Potentials and opportunities towards the low carbon technologies – From literature review to new classification

Abstract

Low carbon technologies (LCTs) have been widely developed in recent years. However, the classification of LCTs varies across academic studies, business insights, governmental directives and reports from institutions worldwide, and depends on the disciplines. A lack of common knowledge makes it difficult to coordinate and enhance interdisciplinary dialog and multi-level cooperation among scholars, governments, enterprises, and non-governmental organizations (NGOs). This review fills this gap by providing a straightforward classification with analysis on the market potential and opportunities on LCTs. Six categories of LCTs are classified based on two dimensions, which are the emission reduction potential and the technology usage purpose. We further identify the investment strategy for each type of LCT by sectors and stakeholders. Strong signals from the government are necessary to promote the development of LCT via regulation and policy, as it provides an economic incentive for firms to invest properly in LCT market. In addition, we find civil society can act properly as a middleman for multi-level regulations, and boost cooperation at international level across countries.