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Enabling the Transition • • E E Climate Innovation Systems for a Low-Carbon Future NABLING NABLING REPORT MIXED THE THE SOURCES ASSESSMENTS TRANSITION TRANSITION Summary of nine studies: China, India, INNOVATION Kenya, Tanzania, Uganda, European Union, The Netherlands, Sweden. SYSTEMS SYSTEMS A LOW-CARBON FOR – CLIMATE INNOVATION FUTURE SYSTEMS A LOW-CARBON FOR – CLIMATE INNOVATION FUTURE The ecosystem for entre- preneurs; key stakeholders, resources and processes; capacity building for improved performance. POLICY Enabling frameworks; harmonized, long-term legislation; ambitious targets; stimulate demand; reduce risk; access to capital. TECHNOLOGY INVESTMENTS Universal lack of access to capital; … isn’t the issue; create increase at least fivefold; majority momentum for proven solutions; to come from private capital; attract capital for global attract investors to climate deployment at speed and scale. COLLABORATION innovations. Why we are here Awareness raising and interaction; If there is no URL WWW WWW To stop the degradation of theestablish planet ’slocal natural and englobalvironmen platforms;t and to build a future in which humans live in harmony and nature. concerted efforts can make everyone a winner. OR CLIMATESOLVER CLIMATESOLVER © F Enabling the Transition RAN Why we are here K P To stop the degradation of the planet’s natural environment and AR Climate Innovation Systems for a Low-Carbon Future to build a future in which humans live in harmony with nature. With URL - Regular H I Z www.climatesolver.org GAR / WWF-C © 1986 Panda Symbol WWF-World Wide Fund for Nature (Formerly World Wildlife Fund) . ORG ORG ® “WWF” is a WWF Registered Trademark. WWF International, Avenue du Mont-Blanc, 1196 Gland, ANA Switzerland — Tel. +41 22 364 9111 Fax +41 22 364 0332. D A For contact or further information, please call +46 (0)8 624 74 00 CONTRIBUTORS Editor in Chief: Magnus Emfel, WWF WITH SPECIAL THANkS FOR REVIEWS ANd CONTRIBUTIONS: Editor and research: Lotten Kratt , WWF External experts: Innovation system assessments: Andreas Englund, Innovatum Technology Park Robbert Droop, Netherlands Ministry of Environment; Tanzania: Dr. Flower E. Msuya, Western Indian Dan Strömberg, University of Gothenburg; Ocean Marine Science Association and Peter Birte Holst Jørgensen, Technical University Chisawillo, Tanzania Chamber of Commerce, Industry of Denmark; Hans Nilsson, Four Fact and Agriculture and Thomas Winther, Innogate Uganda: Yasin Naku Ziraba and Grace Twinamatsko, WWF staff: Makerere University Jason Anderson, Annsofie Aronsson, Jean-Philippe Denruyter, David Duli, Barbara Evaeus, Dongmei Kenya: Kavore Kariuki, KGroup Consultants and CHEN, Stefan Henningsson, Yanli HOU, Tobias Thomas Winther, Innogate Krug, Thomas Otim, Tara Rao, Oliver Rapf, Anna Ghana: Gordon Akon Yamga and George O. Essegbey, Söderström, Vicki Lee Wallgren, Tao WANG, Mattias Science and Technology Policy Research Institute, and de Woul, Chu ZHANG Thomas Winther, Innogate Copy editing: April Streeter China: Li Baoshan and Xu Yunsong, China’s Format and design: Sven Björnekull Renewable Energy Academy, and Lv Fang , Ma Liyun and Wang Jielu, Beijing Jikedian Center Citation – this report should be quoted as follows: India: Petra Sonderegger, Indian School of Business, Shirish Sinha and Tirthankar Mandal, WWF India WWF (2011): Enabling the Transition: Climate Innovation Systems for a Low-Carbon Future. EU: Pernille Schiellerup and Bogdan Atanasiu, Stockholm, Sweden. Institute for European Environmental Policy Disclaimer The Netherlands: Ward van den Berg and The contents and views contained in this report reflect Arnoud van der Slot, Roland Berger Strategy those of a large number of authors and sources related Consultants to innovation systems, and do not necessarily represent Sweden: Jacob Rutqvist, GlobalFOCUS those of WWF. Stefan Henningsson, WWF Sweden Acknowledgements This report and the innovation system assessments have been produced with financial support from the Swedish International Development Cooperation Agency, Sida, and the Swedish Postcode Lottery. Front cover photo: © Vernon Wiley / iStockphoto WWF is one of the world’s largest and most experienced independent conservation organizations, with over Printed on a Climate Neutral company, Edita Västra Aros 2011 5 million supporters and a global Network active in Published in May 2011 by WWF Sweden, Ulriksdals Slott more than 100 countries. 