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In order to facilitate the transition to electricity industries with low CO 2 emissions, it is important to understand which firms invest in renewable energy technologies. This study concentrates on the heterogeneous characteristics of investors in wind power that are embedded in the investors’ dynamic capabilities. Data on 617 investors in the Swedish onshore wind industry are analyzed. Investors with higher investment and management experience and a mixed generation portfolio whose business is electricity production have more assets in wind. Investors’ age in the wind industry has a negative relation with assets in wind, illustrating that latecomers are investing more. Individual incumbents of the electricity industry hold a relatively large amount of assets in the Swedish wind industry, but the group of incumbents as a whole possesses only 15 percent of wind assets. The results suggest that tailor-made policies could stimulate a greater variety of firms to invest in wind power. [ABSTRACT FROM AUTHOR]

The promotion of renewable energy production requires the cooperation of previously unrelated actors. In the Netherlands, a government subsidy pushes biomethane producers into a relationship with operators of the gas network. However, this cooperation proved to be very difficult. This research analyzes the problematic interaction between producers and network operators in the case of biomethane injection in the Dutch natural gas grid. We draw on the concept of ‘institutional logics’ to improve our understanding of this interaction and to identify divergent practices and belief systems. This research contributes to the multilevel perspective on socio-technical transitions, in particular to insights into the interaction between the biomethane niche and gas regime. Based on interviews and secondary data sources we find diverging logics for biomethane producers and network operators. The differences regarding the goals pursued, decision-making style, and the scale of operations hamper productive cooperation. We also observe that ‘boundary spanning’ individuals step in to increase mutual understanding and to forge productive working relationships. However, the existing logics leave very little room for maneuvering, given the embeddedness and stability of logics in thinking, acting, and physical infrastructure. Mismatching institutional logics form a serious hurdle for successful biomethane injection, and thus hinder the transition towards more renewable energy production. [ABSTRACT FROM AUTHOR]

• Utilities business model adaptation to sustainable energy activities is analyzed. • A preference for renewable electricity, particularly wind generation is found. • Utilities create valuable complementarities among new sustainable activities. • Mergers and acquisitions are the preferred choice to integrate new activities. • Traditional utility value creation drivers of efficiency and lock-in prevail. Delivering a low-carbon future depends significantly on the decarbonization of the electricity industry. Increasingly, electric utilities have experienced pressure to redefine their business model amid the need to transition to a sustainable energy system. In this study, we focus on how utilities have changed their business model to adapt to the emergence of sustainable energy innovations in the energy system and which value creation drivers they draw on. By framing the business model as an activity system, we capture how utilities expand the boundaries of their business to integrate sustainable energy activities. We analyze 756 boundary-spanning transactions (mergers and acquisitions, joint ventures, and strategic alliances) of 20 European utilities from 1990 to 2019. We find that utilities pursued 20 distinct sustainable energy activities across renewable electricity generation, smart electricity management, emerging technologies, and sustainable mobility. Preference for renewable energy activities, particularly wind generation is observed. The combination of renewable electricity generation and smart electricity management indicates a focus on systems integration. We also find preference for integrating activities through mergers and acquisitions. Utilities focus on acquiring sustainable energy activities leading to a novel bundling of activities contributing to decarbonization while reinforcing the efficiency and lock-in of their traditional business model. [ABSTRACT FROM AUTHOR]