Drivers and Obstacles to Implementing Co-creation in Sustainable Heating

A Multiple Case Study Addressing the Institutional Rules underlying Co-creation

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Abstract

Reaching net-zero carbon emissions by 2050 is vital to limit global warming to 1.5◦C. Decarbonizing the heating sector that is globally responsible for half of total energy consumption is necessary to achieve climate-neutrality goals. The complex nature of the heating sector (characterized by variable market demands, and complicated stakeholder networks) has resisted the stakeholder alignment necessary to develop sustainable heating solutions. Co-creation provides a viable solution - a governance structure characterized by multiple, semi-autonomous centres for decision-making. There is little insight, however, into co-creation strategies in the field of sustainable heating. State-of-the-art literature indicates the need to explore the theoretical underpinnings for co-creation. Furthermore, if performed incorrectly, co-creation can result in the destruction of the public value and citizen rights it aims to uphold. The Institutional Analysis and Development (IAD)Framework provides a systematic method to analyze policy activities, over varying temporal, geographic and socioeconomic contexts. This body of research takes a novel approach in applying the IAD framework to understand the factors that aid and impede the development of effective co-creation. The framework demonstrates its efficacy in assessing both the process of co-creation and its outcomes. The IAD Framework was applied on qualitative data in the form of interviews and archival data from co-creation participants in four pilot cities that are part of the EU-Interreg 2 Seas Sustainable Heating Implementation of Fossil-Free Technologies project. Results show that supportive project management conditions such as stable funding, comprehensive planning support and the involvement of key stakeholders (actors) across the different stages of co-creation are vital for its success. The presence of community attributes such as shared values and goals motivate stakeholders to collaborate together. When actors who adopt the role of coordinators view co-creation favourably, they can use their administrative skills and social capital to bring together stakeholders in an effective manner to find solutions acceptable to all. Involvement of key actors in the initial planning stages is important to develop strategies that are tailored to specific communities. The presence of neutral actors such as research institutes is helpful across all stages and was shown to be vital in initiating co-creative strategies and facilitating supportive conditions for social learning. Furthermore, this study found that pre-existing governance structures between interacting stakeholders determines the pathway in which co-creation evolves. Pre-existing power dynamics, combined with the crucial role played by coordinators in the group, form patterns of interaction that tend to reinforce governance structures that do not allow for effective co-creation. Policymakers may benefit from the following recommendations - a) coordinators must commit to involving key stakeholders, including citizens, in all phases of co-creation; b) when co-creation is initiated by actors who are traditionally in authoritative positions in society, provisions must be made for capacity-building in other stakeholder groups. This study focuses on co-creation pathways when initiated by actors traditionally in powerful roles, in liberal democracies in Western Europe. Future research can focus on co-creation pathways when initiated in a bottom-up fashion. The development of co-creation in different political and societal settings merits further research.