The Faculty Technology, Policy and Management(http://www.tbm.tudelft.nl) at Delft University of Technology (theNetherlands) is offering two Ph.D. positions as part of a study of thepresent and desirable future institutional economic context for thetransition towards a more sustainable society with hydrogen in adecentralized energy system.

PROJECT DESCRIPTION
The aim of this project is to investigate the degree to which thecurrent institutional and socio-economic regime favours the use ofspecific energy carriers resulting in lock-in effects. The ways in whichthe current energy system may be modified in order to facilitate a moredominant role for hydrogen are analyzed. In recent years, a strongawareness of the need for the transition towards a more sustainableenergy system has developed. The transition should involve not onlytechnical changes, but also consider the social economic context in itsentirety. This study focusses on the necessary changes and existinglock-ins in economic institutions of the Dutch energy system. Thesedependencies can be attributed to technical factors like networkexternalities and to institutional and policy factors like the existingfinance and subsidy structure favouring existing energy systems. Thetheoretical framework is based in the field of institutional andevolutionary economics.

PROJECT 1: Institutional dynamics In order to be able to identify policylock-ins in national energy systems it is necessary to understand andcharacterize the specific institutional arrangements. For this analysisthe work of for instance Williamson, North, and Joskow provide usefulstarting points. Their line of thought can be used to distinguishdifferent categories of institutional change: evolutionary changeswithin a certain logic, and revolutionary institutional changes thatresult in an entire new institutional structure with a new logic. Thefollowing questions will be addressed. Does the current technical andinstitutional system allow an evolutionary change towards a hydrogeneconomy (does it fit into the current logic) or is there a need for arevolutionary change (with a new logic)? What concrete measures arenecessary or desirable to accomplish a possible change of the energysystem? On what layer are these changes and how difficult are they torealize?

PROJECT 2: Hidden financial incentives Modern complex technologiesdisplay increasing returns to adoption. The more they are adopted themore they are improved (Arthur, 1989). If two or more complex (energy)systems with increasing returns compete with each other for adoptionaccidental events may lead to dominance of one of them (QWERTY-effect).These events can be historical events like historically determinedeconomic and energy policies. An important aspect here is the existenceof many – often hidden – financial incentives that sustain the lock-inof existing energy systems and impede the adoption of sustainable energysystems like hydrogen.

Starting point of this research is the research of Arthur (1989,Economic Journal). Based on this research a model should be built inwhich the lock-in effect of several energy systems are modelled. Basedon research by van Beers et.al (2006 Applied Economics forthcoming:(http://www.eci.tbm.tudelft.nl)) the lock-in effect due to past economicand energy policies will be analysed. This will result inrecommendations for policy shifts to overcome existing lock-in effects.

PROFILE: The applicants should have a master degree in micro- and/orenvironmental economics or policy-engineering. They should be preparedto work in a strong multi disciplinary environment with economists,political scientists and engineers.

CONDITIONS: The position will be for a maximum of four years. The grossmonthly salary will be approximately € 1,933 in the first year,increasing to € 2,472 in the fourth year. In addition, an 8 % holidayallowance is offered.

APPLICATION PROCEDURE: please, send a curriculum vitae plus cover letterand the names and contact details of three academic referees to Cees vanBeers (c.p.vanbeers@tbm.tudelft.nl) and mrs. Thea Wenneker(t.c.wenneker@tbm.tudelft.nl). Please, also indicate which of the twoprojects you apply for.

Further information can be obtained from: Dr. Cees. van Beers, E-mail:c.p.vanbeers@tbm.tudelft.nl