Lessons from Öresund Regional Innovation System on Cleantech Development, Cross-border Cooperation and Academic Entrepreneurship by PETER KIRYUSHIN Уроки Инновационной Системы Эресунна Чистые технологии, Транс-граничное сотрудничество, Научные инновации

Source: IIIEE 2011

Research question: What could be learned from Öresund from the perspective of cleantech, cross-border cooperation and academic entrepreneurship?

Step 1: Literature review on cleantech, academic entrepreneurship and cross-border innovation system Step 2: Interviewing experts in entrepreneurship and innovation, researchers, business people

Step 1: Results of the literature review Preliminary lessons from Öresund for policy-makers in other regions Step 2: Results of the interviews Stages of the cross-border collaboration in innovation and entrepreneurship

Sjælland -20% GHG by 2020 (to 1990 level) Sjælland -20% GHG by 2020 (to 1990 level) København København carbon-neutral in 2025 Skåne -30% GHG by 2020 (to 1990 level) Albertslund -25% GHG by 2015: Albertslund -25% GHG by 2015: Ballerup 25% RES by 2015 Ballerup 25% RES by 2015 Malmö Malmö 100% RES by 2025 Kristianstad Kristianstad -20% GHG by 2020 (to 1990 level) Lund Lund -50% GHG by 2020 (to 1990 level) ÖRESUND LOW-CARBON GOALS

Literature-based lessons from Öresund 1.Invest more public funds in concrete goals-oriented research 2.Create a public and private demand for cleantech innovations 3.Support new environmental strategies and promote cleantech 4.Promote small and medium enterprises, related to sustainability 5.Involve citizens and develop new cultural and behavioral patterns 6.Create triple-helix network collaboration for real practical outcomes 7.Develop changes in academia for applying open innovation approach 8.Promote new financial schemes to attract more innovators and investor 9.Establish effective guidance and consultancy for sustainable innovations 10.Develop competence building and specific education for entrepreneurship

Literature review provided generally positive knowledge on the Öresund RIS development, based on the studying of the past trends Interviews gave the different perspectives. Pieces of puzzle, concerning the current stage and the future, based on the individual experience, research results and personal reflections

What cleantech is? Зеленые решения? Strategies for cleantech–industry collaboration Стратегии продвижения? Entrepreneurship then and now Предпринимател ьство до и после Öresund Entrepreneurship Academy and LUIS Примеры развития инноваций When networks and clusters are efficient? Насклько эффективны сети и кластеры? Biotech companies moved to more attractive regions! Биотех компании переехали! Development of cross- border relations takes time Социо-культурное сотрудничество требует времени Are social innovations coming? Социальные инновации Skepticism about the future transnational collaboration Скептицизм!

1990s – mid 2000s: policy-cooperation, rise of biotech & pharmaceuticals, bridging the sides Stages of cross-border innovation collaboration mid 2000s – nowadays: sober view on the networking, scientific and economic results of cooperation nowadays – the future: climate-smart region, role of cleantech development and entrepreneurship?

Medicon Valley Alliance? – The only sucesfull case? Need for Branding! Strategic thinking Russian approach? Lessons for Green Growth Arena?

TAK! TAK! TACK! TACK!

Кирюшин Петр МГУ им М.В. Ломоносова, экономический ф-т Kiryushin Peter Lomonosov Moscow State University, Deparment of Economics

International collaboration project for the green growth in Kaliningrad region: energy efficiency, renewable energy, waste management Проект международного сотрудничества для зеленого инновационного роста Калининградского региона: энергоэффективность, возобновляемая энергетика, управление отходами Administrations Гос.управление TARGET AUDIENCE ЦЕЛЕВАЯ АУДИТОРИЯ Intl partners Межд. партнеры Бизнес Companies

Institute of Sustainable Development Who our people work for and who do we work with Где работают участники нашего проекта и наши партнеры

Russian official targets = GG Shift from resource-based economy Medvedev: need for green economy Energy efficiency is a key Potential for GHG reduction Need to learn practices from abroad and promote it in Russia Further economic development of Russia requires green growth Дальнейшее экономическое развитие России предполагает зеленый рост Официальные цели РФ = зел. рост Переход к новой экономике Медведев: зеленая экономика! Энергоэффективность Снижение выбросов Нужны лучшие межд. практики и их продвижение в России © Prof S.Bobylev, Moscow State University (с) Проф. С.Н. Бобылев, МГУ им. М.В.Ломоносова

Why Kaliningrad region? Opportunities for intl partnership Need for the development Attractive economic policy Renewables Возможности для партнерства Необходимость развития Экономическая политика Проекты ВИЭ Почему Калининградская обл.?

In order to promote green growth and sustainable development in Kaliningrad region experience of Scandinavian regions plan to be utilized, in particular, of the Bornholm Bright Green Island. Для продвижения технологий зеленого роста в Калининградском регионе предполагается использовать опыт регионов Скандинавии, в частности, датского «ярко зеленого острова» Борнхольм.

