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  • This 1989 research paper by Amory B. Lovins of the Rocky Mountain Institute argues for the creation of markets in resource efficiency to combat the economic tendency to treat natural resource depletion and pollution as free goods. Lovins proposes treating saved resources—such as 'negawatts' of electricity—as commodities that can be traded, auctioned, and hedged, providing a market-based alternative to regulatory mandates. He asserts that efficient technology is generally cheaper than producing new resources, creating a significant profit opportunity for those who sell efficiency rather than the resource itself.

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    Themes: resource efficiencyenergy transitionnegawattsmarket mechanismspollution abatement
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    Document type: Research paper

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