Technology Transfer Mechanisms

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Technology Transfer Mechanisms

• Opportunities and Challenges in the Renewable
  Energy Sector
• Dr Rona Wilkinson/Steven Hunt
• Practical Action Consulting, UK

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Introduction

• Background to Technology Transfer
• Models and Mechanisms
• Drivers and Barriers
• Market Mapping
• Incentives for Technology Providers
• Conclusions

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Technology Transfer

• Definition
• the diffusion and adoption of new technical
  equipment, practices and know-how between actors
  in one geographical area to another
• Traditional technology protectionism
• Why share?
• Technology push vs. market pull

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Models of Technology Transfer

• Vertical
• Transfer of equipment
• No risk to provider
• Quick results
• One-way
• Dependency risk
• Simple linear model

Technology Provider

Buyer
Equipment
Technology Recipient
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Models of Technology Transfer

• Horizontal
• Knowledge transfer
• Longer complex process
• Investment required on both sides
• Loss of provider control
• Partnership/JV based
• Long term sustainability

Buyer


Technology Provider A
Technology Provider B
Equipment Skills Knowledge
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Mechanisms for Technology Transfer

• Public-Private Partnerships
• Government co-financed developments
• Private-Private Partnerships
• Joint Ventures with business fit
• University-Private Partnerships
• Targeted RD collaboration
• Technology Intermediaries
• NGOs, Government

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Examples

• Philippines Geothermal
• India Solar PV
• Sri Lanka micro-hydro
• China wind power
• Brazil bioethanol

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Drivers of Technology Transfer

• Incentives encouraging investment
• Reduced risk (fixed tariffs, guarantees etc)
• Increased information exchange
• Alignment of actor interests in market chain
• Clear, consistent, long term market signals
• Entrepreneurialism and education
• Integrated planning

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Barriers to Technology Transfer

• Lack of awareness and knowledge
• Red tape
• Restrictions on returns to investors
• Lack of security/stability
• Inaccessibility of finance
• Lack of government focus/ownership
• Inappropriateness of technology

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Driver or Barrier?

• Intellectual Property Rights Law
• Concentration and distribution of benefits
• Competition and collaboration
• Standards and Regulations

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Market Mapping Biomass e.g.
Business Environment
Natural Resources
Conflict /insecurity
Food Security
Contract Law
Planning Regs
Electricity Regs
Land use/ ownership
Plant Builder
Plant Operator
Electricity Dist/Trans
Electricity Consumer
Component suppliers
Energy Crop Farmers
Wood Drying and Chipping
Business Services
Metering
Quality Control
Agricultural Co-ordination
Finance
Transport
Engineering Consulting
Storage
Debt Collection
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Incentives for Technology Providers

• Return on Investment
• Access to new markets
• But must show market and revenue potential
• Access to low cost production
• For potential re-export, but may be competition
• Access to development finance
• Increased volumes (economies of scale)
• CSR benefits to reputation

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Conclusions

• Need to understand gaps and issues in whole
  market, not just technology areas
• Must consider capabilities and motivations on
  all sides and try to align
• Need for clarity and consistency in planning,
  regulatory and incentive framework
• Need to consider distribution of benefits and
  impacts as well as electricity

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Thank you!

• Dr Rona Wilkinson/Steven Hunt
• consulting_at_practicalaction.org.uk