Building Competitive Green Industries

Chapter 7Actions to SupportClean TechnologySMEsMain Points• This report has described the importance of SMEs to the growth of competitive clean technologyindustries. It has also illustrated that opportunities exist for developing country SMEs across cleantechnology industries and value chains. However, as illustrated (particularly in the case studies inChapters 4, 5 and 6), the growth of these firms is also dependent on consistent support to overcome thechallenges characteristic of clean technology firms.• This chapter identifies five areas of action that should be considered by governments, developmentagencies, and other public and private actors to support clean technology SMEs in developing countriesThese areas are:Entrepreneurship and business accelerationInnovation financeMarket developmentTechnology developmentLegal and regulatory frameworkPolicy makers and other stakeholders can draw upon a broad tool-box of instruments in each of thesefive areas, to promote clean technology SMEs, listed in Appendix C and discussed in this chapter.• Policy makers, in particular, must adopt and adapt these instruments to fit their country‘scircumstances. They should also seek to mitigate key risks, including failures to coordinate policy designand implementation, market distortions, and the effects of policy discontinuity.• To illustrate considerations within specific national contexts, case studies of national programs targetingSMEs within green industry development are incorporated in the chapter. These include South Korea‘sGreen Growth Strategy, India‘s National Solar Mission, Thailand‘s Energy Conservation Program, andEthiopia’s Climate Resilient Green Economy Strategy.70 Building Competitive Green Industries: The Climate and Clean Technology Opportunity for Developing Countries