Innovation and institutional change: the transition to a sustainable ...

130 Chapter 5
Figure 5.3: Share of decentral cogeneration in domestic electricity
production (EnergieNed)
(%)
40
35
30
25
20
15
10
5
0
1975 1977 1979 1981 1983 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003
The increasing diversity of types of technologies used can be explained by a
similar increasing diversity in the application of cogeneration in different
sectors, such as horticulture, health care organisations, service organisations,
wastewater treatment plants, swimming pools, hotels, and so forth. Changes
in the nature of investments can also be observed. Historically investments
in decentral cogeneration took place in various industries 2 as a means to
produce electricity and heat for own use. From the end of the eighties on a
new actor becomes a major investor in decentral cogeneration: the energy
distribution sector. The amount of cogeneration capacity under control of
energy distributors increased from 70 MW in 1990 to 950 MW in 1996
(Elzenga et al., 2001). Moreover, energy distributors started to invest in
cogeneration through joint ventures with industry. Joint-ventures took a
share of 28% in decentral (co)generation in 1995, and this share expanded to
48% in 2000 and 47% in 2003 3 . A further pattern of change is a development
towards cogeneration installations producing a larger share of electricity for
the grid relative to own use. Early installations, before 1985, were more
dimensioned based on own electricity demand because of relatively low
remuneration tariffs (Battjes and Rijkers, 2000). As the climate for
cogeneration improved, for example through subsidies and higher
2 Mainly process industries with a continuous demand for steam such as the chemical
industry, paper industry, food industry and petrochemical industry (SEP, 1979; Blok,
1993).
3 Source: Central Bureau of Statistics, the Netherlands, Decentrale elektriciteitsproductie
naar sector, in: CBS, Energie and Water.