TY - GEN
T1 - The challenge of measuring investments and identifying investors
AU - Christensen, Jesper Lindgaard
AU - Hain, Daniel S.
PY - 2013
Y1 - 2013
N2 - Following the increased interest in energy innovation, the statistics in the area have improved and is now covering a wide technology field and countries. Some of the relevant statistics may be found in national accounts; however, this will usually be inadequate. As will be apparent below, there are several types of flaws and difficulties related to getting a statistical overview of investments in innovation in the energy sector; it is not just a matter of increasing the existing statistical efforts and precision, there are more generic difficulties. Obviously, activity indicators of energy innovation (cf. other chapters in this volume) are closely related to indicators of investments in energy innovation. Hence, a number of general measurement challenges, such as separating innovation and activities, apply to investment measurement as well. Furthermore, any kinds of outcome measures in the energy realm, and elsewhere, are by nature interdependent with investment activities. We will in this chapter focus on the challenges that are special to the investment activities and on the mapping of investors.The measurement challenges may be approached from a ‘receiver’ perspective, i.e. the investments into a specific type of (energy) sector or activity, and it may be seen from the ‘supplier’ perspective, i.e. the investors. Both approaches have their limitations and challenges. We point out that in order to understand the structural features of energy innovation investments it is necessary to see these in a framework of how different types of investors specialize in certain stages of the (energy-) innovation process. We furthermore argue that there are intrinsic barriers to precise measurement, and we outline some of the most important deficiencies in the current measurements. Still, we point to some sources to draw from when conducting research on investments in energy innovation, particularly emphasizing existing firm and investor level data.
AB - Following the increased interest in energy innovation, the statistics in the area have improved and is now covering a wide technology field and countries. Some of the relevant statistics may be found in national accounts; however, this will usually be inadequate. As will be apparent below, there are several types of flaws and difficulties related to getting a statistical overview of investments in innovation in the energy sector; it is not just a matter of increasing the existing statistical efforts and precision, there are more generic difficulties. Obviously, activity indicators of energy innovation (cf. other chapters in this volume) are closely related to indicators of investments in energy innovation. Hence, a number of general measurement challenges, such as separating innovation and activities, apply to investment measurement as well. Furthermore, any kinds of outcome measures in the energy realm, and elsewhere, are by nature interdependent with investment activities. We will in this chapter focus on the challenges that are special to the investment activities and on the mapping of investors.The measurement challenges may be approached from a ‘receiver’ perspective, i.e. the investments into a specific type of (energy) sector or activity, and it may be seen from the ‘supplier’ perspective, i.e. the investors. Both approaches have their limitations and challenges. We point out that in order to understand the structural features of energy innovation investments it is necessary to see these in a framework of how different types of investors specialize in certain stages of the (energy-) innovation process. We furthermore argue that there are intrinsic barriers to precise measurement, and we outline some of the most important deficiencies in the current measurements. Still, we point to some sources to draw from when conducting research on investments in energy innovation, particularly emphasizing existing firm and investor level data.
KW - Sustainable development
KW - environmental economics
KW - renewable energy investment
KW - financing of innovation
M3 - Report chapter
SN - 978-87-93130-00-5
VL - II
SP - 61
EP - 66
BT - Indicators of energy innovation systems and their dynamics: A review of current practice and research in the field.
A2 - Borup, Mads
ER -