Innovation and Governance arrangements of Aquathermal Energy systems; A multi-case analysis of WaterWarmth pilots

The aim of this Work Package 6 (WP6) report is to describe and analyze insights from Interreg North SeaWaterWarmth demonstration pilots. Specifically, WP6 examines the pilots' innovation and governancearrangements that help implementation and scaling of aqua thermal energy (AE) systems in real-worldcontexts. The work is therefore primarily based on lessons learned through a mixed methods approach withthe Interreg North Sea WaterWarmth project pilots. To help address the shortage of knowledge on innovationof AE systems, this report builds on frameworks previously used in WP6 work (see Deliverable 6.1; Hoppeet al., 2024) where a mapping of theoretical frameworks and a typology to analyze governance of AE andother heating systems was performed. Particularly, we are applying three of the approaches and theoreticalframeworks from Deliverable 6.1 from various scholarly backgrounds. For example, the multi-levelperspective (MLP) and Strategic Niche Management (SNM) have a background in Science-and TechnologySystems studies, Transition Studies and Evolutionary Economics, while Governance Arrangements (GA) hasits roots in Governance and Policy Studies. As the focus of this report is on bottom-up niche leveldevelopments, we use concepts from SNM involving voicing and shaping of expectations, network formation,and learning. The pilots are implemented under societal conditions and hence also influenced by the existingheating regimes. Therefore, we address challenges and tensions, which we assume indicates incumbentregime influence that often hinders AE innovation development applying the MLP. Finally, we are interestedin what role governance, and more specifically, regulation plays in pilots. This refers to organization authorityand legitimacy, the role of government, and policy instruments like regulations, permit systems, and/ orsubsidies.For this report, nine pilot projects using an exploratory multi-case study approach were studied. The firstquestions for mapping the AE projects were posed to individual pilot leads in an online survey in April 2024.A workshop with the pilots was then held in Caen, France in May 2024. Following this, semi-structuredinterviews were performed with nine key pilot study respondents throughout the autumn of 2024. The resultsare assessed for each pilot within this report, and a synthesis analysis is presented followed by conclusionsand policy recommendations. Results show that not all nine pilots have a vision. Four of the pilots indicatethey do not yet have a vision, while five others indicate they. Four pilots are located in municipalities thatoperate a municipal heat vision. Networking was observed to occur in various forms across the pilots. Inseveral projects networking was seen as a way to attract key stakeholders, with projects having internalguidelines on how to select stakeholders who are considered desireful to join the network. This includeshaving frequent and also bilateral meetings with local stakeholders, in two cases leading to the formation ofa local heat coalition. However, networking was also observed as a way to mobilize intra (organization- andintra-municipal capacity to advocate AE in regional policy making, so as to develop and adapt policyframeworks and planning schemes. Learning was practiced in different ways among the pilots. First, learningtakes place by involving local stakeholders in projects and benefiting from their experiences and perceptions.In some of the pilots this even entailed citizen participation and co-creation of plans. In five pilots learningfrom past experiences of other and past, similar pilots occurred. Learning was also observed to occur in areflective way. For example, by monitoring and reflecting on one’s own project planning and implementationprocess. As well as learning from monitoring progress, ongoing data collection, developing a knowledgebase.