In search of green political economy: steering markets, innovation and the case of the zero carbon homes agenda in England

Advocates of a democratic ‘Green state’ challenge Hayekian free-market environmentalist proposals for a minimal state and the emphasis of ecological modernisation discourses on technological innovation as the primary route towards ecological sustainability. However, these more strongly pro-market traditions raise important questions and provide useful insights concerning the challenges of translating the political ideology of ‘ecologism’ into practical proposals for democratic governance. Hayekian thought raises vital questions concerning the capacity of political processes to address complex challenges of coordinating the formulation and delivery of the sustainability objectives of ecologism. Scholarship on ecological modernisation and the ‘new regulation’ offer important insights into how shifting interrelationships between the state and private sector in the policy process might enable this challenge to be more effectively addressed. These areas for further developing proposals for a Green state are illustrated here through a case study of the zero carbon homes policy agenda in England