ABSTRACT
This chapter investigates the effectiveness of different policies to incentivise relocation of cleantech firms to Masdar City. The exploration of optimal policy implementation is a key to developing a technology cluster in Masdar City. The chapter explores whether policies in the form of tax exemption or preferential treatment from local government, access to different types of seed funds and availability of consulting services in market research can help Masdar City to evolve as a cluster for cleantech activities. Masdar City represents an exemplary city in a resource-rich country that aims to turn into a flagship of low-carbon development and a clean-technology cluster, to spearhead innovation in the Middle East and North Africa (MENA) region. The chapter serves to understand the factors that attract firms to low-carbon cities in resource-rich economies in general. The study of Masdar City can also serve as a reference for other low-carbon cities that intend to become hotbeds of innovation by attracting cleantech firms.
