Industrial mass production on the basis of cheap raw material and fossil fuels, which has evolved as the economic Leitbild of the 20th century has reached its critical limits. The environmental impacts of fossil fuels are threatening both the environment and further economic development. Changes in the energy and resource base of the economy have been the drivers of productivity: Coal in the first Industrial Revolution at the end of the 18th century and Oil at the beginning of the 20th century. These shifts in fuel base of industry were linked to mutually enforcing technical, social and political innovations. There are indications that we are at the advent of another change in the energy base. The recent strong growth of renewable energies and eco-efficient technologies are the most visible manifestations of an upheaval. What are the implications for societies and for the steering of such radical change? Industrial transformations of this kind cause a re- valuation of capital, professional skills and redistribution of wealth among sectors and regions. This is reflected in political resistance against such transformations. In our essay we analyse the opportunities for a political steering of industrial transformation. The large economic regions of the world are compared regarding their abilities to take a leading role on this. The technological competences, the availability of capital, the abilities to compensate social disruptions, the openness for innovation and the ambitions in environmental policies provide a good position for Europe in shaping the next phase of industrialisation.

Regulatory Impact Assessment (RIA) - understood as the formalised analytical activities initiated or carried out by central government administrations when designing specific policy instruments - is currently receiving high levels of political attention. It is seen as a tool to improve regulatory quality and to promote cross-cutting objectives such as sustainable development. Often conceived as an economic analysis of costs and benefits, RIA tends to be depicted as ‘neutral’ assessment process that informs decision makers about ‘facts’. This does not explain, of course, why RIA often becomes an arena for political conflict involving both government departments and stakeholders. Based on empirical research on the design and practical application of RIA across the European Union, this paper explores the relationship between RIA, policy-making and politics. The aim is to shed light on what knowledge is produced, how it is used by different actors and what role it plays in decision-making. Based on this analysis, we explore to what extent and under what conditions RIA can serve as a tool for more evidence-based and sustainability-oriented policy-making processes.