Book Description

Innovation Dynamics and Policy in the Energy Sector discusses the process and future of global innovation in the energy sector based on the innovation leadership example of Texas. The book proposes that the positive dynamics of Texas energy sector innovations arises from a confluence of factors, including supportive institutions, the management of technological change, competitive markets, astute public policy, intraindustrial collaboration, a cultural focus on change and risk-taking, and natural resource abundance. Heavily case-study focused chapters review the fundamental drivers of innovation, from key discoveries at Spindletop; the proliferation of oil production through major field development; through electric sector deregulation; and recent innovation in hydraulic fracking, renewable integration, and carbon capture. The work closes to argue that sustainable global innovation addressing the twin challenges of climate change and the energy transition must be driven by the promotion of competition and risk-taking which continually promotes the development of ideas, a process jointly funded by the public and private sectors and supported by collaborative and competitive institutions. Reviews the fundamental drivers of energy innovation and examines each driver through 10 key episodes in the Texas energy innovation experience, inclusive of guidance to the international research community based on their example. Establishes the critical impact of constructive energy policy, energy technology, and power markets in cultural settings that invite change and risk-taking and proposes them as key factors in building sustainable innovation. Consolidates current research and practice related to innovation from the perspectives of established (economics and engineering) and emergent (innovation economics and econometrics) disciplines.