Table of contents

Abstract..........................................................................................................................................................

1

High-level recommendations for G20 priority action ...........................................................................................

2

1. Innovation is critical for meeting long-term policy goals ..................................................................................

4

The G20 in the changing energy landscape ................................................................................................................

4

Innovation as an engine of the future.........................................................................................................................

7

The way the energy sector innovates is changing.......................................................................................................

9

Technologies beneficial for energy transitions need different, more systemic and collaborative approaches to

innovation

...............................................................................................................................................................

10

2. The energy technology innovation process...................................................................................................

12

Energy technology innovation is an evolutionary, complex and interactive process..................................................

12

The role of governments in technology innovation ..................................................................................................

14

3. IEA innovation gaps....................................................................................................................................

16

4. Global trends of energy investment and innovation funding ..........................................................................

21

5. The role of collaboration in accelerating global energy innovation..................................................................

23

References ..............................................................................................................................................................

26

Annex A: IEA efforts to help accelerate global energy innovation ......................................................................

27

Annex B: Innovation gaps...............................................................................................................................

29

Innovation needs in the power sector.......................................................................................................................

29

Innovation needs in renewable power......................................................................................................................

32

Innovation needs in fuel supply................................................................................................................................

36

Innovation needs in industry ....................................................................................................................................

37

Innovation needs in transport ..................................................................................................................................

43

Innovation gaps in buildings ....................................................................................................................................

49

Innovation gaps in energy integration......................................................................................................................

54

General annex ...............................................................................................................................................

56

Abbreviations and acronyms ...................................................................................................................................

56

Units of measurement .............................................................................................................................................

56

Table of contents...........................................................................................................................................

59

List of figures

Figure 1.

TPES change 2006-16 by GDP per capita ...............................................................................................

4

Figure 2.

TPES by country, 2006 and 2016............................................................................................................

5

Figure 3.

TPES by fuel, 2016.................................................................................................................................

5

Figure 4.

Electricity generation by fuel, 2016........................................................................................................

6

Figure 5.

Tracking Clean Energy Progress, 2019 ...................................................................................................

7

Figure 6.

Speed of cost reductions in key energy sector technologies, against those in the digital sector ............

10

Figure 7.

The energy technology innovation process ..........................................................................................

13

Figure 8.

Innovation gaps 2.0: Illustration of the gap approach – energy storage.................................................

18

Figure 9.

Energy R&D expenditure in the public sector .......................................................................................

21

Figure 10.

Private-sector investment in energy R&D, by subsector of investing company .....................................

22

Figure 11.

Connections among initiatives.............................................................................................................

25

PAGE | 59

Technology Innovation to Accelerate Energy Transitions

Table of contents

Figure 12.

A complex innovation system needs all supportive pieces to fit together

..............................................

28

List of boxes

Box 1.

An innovation gap example for hydrogen: Ammonia production with electrolytic ................hydrogen

19

List of tables

Table 1.

Innovation policy best practice calls for a broad, need-specific portfolio of ..........support mechanisms

15