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The development and commercialization of solar pv technology in the oil industry

Author

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  • Jonatan Pinkse

    (Energy Management - MTS - Management Technologique et Strategique - EESC-GEM Grenoble Ecole de Management)

  • Daniel van den Buuse

    (University of Amsterdam Business School - UvA - University of Amsterdam [Amsterdam] = Universiteit van Amsterdam)

Abstract

In diversifying energy supply, the transformation of the energy industry has been identified as a key challenge for a sustainable energy future. This suggests that incumbent firms in this industry have a vital role in the development and commercialization process of renewable energy technologies. This paper provides a comparative analysis of oil and gas firms' strategies regarding solar PV technology investments, a renewable energy technology that has seen explosive growth of late. The main aim is to examine the strategic approach of incumbent firms in the oil and gas industry towards the development and commercialization of solar PV technology. To investigate this, a multiple case study has been conducted within the European oil industry, focusing on the three largest oil and gas firms: BP, Royal Dutch/Shell, and Total. Findings show that oil and gas firms have difficulties with integrating solar PV technology in their supply chain. The analysis suggests that it is uncertain whether all oil and gas firms will abandon solar completely, as this depends to what extent they are able to generate profits. Nevertheless, there is currently a trend in the oil industry of leaving solar and positioning towards a 'recarbonization' of business activities.

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  • Jonatan Pinkse & Daniel van den Buuse, 2012. "The development and commercialization of solar pv technology in the oil industry," Grenoble Ecole de Management (Post-Print) hal-00763647, HAL.
    • Handle: RePEc:hal:gemptp:hal-00763647
    DOI: 10.1016/j.enpol.2010.09.029
    Note: View the original document on HAL open archive server: http://hal.grenoble-em.com/hal-00763647v1
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    2. Verhees, Bram & Raven, Rob & Veraart, Frank & Smith, Adrian & Kern, Florian, 2013. "The development of solar PV in The Netherlands: A case of survival in unfriendly contexts," Renewable and Sustainable Energy Reviews, Elsevier, vol. 19(C), pages 275-289.
    3. Bram Verhees & Rob Raven & Frank Veraart & Adrian Smith & Florian Kern, 2012. "Interrogating Protective Space: Shielding, Nurturing and Empowering Dutch Solar PV," Working Papers 12-04, Eindhoven Center for Innovation Studies, revised Sep 2012.
    4. Henning Breuer & Florian Lüdeke-Freund, 2017. "Values-Based Network And Business Model Innovation," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 21(03), pages 1-35, April.
    5. Wang, Jingfan & O'Donnell, John & Brandt, Adam R., 2017. "Potential solar energy use in the global petroleum sector," Energy, Elsevier, vol. 118(C), pages 884-892.
    6. Bondarev, Anton & Dato, Prudence & Krysiak, Frank C., 2021. "Green Technology Transitions with an Endogenous Market Structure," Working papers 2021/07, Faculty of Business and Economics - University of Basel.
    7. Nicoletta Corrocher & Ilaria Solito, 2017. "How do firms capture value from environmental innovations? An empirical analysis on European SMEs," Industry and Innovation, Taylor & Francis Journals, vol. 24(5), pages 569-585, July.
    8. Tuukka Mäkitie & Håkon E. Normann & Taran M. Thune & Jakoba Sraml Gonzalez, 2018. "The green flings: market fluctuations and incumbent energy industries’ engagement in renewable energy," Working Papers on Innovation Studies 20180524, Centre for Technology, Innovation and Culture, University of Oslo.
    9. Maria A. Franco & Stefan N. Groesser, 2021. "A Systematic Literature Review of the Solar Photovoltaic Value Chain for a Circular Economy," Sustainability, MDPI, vol. 13(17), pages 1-35, August.
    10. Absi Halabi, M. & Al-Qattan, A. & Al-Otaibi, A., 2015. "Application of solar energy in the oil industry—Current status and future prospects," Renewable and Sustainable Energy Reviews, Elsevier, vol. 43(C), pages 296-314.
    11. Fernanda Guedes & Alexandre Szklo & Pedro Rochedo & Frédéric Lantz & Leticia Magalar & Eveline Maria Vásquez Arroyo, 2018. "Climate-Energy-Water Nexus in Brazilian Oil Refineries," Working Papers hal-03188594, HAL.
    12. Karoline Augenstein & Alexandra Palzkill, 2015. "The Dilemma of Incumbents in Sustainability Transitions: A Narrative Approach," Administrative Sciences, MDPI, vol. 6(1), pages 1-23, December.
    13. Damien Bazin & Nouri Chtourou & Amna Omri, 2019. "Risk management and policy implications for concentrating solar power technology investments in Tunisia," Post-Print hal-02061788, HAL.
    14. Chaiyapa, Warathida & Esteban, Miguel & Kameyama, Yasuko, 2018. "Why go green? Discourse analysis of motivations for Thailand's oil and gas companies to invest in renewable energy," Energy Policy, Elsevier, vol. 120(C), pages 448-459.

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    Keywords

    Renewable Energy; Solar Photovoltaic; Oil and Gas industry;
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