Cited by 20Sustainability and Climate Change GovernanceRenewable Energy and SustainabilityEnergy Law and Policy

The DOI matches its Crossref record; 107 of the 113 references it cites were found in a registry or an index, and 6 are not checked yet; 3 of the 77 sources its claims cite were checked for support.

Smart, circular and renewable: The role of cooperative governance in accelerating a sustainable energy transition

Open access
Van Opstal, Wim, Bocken, Nancy, Brusselaers, Jan·2025·Energy Research & Social Science

Abstract

The proliferation of renewable energy contributes to the Sustainable Development Goals but also leads to waste issues and critical raw material dependencies. It is therefore important to study circular economy (CE) strategies for renewables to mitigate these challenges, while ensuring broad social participation and enhancing community and business resilience. We apply market failure and cooperative theory to explore how cooperative governance can enable and embed circularity in smart grids. Using a case study of a smart grid project in Belgium, we identify key barriers and enablers for fostering circular outcomes. Our findings suggest that cooperative governance can mitigate market failures involved, such as split incentives and asymmetric information, resolving missing markets and facilitating the integration of CE strategies in smart grids. Analysing design-implementation gaps and boundary conditions for scaling and replication highlights the importance of overcoming regulatory barriers and engaging stakeholders through compelling value propositions. While cooperatives are a promising model for advancing sustainable energy transitions, they require regulatory support and community involvement to realise their full potential. Smart grid development may be shaped by regional institutional contexts but the insights on cooperatives derived from this study have a broad international relevance given the globally applied and comparable framework employed.

Verified 2026-11-10 · 6 references not checked yet

Overview

AI snapshot

Written from the paper’s full text.

TL;DR

This paper examines a Belgian smart grid demonstrator to ask how cooperative governance can enable and embed circular economy strategies while mitigating market failures. It finds cooperatives can help address split incentives, asymmetric information, and missing markets, but regulatory barriers and weak stakeholder engagement prevented a full cooperative from being established at the case site.

Key findings

  • Circular strategies in the smart grid faced market failures including asymmetric information, incomplete markets, market power, and unaccounted externalities. For distributed generation, reuse was hindered by screening costs, missing standards/warranties, high labour costs, and cheap new PV (one respondent noted PV is about 20% of a project’s cost); for storage, repurposed EV battery markets were developing but access to battery management system data was limited by car manufacturers.
  • Enablers identified include second-hand markets, digital product passports and warranties, collection/testing/refurbishment infrastructure, modular design, product taxes, public procurement, regulatory sandboxes, dynamic pricing, and energy management systems.
  • Applying ICA cooperative principles, respondents saw potential to mitigate market failures: open membership can internalise externalities, democratic control can reduce agency problems, economic participation can align total-cost-of-ownership thinking, education can internalise positive externalities, cooperation among cooperatives can build scale, and concern for community can address externalities. However, regulatory barriers caused failure on the 3rd and 4th ICA principles, rendering the first two redundant.
  • No cooperative was established at the Transfo site: regulatory bodies lacked engagement and private household participation remained limited to nonexistent. The project negotiated with the DSO to construct and maintain the network as a DC test bed for ten years, and faced delays from COVID-19 and the Flemish decree on energy communities (2021).

Methods

  • Action-based single case study of the RE/SOURCED smart grid at the Transfo site in Zwevegem, Belgium, conducted from 2020 to 2024, with participatory observation, project documentation, and 30 semi-structured interviews with 33 stakeholders lasting 45–80 minutes.
  • Interviews included a premortem question asking why the project would fail within five years; data were coded in ATLAS.ti using content, narrative, thematic co-occurrence, and deductive coding for smart grid components, market failures, and ICA principles.
  • Validity was supported through methodological, source, and theoretical triangulation, combining participatory observation, interviews, document analysis, market failure theory, and cooperative theory.

Limitations

  • The paper states it is based on a single case study that encountered multiple barriers to implementing its initial ambitions, including failure to develop a full-scale operational cooperative; it calls for validation in other geographies and regulatory environments, especially the Global South.
  • The paper states that market failure theory has blind spots, including the assumption that markets can align with a circular transition, and that ICA principles often fall short of their idealtypical representation in practice.
  • Evident from the text: because no cooperative was actually established, the cooperative-governance findings are largely prospective or design-stage rather than observed operational outcomes; project delays and lack of market maturity also limited empirical testing of several circular strategies.

Model-written summary. Check it against the paper before relying on it.

Integrity signals

Registry

Crossref · 10.1016/j.erss.2025.104049

Cites

107 of 113 references verified0 citation errors · 0 not checkable

Statistics

Nothing to recompute.

Verification

Claims the paper makes

3 of 77 cited sources checked · 1 supported · 0 flagged · accuracy not yet measured

Show all 51 claims

  • Probably not a substantial claim. 100
  • It may state two separate claims as one. 66
133 of 133
  • The paper relies on this without support.

