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Using evidence from the acceleration of change over the past two decades, Transforming Energy Systems: Economics, Policies and Change (Elgar 2021) examines the market developments and policies that advance and guide innovation and deployment of low-carbon alternatives to present fossil fuel use. It makes a compelling case for heterodox energy reform strategies—including market-creating industrial policies sequenced with emissions pricing differentiated by sector—to address key market imperfections that can hold back the advance of low-carbon alternatives. These imperfections include knowledge spillovers from innovation and cost/profit spillovers from early deployment, as well distributional impacts and risk of time-inconsistent policies. The book also examines the infrastructure, institutional and regulatory reforms needed to accelerate change and bring within reach societal net-zero-emission goals to stabilize the climate.
