Hannon, MJ, Foxon, TJ and Gale, WF orcid.org/0000-0002-9627-7287 (2015) 'Demand pull' government policies to support Product-Service System activity: The case of Energy Service Companies in the UK. Journal of Cleaner Production, 108 (A). 900 - 915. ISSN 0959-6526
Abstract
Product-Service Systems (PSSs) constitute a family of service-based business models designed to satisfy our societal needs in an economically and environmentally sustainable manner. To date however PSS application has remained niche due to a variety of critical barriers. This paper explores how ‘demand pull’ national government policies could support PSS activity by addressing these barriers and cultivating market demand. Lessons are drawn from a case study of how regulatory, economic incentive, informative and procurement policies have supported Energy Service Company (ESCo) activity in the UK; a sub-set of the PSS family focused on energy service provision. Subsequently five policy recommendations are presented to support PSS activity: (1) balancing economic incentives and regulatory disincentives; (2) promoting indirect policy support; (3) redesigning existing market structures; (4) promoting locally-led PSS activity; and (5) creating stable policy frameworks. The paper warns however that national government policy cannot easily address all PSS barriers, such as customer preferences, international developments, technological progress and inherent business model weaknesses, pointing to the need for other complementary solutions. Furthermore, other governance actors beside national government could also implement PSS supporting policies.
Metadata
Item Type: | Article |
---|---|
Authors/Creators: |
|
Copyright, Publisher and Additional Information: | © 2015 The Authors. Published by Elsevier Ltd. This is an open access article under the CC BY license |
Keywords: | Product Service System (PSS); Sustainable business model; Government ‘demand pull’ policy; Energy Service Company (ESCo); Innovation system |
Dates: |
|
Institution: | The University of Leeds |
Academic Units: | The University of Leeds > Faculty of Engineering & Physical Sciences (Leeds) > School of Chemical & Process Engineering (Leeds) > Energy Research Institute (Leeds) The University of Leeds > Faculty of Environment (Leeds) > School of Earth and Environment (Leeds) > Sustainability Research Institute (SRI) (Leeds) |
Depositing User: | Symplectic Publications |
Date Deposited: | 29 May 2015 12:08 |
Last Modified: | 26 Apr 2019 10:18 |
Published Version: | http://dx.doi.org/10.1016/j.jclepro.2015.05.082 |
Status: | Published |
Publisher: | Elsevier |
Identification Number: | 10.1016/j.jclepro.2015.05.082 |
Open Archives Initiative ID (OAI ID): | oai:eprints.whiterose.ac.uk:86489 |