1. June 11, 2016 1 Innovation systems and agriculture With a focus on The Netherlands Dr. Linda Kamp, l.m.kamp@tudelft.nll.m.kamp@tudelft.nl STD Seminar 2012

2. June 11, 20162 Structure of this presentation My background Agriculture in the Netherlands – short introduction Two theoretical frameworks that can help us to understand current developments and provide insights on how to implement solutions An example of derived insights Why is all this relevant for you now? STD Seminar 2012 – Lecture by Linda Kamp

3. June 11, 20163 My background Assistant professor at TU Delft, Faculty of Technology, Policy and Management Focus on innovation processes and innovation systems PhD defense in Utrecht, 2002, on learning processes in wind turbine innovation systems in The Netherlands and Denmark Large role in TU Delft Master Program Sustainable Energy Technologies (SET) – responsible for Energy & Society graduation profile Teaching MSc courses on Sustainable Technology Development, innovation systems, transitions and backcasting STD Seminar 2012 – Lecture by Linda Kamp

4. June 11, 20164 Agriculture in The Netherlands – status quo ~70% of Dutch area in use for agriculture ~10% of GDP and 5-10% of working population Second exporter worldwide of agricultural products (after USA) High population density in The Netherlands – limited availability of area Different agricultural zones within the Netherlands: Arable farming Animal husbandry (for meat and dairy) Combined farming (arable + animal husbandry) Horticulture: production of fruits and vegetables in greenhouses Employment in agriculture keeps declining STD Seminar 2012 – Lecture by Linda Kamp

5. June 11, 20165 Agriculture in The Netherlands - problems Fierce international competition => prices that farmers receive relatively low Unsustainable situation both in arable farming (pesticides, fertilizers, possible problems with GMO’s) and in animal husbandry (animals have too little space, illnesses among animals, use of antibiotics, breeding unhealthy animals) Growing ‘bad name’ of agriculture in The Netherlands because of animal diseases (mad cow disease, bird flue, etc) viewpoint that lots of subsidies go to agriculture competition for land (e.g. agriculture – recreation) STD Seminar 2012 – Lecture by Linda Kamp

6. June 11, 20166 Agriculture in The Netherlands – current trends Number of developments in reaction to different problems: Higher input of R&D Increase of mechanisation & decrease of labour inputs – intensive farming Increase of area per farm Development of niches to meet specific demand E.g. organic agriculture, farmers delivering their products on demand to individuals Combination of ‘functions’ of the land E.g. agriculture and tourism, agriculture and sustainable energy production (e.g. from algae or agricultural wastes) STD Seminar 2012 – Lecture by Linda Kamp

7. June 11, 20167 How to understand and influence these developments? Two theoretical frameworks that help us to understand current developments and provide insights on how to implement solutions STD Seminar 2012 – Lecture by Linda Kamp

8. June 11, 20168 Emergence of novelty: innovation journey STD Seminar 2012 – Lecture by Linda Kamp

9. June 11, 20169 Multi-level perspective: static view STD Seminar 2012 – Lecture by Linda Kamp

10. 10 Multi-level perspective: static view Things you cannot change Things you can change (but with difficulty) June 11, 2016 STD Seminar 2012 – Lecture by Linda Kamp

11. 11 Multi-level perspective: Agriculture E.g. public opinion, climate change, EU regulations, geopolitical relations Embedded agricultural system in a country: In NL large-scale capital and R&D intensive agro-industry New niche developments: e.g organic agriculture, combination of land functions, production of green energy from e.g. agricultural wastes June 11, 2016 STD Seminar 2012 – Lecture by Linda Kamp

12. June 11, 201612 Multi-level perspective – dynamic view STD Seminar 2012 – Lecture by Linda Kamp

13. June 11, 201613 Dynamics between the three layers Landscape developments can put pressure on the regime This can create opportunities for new technologies in niches If niche technologies have been sufficiently developed, they can enter the regime and Form part of the regime, or Overthrow the regime STD Seminar 2012 – Lecture by Linda Kamp

14. June 11, 201614 Multi-level perspective – dynamic view Niches form innovation systems STD Seminar 2012 – Lecture by Linda Kamp

15. Innovation systems (social) system that produces and diffuses knowledge and innovations (both products and processes) consisting of these elements that influence each other: Knowledge + technology Actor networks Institutions (= rules) June 11, 201615 STD Seminar 2012 – Lecture by Linda Kamp

16. 16 Knowledge and technology ‘Hardware’ = technological artifacts Production processes Knowledge gained by: -Learning by searching (R&D) -Learning by doing (practical knowledge) -Learning by using -Learning by interacting -Higher order learning June 11, 2016 STD Seminar 2012 – Lecture by Linda Kamp

