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Section 4
Section 1
Section 4
International cooperation on innovation works best when tailored to 
and beneﬁcial for local value chains, when partners collaborate on an 
equal footing, and when capacity building is an integral part of the 
effort (medium conﬁdence). {WGIII SPM E.4.4, WGIII SPM E.6.2}
Technological innovation can have trade-offs that include 
externalities such as new and greater environmental impacts and 
social inequalities; rebound effects leading to lower net emission 
reductions or even emission increases; and overdependence on 
foreign knowledge and providers (high conﬁdence). Appropriately 
designed policies and governance have helped address distributional 
impacts and rebound effects (high conﬁdence). For example, digital 
technologies can promote large increases in energy efﬁciency through 
coordination and an economic shift to services (high conﬁdence). 
However, societal digitalization can induce greater consumption of 
goods and energy and increased electronic waste as well as negatively 
impacting labour markets and worsening inequalities between 
and within countries (medium conﬁdence). Digitalisation requires 
appropriate governance and policies in order to enhance mitigation 
potential (high conﬁdence). Effective policy packages can help to 
realise synergies, avoid trade-offs and/or reduce rebound effects: 
these might include a mix of efﬁciency targets, performance standards, 
information provision, carbon pricing, ﬁnance and technical assistance 
(high conﬁdence). {WGIII SPM B.4.2, WGIII SPM B.4.3, WGIII SPM E.4.4, 
WGIII TS 6.5, WGIII Cross-Chapter Box 11 on Digitalization in Chapter 16}
Technology transfer to expand use of digital technologies for land use 
monitoring, sustainable land management, and improved agricultural 
productivity supports reduced emissions from deforestation and land 
use change while also improving GHG accounting and standardisation 
(medium conﬁdence).