Abstract
To eliminate the problems of climate warming, several countries have devoted a great deal of time and money to reduce CO2 emissions by replacing combustion energy power plants with cleaner technologies such as wind, hydro or solar power. However, with this energy transition new demand rises to the power grid. This new demand constitutes a major challenge both economically and technologically, yet very little research has been conducted on infrastructure transformation. This thesis seeks to explain how technological change comes about in infrastructure sectors. To explain the mode of technological change, the European HVDC subsea cable industry was chosen as a case unit. Using the sectoral system of innovation (SSI) perspective, this paper examines three dimensions of the European HVDC subsea cable industry, namely; (1) knowledge and technologies; (2) actors, relationships and networks; and (3) institutions. This paper shows that infrastructure sectors evolve slowly due to the techno-economic properties of infrastructures. An example of this is the external systemness dependency on the functioning of the infrastructure service. This creates highly risk-averse customers and thus slowing down technological change. Homogenous demand and technology with high cumulativeness has also created a very homogenous firm environment that might also slow down technological change. This thesis ends by suggestions some policy implications to help facilitate faster technological change in the infrastructure sectors.