From End-of-Pipe Technology to Clean Technology

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The intensive industrial development, while producingnumerous useful products, has been increasinglyinterfering with the limited capacities ofecosystems. Various environmental policies havebeen introduced to reduce emissions. While there is aserious concern about negative impacts of tightenedregulations on industry, theycould actually enhance industrial competitiveness byencouraging innovation in the long run. This booksheds a fresh light on this debate by closely examiningthe interaction between environmental policy andtechnological change in the chlor-alkali industry inJapan and Europe. Weak regulations promoteend-of-pipe technological solutions, which wouldfunction to prolong the life of existing, oftenobsolescent, production processes. Excessivelystringent regulations, in contrast, while forcingclean technological options, could inducepremature decisions on inferior technologies.Institutional designs for public-privatecollaboration will be important in fosteringinnovation for the best clean technologies. Theanalysis should be useful to corporate managers andpolicy makers for strategic decision makings in atransition towards a sustainable society.