“Public procurement barriers in promoting market uptake of innovative LED lighting”

Abstract

Innovations in the lighting sector, such as LED-based light sources, have opened up unprecedented possibilities to both save energy and improve the quality of lighting. There is growing evidence of light's importance for human health, moods, work productivity and quality of life in general; but the uptake of new solutions is still rather slow in society. The public sector can play an important role in opening up markets for innovative new products, lighting solutions and new business models. This paper presents the current status of the public sector's role in facilitating the uptake of innovations in the lighting sector, using Sweden as a case study. The study is based on interviews, case studies and literature reviews. It discusses the role of public procurement for innovation (PPI), analyses technical, institutional and regulatory barriers from the perspectives of different actors and identifies opportunities for action. Our findings suggest that improvement priorities include the closing of knowledge gaps among relevant actors, optimizing the division of responsibilities for decision-taking, avoiding over-interpretation of legal provisions, more effective learning from pilot examples and more innovative thinking in creating service-oriented business models through public-private partnerships.