Designing Climate Policy: From Innovation to Diffusion

This one-day workshop took place on 19th May 2025 and brought together researchers working on the design, evaluation, and impact of climate policies aimed at fostering the development and diffusion of low-carbon technologies. Access the slides for each presentation and a summary of the event.

This one-day workshop took place on 19th May 2025 and brought together researchers working on the design, evaluation, and impact of climate policies aimed at fostering the development and diffusion of low-carbon technologies. 

 

 

 

The shift toward a low-carbon economy calls for a combination of technological innovation, large-scale deployment, and well-designed public policies to guide and accelerate this transformation. In a context where technologies differ widely in their maturity and diffusion, climate policy plays a critical role in enabling systemic change.

This one-day conference gathered researchers working at the intersection of environmental economics, innovation policy, and energy transition. The program was structured into four thematic sessions that explored key aspects of the low-carbon transition.

The first session examined the diffusion of key mitigation technologies in hard-to-abate sectors.

Knut Einar Rosendhal (NMBU) presented an analysis of the complex interactions between emerging Direct Air Capture technologies and electricity market dynamics. 

Jean-Pierre Ponssard (CNRS) considered the role of strategic interactions on the timing of adoption of Carbon Capture and Storage technologies in concentrated industries such as cement and steel.

The second session focused on the deployment of low-emission hydrogen. 

Rind Alhage (PSE) examined how cross-sectoral dynamics between industrial material uses and energy applications can influence rollout pathways. 

Albin Kasser’s (PSAE) presentation focused on climate policy design and the balance between technology neutrality and targeted instruments, for an efficient support of competing hydrogen technologies.

The third session explored the drivers of environmental innovation. 

Stéphane Lemarié (GAEL) analyzed how different regulatory instruments, such as emissions standards, taxes, or quotas, influence the direction of innovation of biofuels between improved yield and cost reduction. 

Eugénie Dugoua (LSE) empirically examined how public R&D funding influences the supply of new scientists in clean energy technologies.

The final session focused on industrial strategies for the green transition.

 Juan Pablo Montero (PUC) considered the optimal design of Low Emission Zones, treating hybrids as transition technologies, stressing the importance of policy commitment. 

Finally, Antoine Dechezlepretre (OECD) discussed how a coordinated mix of carbon pricing, innovation support, and infrastructure investment can accelerate the deployment of low-carbon technologies. 

Together, these discussions highlighted the importance of aligning technological, economic, and institutional dimensions to meet the challenges of climate change mitigation.

 

You can access the slides for each presentation by clicking on the program below.

PROGRAM

09:30–09:45 | Welcome address

09:45–11:15 | Technology Diffusion

Chair: Guy Meunier

• Knut Einar Rosendahl (NMBU) – Direct Air Capture and interactions with the electricity market

• Quentin Hoarau (EconomiX) & Jean-Pierre Ponssard (CNRS) – The adoption of CCS by the cement industry: a game theoretic analysis

 

11:45–12:45 | Hydrogen in the Energy Transition

Chair: Stéphane De Cara

• Albin Kasser (INRAE, PSAE) – Technology Neutrality vs. Policy Discrimination: Optimizing Support for Competing Green Technologies

• Rind Alhage (PSE) – Energy Transition Dynamics: Unlocking Synergies for Low-Emission Hydrogen Deployment

 

14:15–15:45 | Transition Dynamics and Innovation

Chair: Anna Creti

• Eugénie Dugoua (LSE) – How DOEs Government Funding Fuel Scientists?

• Stéphane Lemarié (INRAE, GAEL) – Regulations and the incentive for environmental innovations on emissions

 

16:15–17:45 | Industrial Policies

Chair: Quentin Hoarau

• Juan Pablo Montero (PUC) – Low Emission Zones: The Value of Transition Technologies under Commitment

• Antoine Dechezleprêtre (OECD) – Industrial strategies for the green transition