    No research has been published earlier on governance aspects of circular economy strategies in smart grids.

    “Moreover, to the best of our knowledge, no research has been published earlier on governance aspects of CE strategies in smart grids.”
  • The paper relies on this without support.

    The circular economy and society transitions require participation of all members of society.

    “The circular economy and society transitions require participation of all members of society, enhancing resilience of both communities and businesses.”
  • The authors state this as an assumption.

    The Transfo site is a unique and highly pertinent example for studying circular smart grids.

    “Given the explicit circularity ambitions embedded in this case from its inception, we regard it as a unique and highly pertinent example for our study [53,106].”
  • The paper relies on this without support.

    Inverters can be designed more resource-efficiently in a DC-grid due to reduced energy losses (DC-DC instead of DC-AC-DC).

    “A third crucial component of physical network is the inverters , which can be designed more resource-efficiently in a DC-grid due to reduced energy losses (DC-DC instead of DC-AC-DC).”
  • The paper relies on this without support.

    REScoops struggle to break out of their niches, largely due to their reliance on volunteers for management and operations.

    “This is important, as REScoops struggle to break out of their niches, largely due to their reliance on volunteers for management and operations.”
  • The authors state this as an assumption.

    The market can align with a circular transition.

    “the assumption that market can align with a circular transition”
  • The paper relies on this without support.

    The practical implementation of ICA principles often falls short of its idealtypical representation.

    “its practical implementation often falls short of its idealtypical representation.”
7 of 7

Self-check

Percentages, sums and reported differences re-computed from the paper’s own numbers.

Each contradiction between two passages listed here was confirmed by an independent check.

  • Respondent 23b's affiliation differs between the text and interview table

    Minor

    The text describes respondent 23b as working at the municipality, but Table A.1 lists that respondent as a RESCOOP board member and external expert.

1 of 1

Citations

Cites

Flagged first, then by citations

Show all 108 references

Research works printed but not linked: 9

  1. European Commission, Study on the Critical Raw Materials for the EU 2023: Final Report., Publications Office, LU, 2023. https://doi.org/10.2873/725585 (accessed June 22, 2023). · DOI
  2. Girard, 2017, CIRCULAR ECONOMY AND CULTURAL HERITAGE/LANDSCAPE REGENERATION. CIRCULAR BUSINESS, FINANCING AND GOVERNANCE MODELS FOR a COMPETITIVE EUROPE, BDC boll, Cent. Calza Bini, 17, 35
  3. Engels, 2015, The micro smart grid as a materialised imaginary within the German energy transition, energy res, Soc. Sci., 9, 35
  4. Throndsen, 2017, What do experts talk about when they talk about users?, Expectations and imagined users in the smart grid, Energy Effic., 10, 283
  5. Holstenkamp, 2016, What are community energy companies trying to accomplish?, An empirical investigation of investment motives in the German case, Energy Policy, 97, 112
  6. Braz, 2022, Circular economy supply network management: a complex adaptive system, Int. J. Prod. Econ., 243, 10.1016/j.ijpe.2021.108317 · DOI
  7. Hansmann, 1999, Cooperative firms in theory and practice, LTA, 48, 387
  8. C. Robson, Real World Research: A Resource for Social Scientists and Practitioner-Researchers, 2nd Edition, Wiley-Blackwell, Oxford, UK ; Madden, Mass, 2002.
  9. Sovacool, 2018, Promoting novelty, rigor, and style in energy social science: towards codes of practice for appropriate methods and research design, energy res, Soc. Sci., 45, 12

Cited by

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Metadata

Authors
Van Opstal, W., Bocken, N., & Brusselaers, J.
Affiliations
University of Antwerp (BE)
Venue
Energy Research & Social Science
Publisher
Elsevier BV
Published
2025-05
Volume
123
Pages
104049
ISSN
2214-6296 (ISSN-L)
OpenAlex
W4409074235
Cited by
20
References
108
Citations by year
2026: 15 · 2025: 5
FWCI
5.61
Type
journal article
Language
en
Open access
Locations
  • Energy Research & Social Science (publishedVersion, cc-by)
  • Research Publications (Maastricht University) (publishedVersion, cc-by)
  • VU Research Portal (submittedVersion, cc-by)
Topics
  • Physical Sciences › Environmental Science › Global and Planetary Change › Sustainability and Climate Change Governance
  • Physical Sciences › Energy › Renewable Energy, Sustainability and the Environment › Renewable Energy and Sustainability
  • Social Sciences › Law › Energy Law and Policy
Keywords
cooperative governance, circular economy, renewable energy, smart grid, sustainable energy transition, market failure, split incentives, information asymmetry, missing markets, critical raw materials, waste, stakeholder engagement, regulatory challenges, community resilience

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