Supporting and accelerating the adoption and diffusion of environmental innovations amongst small and medium sized enterprises (SMEs) is a major challenge to environmental policy makers. Research suggests that whilst SMEs possess high flexibility, their innovative capacity may be limited to incremental changes within their existing technology system and network. Twenty case studies examining the innovation adoption process in SMEs in four sectors and in five countries within the ENVIS project (commissioned by the EU) revealed great variety in factors driving this process. Findings indicate that this variation can be attributed to the character of the environmental innovation, the specific business opportunity, the regulatory setting and pressure experienced by the sector. Based on these findings an analytical framework is suggested, whereby the environmental innovative capability of SMEs is conceived as the result of an interplay between the competencies, the network relations and the strategic orientation of the company (the 'dynamic triangle'). This indicates that policy to support SME's adoption of environmental innovations has to take an integrated form, i.e. addressing and developing competence, networks and strategic orientation of SMEs simultaneously whilst remaining systemic and context sensitive

In the transition of socio-technical systems, local projects and experiments regarding the low carbon economy and climate mitigation/adaptation serve as transition places. In specific contexts, they become sites of innovation and creativity. This paper discusses and characterizes the innovative practices undertaken in local Danish arenas of transition, concentrating on technology and practice related to CO 2 reductions within the housing and construction sector. In particular, the paper seeks to identify the various roles of local actors' deliberation in situated places of transition, thus contributing to the development of transition theories on actors and conditions for niche experimentation. Finally, the paper contributes to the building up of knowledge on transition dynamics related to low carbon construction and housing.companies to such a degree that a desire for political action becomes politically clear. Some local governments become engaged due to the political mobilization of environmental non-governmental organizations (NGOs), politicians and/or administrative staff. In many cases, local governments become engaged in climate mitigation or eco-innovations because of new business opportunities for local corporations, or because they wish to enhance local community cohesion. Regardless, a general development of more horizontal governance structures among local and national governments seems to condition the enhanced deliberation at the local level. This may be reflected in the many political initiatives taken by local government organizations to become active partners in, for example, climate politics. The principle of subsidiarity also implies that orders and policies from the EU to a great degree pass responsibility for resource management, climate mitigation and adaptation to the local government level. Accordingly, we will see more emphasis on bypassing the national state, and an increased attention to capacity building among local authorities.As energy consumption related to the management of construction and housing makes up to 40% of the total energy consumption in many northern communities, we should expect that energy refurbishment, renewable energy in heat and electricity supply or low-energy constructions would become a focal part of local climate strategies and programmes. For this reason, examining local innovative, climate-energy-housing initiatives, conditioned by national strategies and resources, becomes highly relevant.Here we look at local climate mitigation in the construction and housing sectors in terms of the promotion of non-fossil energy and energy saving in the combined field of energy systems and construction/housing. This redefinition of housing/construction technologies and practices is addressed within a transition theory perspective, as transition of socio-technical systems.It has become widely recognized (e.g. EU Commission, 2008) that the challenge of sustainability demands profound changes in our production and consumption systems. Climate mitigation and sustainable devel...

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