Zerlauth, I. (2022). Analysis of the impact of green innovation on environmental indicators and the CO2 footprint – Europe’s way forward [Master Thesis, Technische Universität Wien]. reposiTUm. https://doi.org/10.34726/hss.2022.106160
Climate change transformation; CO2 footprint; environmental KPIs; policy best practice; China-USA-Europe
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Abstract:
Climate change, and especially the unprecedented speed at which it is currently progressing,requires a fundamental change, transition and accelerated action on all levels and from all shareholders. In order to slow the climate crisis, vast CO2 reductions are necessary combined with clear policy and behavioral changes. The CO2 footprint counts among the most commonly known environmental indicators, aiding policy makers to evaluate and analyze progress andgiving a clear and understandable indication of the CO2 developments and trends.This thesis aims to analyze and draw conclusions from climate- and CO2 relevant policies ofthe USA and China, in order to understand which learnings can be applied to Europe. Policiesimpacting green innovation will be looked upon in detail, analyzing three drivers in bothcountries. The innovation criteria focused on were examined from a corporate andgovernmental perspective and centered around the country’s (a) Legal and Regulatory Framework, (b) its Entrepreneurial Conditions and Requirements for Competitiveness and (c)its Financial and Tax System. Knowing the drivers and (past) impacts, it is the goal of this thesis to analyze their previous contributions, possibly re-evaluate the criteria and effectiveness before questioning ways forthe European Union to use these learnings to foster green innovation within the EU in the next years. Although policy approaches cannot be implemented 1:1 in another country, it has beenfound that the hypotheses H1-H3 could be validated in the case of the US and China. Amongstothers, stricter environmental laws and regulations do generate the push-pull effect and aretherefore beneficial for corporate as well as governmental targets (H1). Strong, independentpatents are seen as key regarding entrepreneurial conditions, as they foster green innovation(H2), aid transparent communication and reduce inefficiency. Nonetheless, financial help (e.g.tax credit, ease of the investment landscape) needs to be given to SMEs and larger business(H3) in order to lift the potential additional financial burden coming with green adjustments.Partnerships between the public and private sector are essential to bridge possible investmentgaps and build a stronger civil society involvement. As there is no time to waste, hopefullythese policy examples and learnings can help multiple countries and especially the EU to implement and act faster, more efficiently and environmentally KPI-driven.