Low-Carbon Innovation and Development is the second Globelics Thematic Review, edited by Rasmus Lema, Björn Johnson, Allan Dahl Andersen, Bengt-Åke Lundvall, and Ankur Chaudhary. The report examines one of the defining challenges of the twenty-first century: how countries can reduce carbon emissions while continuing to promote economic development, poverty reduction, and social inclusion. It argues that climate action and development should not be viewed as competing priorities but as mutually reinforcing objectives supported by innovation, learning, and capability building.
The report introduces the concept of Learning, Innovation and Competence-building Systems (LICS) as a framework for understanding low-carbon development. Rather than focusing only on technological change, the authors emphasize that successful transitions require coordinated learning processes involving firms, governments, universities, research organizations, financial institutions, and civil society. Building these systems enables countries to create, adapt, and diffuse low-carbon technologies while strengthening domestic capabilities and fostering long-term economic resilience.
A central message of the review is that low-carbon development is fundamentally a process of structural transformation. Moving away from carbon-intensive production requires not only cleaner technologies but also new institutions, policies, infrastructure, business models, and patterns of consumption. The authors argue that developing countries have an opportunity to pursue alternative development pathways by investing in renewable energy, energy efficiency, sustainable infrastructure, and green industrialization. However, these transitions require policies that encourage innovation, facilitate knowledge exchange, and strengthen local technological capabilities rather than relying exclusively on imported technologies.
The report also explores the role of international cooperation. It argues that development organizations and donor agencies should move beyond technology transfer and instead support long-term learning, institutional strengthening, and collaborative innovation systems. Building local capabilities is essential for ensuring that low-carbon technologies can be adapted to different economic, social, and environmental contexts. Throughout the review, examples from Africa, Asia, and Latin America illustrate how countries can combine sustainability objectives with industrial development and inclusive growth.
Another important contribution is the integration of sustainability transitions with innovation systems research. The report demonstrates that climate change cannot be addressed solely through environmental policies; it also requires industrial policy, education, finance, governance, and international partnerships. By bringing together these perspectives, the review expands the Globelics research agenda and highlights the importance of systemic thinking in designing effective low-carbon strategies.
Overall, Low-Carbon Innovation and Development provides a comprehensive framework for understanding how innovation systems can drive sustainable development in a carbon-constrained world. It remains a foundational reference for researchers, policymakers, and development practitioners seeking to align climate action with inclusive economic transformation.
