
   – ETTAR about transport
   – FUNDETEC about finance
           Project objectives:
1)   Conceptual clarification of eco-innovation
     (developing a typology) based on an understanding of
     innovation dynamics
2)   Identification of the main methodological challenges
     in developing indicators and statistics on eco-
     innovation
3)   Defining further research needed to address these
     methodological challenges in developing eco-
     innovation indicators
4)   To make recommendations for possible indicators,
     taking into account the availability of data
            The partnership
• Research team
  –   MERIT (NL)
  –   ZEW (Germany)
  –   Risø (DK)
  –   Imperial College London (UK)
  –   LEIA (Spain)
• DG Research and DG environment
• Collaborators
  – Eurostat
  – EEA
  – JRC
           It is of note that
• The project is not about measuring the
  environmental goods and service sector
• It is about defining eco-innovation and
  scrutinising methods for eco-innovation
  measurement (surveys, patents, digital and
  documentary source analysis)
                           Two Definitions
• Eco-innovation is the production, assimilation or exploitation of
  a novelty in products, production processes, services or in
  management and business methods, which aims, throughout its
  life cycle, to prevent or substantially reduce environmental risk,
  pollution and other negative impacts of resources use (including
  energy use) (Call for project)

• Environmental technologies are technologies whose use is less
  environmental harmful that relevant alternatives (ETAP)
    –   Specifically,environmental technologies encompass technologies and processes to manage
        pollution (e.g. air pollution control, waste management), less polluting and less resource-
        intensive products and services and ways to manage resources more efficiently (e.g. water
        supply, energy-saving technologies
                    A key question
– Should we restrict the term “environmental technologies” to
  technologies with a clear environmental earmark?
   •   Cleaning technology
   •   Pollution control technology
   •   Process internal recycling and improvement measures
   •   Pollution measurement technologies
   •   Waste technologies
   •   Water supply technologies
– Or use it also for, products and product systems with
  environmental benefits, independent on whether these are
  the primary aim of their development?
                Our Definition
• Eco-innovation is the production, assimilation or
  exploitation of a product, production process, service or
  management or business methods that is novel to the
  firm (developing or adopting it) and which results,
  throughout its life cycle, in a reduction of environmental
  risk, pollution and other negative impacts of resources
  use (including energy use) compared to relevant
  alternatives
    About the broad definition
• To us the above definition of eco-innovation is relevant
  and appears workable for statistical agencies and for future
  data collection activities from companies. There is
  unanimity in the MEI project that data collection and
  indicator research should not be limited to
  environmentally motivated innovations but also should
  comprise “environmentally beneficial normal innovations”
  for the reason that they constitute an important category,
  about which we know very little
    A possible classification of
            companies
• Strategic eco-innovators: active in eco equipment &
  services sectors, develop eco-innovations for sale to other
  firms.
• Strategic eco-adopters: intentionally implement eco-
  innovations, either developed in-house, acquired from
  other firms, or both.
• Passive eco-innovators: process, organisational, product
  innovation etc that result in environmental benefits, but no
  specific strategy to eco-innovate.
• Non eco innovators: No activities for either intentional or
  unintended innovations with environmental benefits.
   Hypothetical distribution of
firms according to eco-activities
        Proposed Typology of
environmental beneficial technologies,
    products, services and systems

  • Environmental technologies
  • Organisational methods and systems
  • New or environmental improved products,
    environmental services
  • Green system innovations (new product
    systems)
  Environmental technologies
• Pollution control technologies including waste water treatment
  technologies
• Cleaning technologies that treat pollution released into the
  environment
• Cleaner process technologies: new manufacturing processes that
  are less polluting and/or more resource efficient
• Waste management equipment
• Environmental monitoring and instrumentation
• Green energy technologies
• Water supply
• Noise and vibration control
 Organisational methods and systems
 for reducing environmental impacts
• Pollution prevention schemes: aimed at prevention of pollution
  through input substitution, a more efficient operation of
  processes and small changes to production plants (avoiding or
  stopping leakages and the like)
• Environmental management and auditing systems: formal
  systems of environmental management involving measurement,
  reporting and responsibilities for dealing with issues of material
  use, energy, water and waste
• Chain management: cooperation between companies so as to
  close material loops and to avoid environmental damage across
  the value chain (from cradle to grave)
 New or environmental improved
 products, environmental services

• New or environmentally improved products (goods)
  including eco-houses and buildings
• Environmental services: solid and hazardous waste
  management, water and waste water management,
  environmental consulting, testing and engineering, testing
  and analytical services.
• A possible third category is green financial products such
  as greenlease, climate mortgage, CO2 compensation
  schemes (Trees for travel)
    Green system innovations
• Alternative systems of production and consumption,
  involving new production technologies, knowledge,
  changes in organisation, institutions and
  infrastructures and possibly changes in consumer
  behaviour
• Examples are renewables-based energy systems
  and chain mobility

								
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