A comparative case study of non technical barriers for combined heat and power and district heating diffusion in Sweden and the United Kingdom

The subject of this thesis is the non technical drivers and barriers which are observed for the two energy saving technologies Combined Heat and Power (CHP) and District Heating (DH) in the United Kingdom and in Sweden. Due to lack of specific theory applicable to the specific technologies a general theory based in market failure, institutional and technologic diffusion theory has been used for understanding and analysing the market phenomena and for making policy recommendations. The thesis has been written as a comparative case study comparing two individual market case studies of the UK and Swedish CHP and DH markets. Qualitative data has been collected through a series of interviews which have been analysed using the coding and clustering method developed in Miles and Huberman (1994) The results from the research show that the formal as well as informal institutional environment on the respective market is of significant importance for the uptake of CHP and DH presently and historically. The current and past policy as well as the information available on a market is important to avoid market failures for CHP and DH. This thesis recommends the use of more mandatory regulations, institutional innovation and stronger financial incentives in the United Kingdom to increase the uptake of CHP and DH.