Circular Industrial Transition. : Can the Green Industrial Policy Revival Support Circular Industrial Transition in Sweden?
(2023)- Abstract
- The major driver of the climate and biodiversity crisis is our unsustainable production and consumption patterns, but the need to transition to a circular and resource- efficient economy has not been sufficiently addressed by policymakers. Policies supporting circular industrial transition are still rare, not the least in contrast with the recent momentum gained by green industrial policy in EU and in USA. The lack of industrial policy in this field is therefore relevant to address. While there is also a lack of research on industrial policy for Circular Economy, this thesis is an exploratory contribution to the Swedish policy landscape, seeking to gain an understanding of the need for an industrial policy for Circular Economy, combining... (More)
- The major driver of the climate and biodiversity crisis is our unsustainable production and consumption patterns, but the need to transition to a circular and resource- efficient economy has not been sufficiently addressed by policymakers. Policies supporting circular industrial transition are still rare, not the least in contrast with the recent momentum gained by green industrial policy in EU and in USA. The lack of industrial policy in this field is therefore relevant to address. While there is also a lack of research on industrial policy for Circular Economy, this thesis is an exploratory contribution to the Swedish policy landscape, seeking to gain an understanding of the need for an industrial policy for Circular Economy, combining interviews with 18 senior experts with literature findings from related research fields. The study finds that a Swedish industrial policy for CE is needed, as well as larger public investments into CE. The few existing policy instruments functioning as industrial policy for CE are identified, but many additional instruments could serve this objective. The interviews provide insights into the specific policy needs, the factors determining policy-design, and the choice of sectors and value chains for policies to target. A relevant policy mix includes policy instruments such as green tax shifting, differentiated VAT, Circular Public Procurement, funding schemes, but also an improved institutional framework. Policy criteria should be based on environmental impact, but also competitive advantages, and alignment with EU. The study concludes that a policy mix combining new and expanded industrial policy instruments, focusing on correcting market failures, market creation, and capacity-building, can support circular industrial transition, and that the current upsurge in interest for CE and for green industrial policy can be leveraged to realise such a policy. But due to complexities regarding the varying CE definitions, implementation, measurement, ideological divergencies, and the fact that circularity does not equate resource-efficiency, policy needs firm anchoring in analysis of environmental impact, clear governmental vision and well- defined targets. (Less)
Please use this url to cite or link to this publication:
https://lup.lub.lu.se/record/07c5933c-3b81-4503-9bf5-ca897828ec21
- author
- Ekdahl, Marianne
LU
- supervisor
- organization
- publishing date
- 2023-06-17
- type
- Thesis
- publication status
- published
- subject
- keywords
- Circular Economy, Industrial policy, Circular Business Models, Green transition, Policy design
- pages
- 118 pages
- language
- English
- LU publication?
- yes
- id
- 07c5933c-3b81-4503-9bf5-ca897828ec21
- alternative location
- https://lup.lub.lu.se/luur/download?func=downloadFile&recordOId=9150815&fileOId=9150816
- date added to LUP
- 2024-09-09 17:23:36
- date last changed
- 2024-09-10 08:12:42
@misc{07c5933c-3b81-4503-9bf5-ca897828ec21, abstract = {{The major driver of the climate and biodiversity crisis is our unsustainable production and consumption patterns, but the need to transition to a circular and resource- efficient economy has not been sufficiently addressed by policymakers. Policies supporting circular industrial transition are still rare, not the least in contrast with the recent momentum gained by green industrial policy in EU and in USA. The lack of industrial policy in this field is therefore relevant to address. While there is also a lack of research on industrial policy for Circular Economy, this thesis is an exploratory contribution to the Swedish policy landscape, seeking to gain an understanding of the need for an industrial policy for Circular Economy, combining interviews with 18 senior experts with literature findings from related research fields. The study finds that a Swedish industrial policy for CE is needed, as well as larger public investments into CE. The few existing policy instruments functioning as industrial policy for CE are identified, but many additional instruments could serve this objective. The interviews provide insights into the specific policy needs, the factors determining policy-design, and the choice of sectors and value chains for policies to target. A relevant policy mix includes policy instruments such as green tax shifting, differentiated VAT, Circular Public Procurement, funding schemes, but also an improved institutional framework. Policy criteria should be based on environmental impact, but also competitive advantages, and alignment with EU. The study concludes that a policy mix combining new and expanded industrial policy instruments, focusing on correcting market failures, market creation, and capacity-building, can support circular industrial transition, and that the current upsurge in interest for CE and for green industrial policy can be leveraged to realise such a policy. But due to complexities regarding the varying CE definitions, implementation, measurement, ideological divergencies, and the fact that circularity does not equate resource-efficiency, policy needs firm anchoring in analysis of environmental impact, clear governmental vision and well- defined targets.}}, author = {{Ekdahl, Marianne}}, keywords = {{Circular Economy; Industrial policy; Circular Business Models; Green transition; Policy design}}, language = {{eng}}, month = {{06}}, title = {{Circular Industrial Transition. : Can the Green Industrial Policy Revival Support Circular Industrial Transition in Sweden?}}, url = {{https://lup.lub.lu.se/luur/download?func=downloadFile&recordOId=9150815&fileOId=9150816}}, year = {{2023}}, }