170 80 Solna, Sweden, www.wwf.se. For more information WWF’s mission is to stop the degradation of the planet’s about this report, please visit www.climatesolver.org. natural environment and to build a future in which humans Any reproduction in full or in part must mention the title and live in harmony with nature, by: conserving the world’s credit the above-mentioned publisher as the copyright owner. biological diversity, ensuring that the use of renewable © Text 2011 WWF natural resources is sustainable, and promoting the reduction 341 009 of pollution and wasteful consumption. All rights reserved ISBN 978-91 89272-19-4 2 WWF – Enabling the Transition Trycksak On a global average, we consume CONTRIBUTORS FOREWORD 50% more than the Earth’s annual biocapacity. This overshoot is largely Editor in Chief: Magnus Emfel, WWF WITH SPECIAL THANkS FOR REVIEWS ANd CONTRIBUTIONS: due to greenhouse gas emissions from human activities Editor and research: Lotten Kratt , WWF External experts: which are far more than ecosystems can absorb. Our Innovation system assessments: Andreas Englund, Innovatum Technology Park carbon footprint has increased by over 30% since WWF:s Robbert Droop, Netherlands Ministry of Environment; Tanzania: Dr. Flower E. Msuya, Western Indian Dan Strömberg, University of Gothenburg; first Living Planet Report in 1998, and now accounts for Ocean Marine Science Association and Peter Birte Holst Jørgensen, Technical University Chisawillo, Tanzania Chamber of Commerce, Industry over half of humanity’s Ecological Footprint. of Denmark; Hans Nilsson, Four Fact and Agriculture and Thomas Winther, Innogate While awareness of climate change impacts is rising, people and societies all around Uganda: Yasin Naku Ziraba and Grace Twinamatsko, WWF staff: the world are already struggling with the severe consequences of widespread poverty, declining food security, energy shortages, the financial crisis, and degradation of Makerere University Jason Anderson, Annsofie Aronsson, Jean-Philippe ecosystem services.1 Hundreds of millions of people are affected by these pressures, Denruyter, David Duli, Barbara Evaeus, Dongmei Kenya: Kavore Kariuki, KGroup Consultants and and it is the poorest who are hit the hardest. Continued exploitation at this same CHEN, Stefan Henningsson, Yanli HOU, Tobias Thomas Winther, Innogate level will cause escalating threats to lives and livelihoods around the world. Krug, Thomas Otim, Tara Rao, Oliver Rapf, Anna Ghana: Gordon Akon Yamga and George O. Essegbey, Söderström, Vicki Lee Wallgren, Tao WANG, Mattias The speed, scale and complexity of climate change is having a multiplying effect Science and Technology Policy Research Institute, and de Woul, Chu ZHANG on other environmental stresses, and calls for inclusive actions of equal speed and Thomas Winther, Innogate scale. In light of the negative effects of fossil fuels and future projected energy Copy editing: April Streeter China: Li Baoshan and Xu Yunsong, China’s demands, a transformation of the global energy system towards 100% renewables is Format and design: Sven Björnekull Renewable Energy Academy, and Lv Fang , Ma Liyun both possible and necessary. It’s about mitigation and adaptation. It’s about business opportunities and poverty alleviation. It’s about reducing wasteful consumption and and Wang Jielu, Beijing Jikedian Center Citation – this report should be quoted job generation. as follows: India: Petra Sonderegger, Indian School of Business, Shirish Sinha and Tirthankar Mandal, WWF India WWF (2011): Enabling the Transition: This transition requires new solutions – products, systems and services – with Climate Innovation Systems for a Low-Carbon Future. radically reduced climate impact. Such climate innovations2 are numerous, proven, EU: Pernille Schiellerup and Bogdan Atanasiu, Stockholm, Sweden. and available. The question is how we can employ them at speed and scale, globally? Institute for European Environmental Policy Disclaimer Innovation systems are vital enablers for the transition to an equitable low- carbon The Netherlands: Ward van den Berg and The contents and views contained in this report reflect future, as the base camps for explorers of new solutions, or improving the eco-system Arnoud van der Slot, Roland Berger Strategy those of a large number of authors and sources related in which they pursue their endeavors. However, urgent improvements are needed in Consultants to innovation systems, and do not necessarily represent the innovation process in order to radically reduce lead times from idea to market Sweden: Jacob Rutqvist, GlobalFOCUS those of WWF. penetration. This period of time is usually counted in decades, but emissions need to Stefan Henningsson, WWF Sweden peak-and decline before 2020. Acknowledgements WWF’s mission is to stop the degradation of the planet’s natural environment and to This report and the innovation system assessments build a future in which humans live in harmony with nature. This report contributes to have been produced with financial support from the this mission by: (a) consolidating the results and learnings from analyses and projects