Policy Capacity for Promoting Green Sectors Reconsidered: Lessons from the Renewable Electricity and Organic Farming Sectors in Serbia

Abstract

What governing capacity is needed for promoting emerging green sectors in a sustainable manner and under what conditions is this governing capacity likely to emerge and be sustained in less-developed and transition countries? The article sets out to explore these questions by conducting a comparative policy analysis of the organic farming and renewable electricity sectors in Serbia—an European Union candidate country in the midst of economic transition and democratic consolidation. Although they both face important difficulties in securing meaningful and stable growth, the organic farming sector in Serbia has been found to perform better than the renewable electricity sector in promoting the green economy objectives. Drawing on the latest insights from the literature on policy capacity, the article demonstrates how the higher level of key components of policy capacity, particularly associative capacity and institutionalized deliberation between state and non-state actors, has led to more comprehensive policy outputs and better policy results in organic farming. The article also shows considerable policy deficits in both sectors and concludes that for the institutionalization of policy capacity and long-term development of green sectors, the controversies in the broader political framework have to be alleviated.