The 'sailing ship' effect and the energy transition
carbonrisk.substack.com
The ‘sailing ship’ effect – also known as the ‘last gasp effect of obsolescent technologies’ - occurs where competition from new technologies stimulates improvements in incumbent technologies and the firms that produce them. For example, the advent of steam power inspired the makers of sailing ships to innovate, transforming the structure from one made of wood, to metal and other materials. These new manufacturing techniques improved the carrying capacity of the vessel while also aiding its speed.
The 'sailing ship' effect and the energy transition
The 'sailing ship' effect and the energy…
The 'sailing ship' effect and the energy transition
The ‘sailing ship’ effect – also known as the ‘last gasp effect of obsolescent technologies’ - occurs where competition from new technologies stimulates improvements in incumbent technologies and the firms that produce them. For example, the advent of steam power inspired the makers of sailing ships to innovate, transforming the structure from one made of wood, to metal and other materials. These new manufacturing techniques improved the carrying capacity of the vessel while also aiding its speed.