Abstract
Innovation in electricity distribution networks will be an important element in the transition to a sustainable low-carbon energy system. The nature of networks as regulated monopolies means that the locus of the evolution of protective space for innovation is regulatory institutions, and that the politics of creating protective space is the politics of institutional change. In this paper I examine the case of Britain, where protective space for research, development and demonstration projects was created over the course of the 2000s in the form of funding mechanisms within the regulatory regime. The case study is used to test structural and discursive theories of gradual institutional change. I conclude that these theoretical frameworks are consistent with the evidence, but that the characterisations of change actors and of dominant policy paradigms are insufficiently flexible. I also conclude that the framework for innovation in the British regulator remains incomplete.
Highlights
In the analysis of innovation processes for sustainability transitions, the multi-level perspective (MLP) on socio-technical transitions currently plays a dominant role (Smith et al, 2010)
I turn to the approach that has played a central role in political analysis – institutionalism – to analyse contested ideas and institutional change in the creation of protective space for innovation in electricity distribution networks in Great Britain
Whether the Low Carbon Network Fund (LCNF) will lead to major changes in network investment and operation more widely remains to be seen. In their business plans for the new price control period to 2023, distribution network operators (DNOs) expect that savings from smart grid solutions against BAU approaches will lead to savings equivalent to less than 2% of allowed revenue (Ofgem, 2013)
Summary
In the analysis of innovation processes for sustainability transitions, the multi-level perspective (MLP) on socio-technical transitions currently plays a dominant role (Smith et al, 2010). I turn to the approach that has played a central role in political analysis – institutionalism – to analyse contested ideas and institutional change in the creation of protective space for innovation in electricity distribution networks in Great Britain.. I turn to the approach that has played a central role in political analysis – institutionalism – to analyse contested ideas and institutional change in the creation of protective space for innovation in electricity distribution networks in Great Britain.1 The background for such innovation is the anticipated transformation of electricity systems, with growth in small-scale renewable electricity generation technologies, at least partial electrification of heat and transport, and the possibility of greater demand side response. The conclusion addresses both the nature of the evolution of smart grid policy, and on the analytical project of introducing political analysis into the study of sustainability transitions
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