Borhnholm Не слишком перспективный в социально-экономическом плане регион Дании Зависимость от туристического сектора, имеющего сезонную активность Снижение численности населения, нежелание молодежи оставаться на острове Не слишком перспективный в социально-экономическом плане регион Дании Зависимость от туристического сектора, имеющего сезонную активность Снижение численности населения, нежелание молодежи оставаться на острове Bornholm before mid 2000th Kaliningrad region Борнхольм до середины 2000-х Not very promising region, especially comparing to the whole Denmark Dependence on tourism, which has the seasonal fluctuations Decreasing of population, youth is not interested to stay on the island Not very promising region, especially comparing to the whole Denmark Dependence on tourism, which has the seasonal fluctuations Decreasing of population, youth is not interested to stay on the island

1.Regional Growth Forum 2.Identification of opportunities: wind energy, energy efficiency and other cleantech 3.Strategy and brand 4.Bright Green Citizenship/ Industry/ Engineering 5.Support from Denmark, EU business. Bright Green Island development Развитие «Ярко Зелного Острова» 1.Региональный Форум Развития 2.Определение возможностей: ветроэнергетика, энергоэффективность и др. 3.Стратегия и Бренд 4.Ярко Зеленое Гражданство/ Промышленность/ Инжиниринг 5.Поддержка Дании, EC, бизнеса

Инженер ные решения Стиральные машины Произв одство энергии Управ ление отход ами Offshore Wind Power BioPower Геотерм альная станция Биомасса Солнце & Ветер Зеленое строител ьство Энерго обновлен ие Автомат изация Тепло насосы Edison & MyCar Промышл енность Электро машины ЕдаЕда Лососе вая ферма Лососевый инкубатор BORNHOLM Bright Green Island Произв одство энергии Централи зованное отопление (Солома) 40 % Ветро энергии 40 % Ветро энергии Green Solution House Источник: Bornholm Business Center, 2011

Наши предложения 1.Создание Совета по зеленому росту Калининградской области из региональных, федеральных и иностранных партнеров 2.Разработка стратегии и бренда 3.Координация и продвижение проектов 1.Organization of the Green Growth Council in Kaliningrad region, which includes regional, federal and international stakeholders 2.Development of the strategy and brand 3.Coordination and promotion of the projects Our solutions

Kaliningrad region generation assets prospects in 5 years 26 Looking into Kaliningrad region generation facilities development until 2016 program Renewables potential in Kaliningrad region is estimated at 200 MW 1 for wind capacities and min. 40 for small hydro. All the projects are non-budget funded. Particularly, the sum, required for co-generation plants is estimated at 15 RUR bn. level. What we suggest To maximize the renewables share (additional 100 MW for wind farms and 40 MW for small hydro) by reducing the portion, attributed to heat and power plants (from 450 to 310). Effect observed Capital constructionCommissioning (MW) Baltic nuclear PP construction2 300 Co-generation PP construction450 Wind-farm construction50 Totally:2 800 RUR bn. Fuel costs savings0,47 annually Not invested in 140 MW of co- generation 4,67 Invested in 140 MW of renewables replacing 8,32 The difference would be erased in (payback period) ConservativeNeutralFavorable 7,75 yrs.5,38 yrs.3 yrs. Ecological effect (standard fuel not burnt) 235,6 ths. t/year 1 P.P. Bezrukov estimate 2 Conservative case involves $2m per MW of wind installed capacity and $1,5m per MW of small hydro, neutral – 1,75/1,25 and favorable – 1,5/1,25, respectively Will be partially solved the problem of additional resources delivery to meet the fuel needs of power co-generation. Even such a "revolutionary" step does not help to reach the target level of 4.5% (170 MW) in the development of alternative energy sources, set in Russia's national development plan in 2020, but it will be a giant leap in the development of renewable energy equal status along with traditional sources.

Moscow School of Management SKOLKOVO27 February 21, dumping of tires in p.Melnikovo, Kaliningrad * Valentin Balanovsky : 30% of waste is sent for recycling, and 70% - for landfill * May 10, Dune Park Kurshskaya kosa was dumped with old tires August 3, the first modern landfill was built in Neman district of Kaliningrad region According to the "Green Patrol", Kaliningrad region is the 52 th place in the sustainable development index May 11, tire recycling facility was burnt in Zelenograd district What is the problem that were solving for Kaliningrad region? Kaliningrad region requires used tires recycling facilities The index looks at the state of the environment, power efficiency, the level of civil initiatives and responsible business

Moscow School of Management SKOLKOVO28 Executive summary Project Used tires recycling plant What is the problem? Used tires are dumped in forest areas of Kaliningrad region Not enough recycling facilities to solve environmental problem What is our solution? Used tires recycling plant by Danish equipment producer Eldan recycling What is the goal? Environmental improvement Increase of ecological rating of Kaliningrad Region Energy efficient facility What are the required resources? Investment Strict control over environment No administrative barriers Total capital investment: $ 3,7 MLN Investment period: 2013 IRR = 39.29% NPV=22 mln rub PBP = 3 Y 5 months