Can Environmental Regulation Make Extractive Industries More Innovative?

Wed, September 27, 2017 12:30 PM - 1:45 PM LIU INSTITUTE FOR GLOBAL ISSUES. Free. Join us for a Policy@UBC and CIRDI seminar series event with John Steen, Associate Professor in Strategy at the University of Queensland Business School in Brisbane.

No RSVP required. Light refreshments offered.

Industry leaders often identify environmental regulations as a burden that makes their enterprises uncompetitive but an alternate view is that well-designed environmental protection policies can encourage businesses to be more innovative. These new products and processes in response to regulation can lead to renewed industrial competitiveness and growth.

In this presentation John will outline the “Porter Hypothesis” for the relationship between proactive environmental policy and industry competitiveness. Using data collected in the recent $200 billion expansion of the Australian oil and gas industry I provide evidence that this relationship does indeed hold but it is highly dependent on the maturity of the industry and its stage of technological development. Specific examples of innovation in response to regulation within the mining and hydrocarbon industries further highlight the important role of regulatory frameworks in the development of these industries.