17. 17 Companies Actors = individuals and organisations that are involved in developing and/or implementing technology Networks: these actors are/should be linked to each other Actor networks GovernmentsKnowledge institutes Other involved organizations Users / market June 11, 2016 STD Seminar 2012 – Lecture by Linda Kamp

18. 18 Institutions (= rules) Institutions are ‘rules of the game’ that influence technology development and implementation Examples: -Laws -Policy measures and programs -Formal policy goals -Already available knowledge -Local cultural circumstances -Local political circumstances -Local habits June 11, 2016 STD Seminar 2012 – Lecture by Linda Kamp

19. 19 So… A new technology within a niche is developed and implemented by networks of actors that develop and exchange different kinds of knowledge and are influenced by all kinds of rules These actor networks, knowledge types and rules should be optimally adjusted to each other and to the innovation E.g.: It is important to involve the final consumer and learn about consumer preferences and values Development of relevant standards (=rule) is important ‘regime’ regulations may not fit well and therefore hinder the new innovation June 11, 2016 STD Seminar 2012 – Lecture by Linda Kamp

20. June 11, 201620 Going one steps further: Functions of innovation systems model For an innovation system to be successfully developed and implemented, 7 functions need to be fulfilled: 1.Entrepreneurial activities 2.Knowledge development 3.Knowledge diffusion – between all relevant actors (e.g. researchers, firms, policy makers and final consumers) 4.Guidance of the search – e.g. via fitting policy goals and programs 5.Market formation 6.Mobilization of resources – financial capital, human capital, physical resources 7.Creation of legitimacy – e.g. creating consumer awareness, adjusting cultural biases, counteracting resistance in the ‘regime’ STD Seminar 2012 – Lecture by Linda Kamp

21. 21 How can the MLP help to understand and influence developments? - 1 Public opinion, Climate change, EU regulation, geopolitical relations Embedded agricultural system in a country New niche developments June 11, 2016 STD Seminar 2012 – Lecture by Linda Kamp

22. June 11, 201622 How can the MLP help to understand and influence developments? - 2 Some current developments take place in regime: R&D intensive farming Extension of farm sizes Increased mechanisation Intensification STD Seminar 2012 – Lecture by Linda Kamp

23. June 11, 201623 How can the MLP help to understand and influence developments? - 3 Other new developments each form a separate niche Organic farming Agriculture combined with tourism Agriculture combined with energy production (e.g. biogas or cogeneration in greenhouses) STD Seminar 2012 – Lecture by Linda Kamp

24. June 11, 201624 How can the MLP help to understand and influence developments? - 4 Each niche aims to grow out in a well functioning innovation system => alignment of (1) knowledge and technology, (2) networks of actors, (3) institutions (=rules) Each niche has its own requirements in terms of Need for technology and knowledge (different kinds: R&D, user preferences, etc.) Need for involvement of specific actors Needed institutions and insitutional changes (including e.g. regulations, laws, cultural aspects, etc) Each niche should aim for fulfillment of 7 System Functions STD Seminar 2012 – Lecture by Linda Kamp

25. June 11, 201625 A specific example: organic agriculture In order to achieve a well-functioning organic agriculture innovation system, farmers need to, e.g.: Form a network with all relevant actors, e.g. relevant policy makers, retailers interested in selling their produce, final consumers and their representatives Find out consumer preferences and adjust their products and services to that Lobby for removal of restrictive regulations and laws Develop knowledge, together with knowledge instutes, on sustainable methods to keep crops healthy and increase yields Also develop skills, e.g. business skills Exchange knowledge will all relevant actors Create legitimacy for organic agriculture STD Seminar 2012 – Lecture by Linda Kamp

26. June 11, 201626 STD Seminar 2012 – Lecture by Linda Kamp

27. June 11, 201627 Why is all this relevant for you now? Innovation system elements and functions can play role in backcasting analysis, both in terms of future image/view/goals and in necessary changes, and may also add elements Culture, Structure, Technology Culture related to creation of legitimacy and to ‘rules’ but is broader than that Structure related to entrepreneurial activities, market formation Technolgy related to knowledge development and diffusion Think about paying explicit attention to different kinds of resources needed, actor network formation and ‘rules’ (e.g. policies, regulations, standards, etc) STD Seminar 2012 – Lecture by Linda Kamp

28. June 11, 201628 Why is all this relevant for you now? - 2 When thinking about technical solutions only focusing on technical aspects / changes is not enough! Many innovations and bright ideas remain ‘on the shelf’ or in very small niche markets Paying explicit attention to the variety of actors / activities / rules needed to develop and implement these innovations aims to help to bring them forward STD Seminar 2012 – Lecture by Linda Kamp