School of Earth and Environment
Untitled Document

Matthew Hannon Matthew Hannon

Postgraduate Student

Telephone number: +44(0) 113 34 35572
Email address: eemjha@leeds.ac.uk
Room: 9.125

Biography

Project TitleThe Role of Sustainable Business Models in Energy System Transitions; The Case of Energy Service Companies (ESCos) and the UK

Supervisors Dr Tim Foxon,, Prof William Gale, Prof Andy Gouldson, Dr Lucy Middlemiss

Start Date: 1st October 2009

Project Outline

'To overcome the lock-in to current carbon-intensive systems of energy service provision, one interesting potential avenue is through the introduction of radically alternative, sustainable business models, in place of incumbent business models. However, the role and relative importance of these alternative business models in transforming socio-technical systems is not yet fully understood, as most have found only early-stage niche application to date. This research explores the role alternative sustainable business models can play in driving forward a low-carbon transition of socio-technical systems, and seeks to identify how these business models could be optimised in terms of character and deployment. To illustrate the role alternative, sustainable business models could potentially play in system transformations, we consider the case of the Energy Service Company (ESCo) model in the UK energy system'

An ESCo's revenue is predicated largely upon achieving energy savings for its customers and as such, is negatively coupled with their energy throughput. An ESCo's revenue is therefore drawn from their customers' savings on their energy bills, providing a real incentive to improve their customers' energy efficiency, and thus helping to reduce their energy throughput. This represents a break from 'business as usual' within the energy markets and if adopted on a larger scale, it could herald significant changes to the wider energy system.

To inform our understanding of the role and relative importance of alternative business models in energy system transitions, the research explores the following;

  • The strengths and weaknesses of the ESCo model
  • The drivers and barriers to its adoption
  • The factors responsible for the evolution and resulting variety of ESCo models
  • The role and relative importance of the ESCo model in transforming the UK energy system

Areas of interest:

  • Transition Pathways
  • Multi-Level Perspective
  • Systemic Innovation
  • Co-evolution
  • Agency
  • Complexity Science
  • Systems Thinking
  • Multi-level Governance
  • Organisational Change
  • Business Models
  • Business Model Innovation
  • Institutional Theory

Current Research Projects

Publications and Esteem

Hannon, M. (2010) The Rise of ESCos? What is the future role, form and efficacy of ESCos in the context of a transitional UK urban energy system? A report for Leeds City Council; Sustainability Research Institute, University of Leeds

Hannon, M. Foxon, T., Gale, W. (2011) The Role of Alternative Business Models in Socio-Technical Transitions; the Case of Energy Service Companies (ESCos) and the UK Energy System; 2nd International Conference on Sustainability Transitions; Lund University, Lund, Sweden 13-15 June 2011