Clean-Tech Clustering as an Engine for Local Development

Abstract

This report summarises the findings of a case study project on growing clean-tech cluster activity in the Negev region of Israel as part of a series of reviews on Entrepreneurship, SMEs and Local Development carried out by the Local Economic and Employment Development (LEED) Committee of the Organisation for Economic Co-operation and Development (OECD). The review examines entrepreneurship, SMEs and local development in the Negev in the south of Israel, where there is strong potential for the growth of significant clean-tech industry cluster activity, involving a critical mass of firms, human capital, research organisations, support infrastructure and associated formal and informal linkages. This report looks at the ways in which such capacity can be strengthened by public policies, including investment in centres of research excellence and specialised testing facilities, creation of spaces for innovation exchange, and the introduction of a green strategy and eco-city approach. The analysis provides guidance and policy recommendations on how best to support the emergence and expansion of clean-tech cluster activity that will enhance economic development capacity in the region while contributing to national green growth objectives.