Rolf Wüstenhagen

In the last decade, feed-in tariffs have been the method of choice for policymakers trying to accelerate the diffusion of solar photovoltaics (PV). Despite the overall effectiveness of feed-in tariffs, actual adoption rates have shown surprising regional differences, pointing to the presence of peer influence and regional spillover effects. For future diffusion of photovoltaics, understanding these social influences on the decision to adopt is key. Several studies have used revealed preference approaches to discern peer effects in PV adoption, proving their existence but leaving open questions about underlying psychological mechanisms. We close this gap by conducting a survey among potential PV adopters in one of the top three fastest-growing European solar markets and find that two types of social norms, descriptive and injunctive norms and their underlying interplay, play an important role in explaining PV adoption decision and diffusion patterns. Our findings have significant policy implications – as an alternative to following the shotgun approach of uniform nationwide incentives, policymakers should consider inducing snowball effects by facilitating the creation of regional hot spots. Such programs, which may be supported through co-investments between federal and local authorities, would effectively complement existing policy approaches.

The wider diffusion of solar photovoltaics (PV) is crucial to lower the environmental impact of the residential sector, which is responsible for a large share of energy consumption in many industrialized countries, including Switzerland. We investigate the extent to which financial and non-financial factors drive homeowners’ preferences for PV in Switzerland. In addition, we estimate the price premium that homeowners are willing to pay for building-integrated PV (BIPV) versus rack-mounted PV. By conducting an adaptive choice-based conjoint (ACBC) with a representative sample of Swiss homeowners planning to undertake a roof renovation project, we find a premium in willingness to pay of 21.79% for a roof with a BIPV installation in comparison with a rack-mounted PV installation. The results also reveal that the color and country of origin of the PV modules are the main drivers for increasing share of preference for PV. We further show that certain forms of governmental support to increase energy savings over a longer period (e.g. feed-in tariffs), provided that they are transparently disclosed over an aggregated time frame, would be almost equally effective in spurring demand for PV as one-off grants to lower investment costs. Implications for energy policy and marketing are discussed.

After the internal combustion engine was the dominant technology in the automotive industry for more than a century, a transition to electric cars is now under way. However, not all car manufacturers seem equally determined to move away from fossil fuels. Based on a comparative case study of German automakers, we discuss some underlying factors associated with variation in electrification strategies. Conceptually, we focus on firms' dynamic capabilities—in particular, their ability to sense low-carbon risks and opportunities in a changing business environment. Building on qualitative interviews, we gauge sensing capabilities through industry executives' cognitive frames. Our analysis reveals striking differences in the way executives perceive the opportunities and risks associated with electric mobility. In particular, firms' dynamic capabilities to shape the low-carbon transition are tied to their conceptions of consumer preferences and the economics of the transition, their perception of network embeddedness, prior experiences with technological innovation, and leadership.

Increasingly energy policies aim to bring the consumers to the centre of the energy transition. One popular approach is for homeowners and renters in single- and multi-family houses to become solar prosumers. A consumer survey in Switzerland sheds light on the early movers leading the shift towards decentralised energy production.

Households are key actors in decarbonizing our economy, especially when it comes to investments in a decentralized energy system, such as solar photovoltaics (PV). The phasing-out of feed-in tariffs, and unexpected policy changes in the wake of an increasingly polarized climate debate, require residential PV investors to bear new risks. Conducting a discrete choice experiment coupled with a randomized informational treatment among potential residential solar investors in Switzerland, we test whether policy and market risks deter households from investing in solar. We find that salient policy risk reduces households' intention to invest in solar, especially for risk-averse individuals. Conversely, households seem less sensitive to market risk: residential solar investors accept volatile revenues, as long as a price floor for excess electricity sold to the grid is guaranteed. Our study suggests that keeping perceived policy uncertainty low is more important for residential solar investors than fully hedging against electricity market risk.

Impressive growth rates of solar photovoltaics (PV) in higher latitudes are raising concerns about seasonal mismatches between demand and supply. Locating utility-scale PV projects in alpine regions with high solar irradiation could help to meet demand during the winter season. However, similar to wind farms, large solar projects change the landscape and may therefore face social acceptance issues. In contrast to the rich literature on wind energy, social acceptance of solar power has received less attention. This paper helps close this gap with the help of a large-scale survey (N = 1036) that examines the acceptance of alpine solar projects in Switzerland through choice experiments. In addition to attributes that are well established in the social acceptance literature, such as local ownership, along with both distributional and procedural justice, we also investigate the influence of innovative design elements on acceptance. Our findings suggest that local ownership, as well as colored solar panels that reduce the perceived landscape change may increase social acceptance, implying that projects should be kept local and low-key. We also find that acceptance of alpine solar projects is higher among the affected population than among inhabitants of non-alpine regions.