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1 |
ID:
191165
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Summary/Abstract |
Auctions are currently the dominant and most rapidly expanding form of support for renewable energy project deployment, capturing the interests of policy-makers and academics alike. This article provides a systematic review of the relatively recent but already abundant literature on auctions for renewable energy and proposes a future research agenda on the topic. Major themes, gaps in knowledge, and trends in the literature are highlighted. More research efforts will be needed on the institutional capacity and arrangements, coordination between auctions and other procedures and appropriate inclusion of auctions in policy mixes. The trade-offs between different criteria should be the focus of more rigorous and quantitative marginal analysis, identifying the extent to which improving a given criterion worsens another. The existence, causes and consequences of underbidding, the implications of the just energy transition for the performance of auctions and auction design, the marginal impact of the level of design elements and the interactions between design element choices in “design element packages” merit more attention. There should be a greater focus on the micro-level in the assessment of the success of auctions and auction design. At a methodological level, assessments of auctions with case studies should coexist with more quantitative studies on the topic, using a wide range of methodologies. However, the transferability of lessons on the functioning of design elements across different contexts will be necessarily limited. Finally, a plea is made to national governments and international institutions to facilitate the access to auction data.
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2 |
ID:
191170
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Summary/Abstract |
Local community acceptance is a key influence on wind farm siting decisions. However, there is a temporal limitation to much social acceptance literature in that it does not consider how perceptions of the local community may change over the operational life of a wind farm and in the context of end-of-life applications for repowering or life-extension. In response, this paper increases the temporal depth of our understanding of social acceptance through presenting the results of survey research undertaken with communities living close to two English wind farms that have experienced end-of-life applications. For many respondents, perceptions of their local wind farm did not change following construction or over the life of the scheme, contrasting with common expectations that acceptance will increase over time. The findings reveal that community support for applications to repower or life-extend is influenced by experiences of living with the wind farm over time. It also shows how factors that have been found to impact perceptions of new wind farms, particularly the benefits that people experience, involvement in the planning process, and relationships with the developer, can influence responses to end-of-life applications. These insights are used to provide recommendations for end-of-life policy.
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3 |
ID:
191214
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Summary/Abstract |
Climate change related environmental problems are pushing a constantly growing number of countries to set carbon neutrality goals. Increasing reliance on ecologically friendly technologies is widely considered to be a crucial means of achieving this objective. Many existing studies measure environmental performance using carbon dioxide emissions, or carbon sources, but do not consider the amount of carbon offset through sequestration in carbon sinks. We define carbon neutrality performance as the difference between the carbon sinks and carbon sources and quantify its relationship with green technological innovation, approximated using the notion of environmental productivity. We rely on the Chinese province-level data from 2001 to 2019 and demonstrate that green innovation can significantly facilitate the attainment of carbon neutrality objectives. Our mediation model suggests that low-carbon innovation can help reach carbon neutrality by decreasing net emissions directly, but also by inhibiting the urbanization rate and promoting renewable energy generation. Our analysis helps shed light on the possible strategies that policymakers in China and other developing countries can follow to realize their carbon neutrality aspirations.
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4 |
ID:
191149
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Summary/Abstract |
Many countries choose policy objectives around their renewable energy expansion targets, such as efficiency and effectiveness. Due to the different nature and impact of those objectives, not all can be achieved simultaneously, so prioritising objectives is advisable. In this paper, we theoretically analyse the relationship between objectives and show that most European countries with renewable energy auctions in place have defined incoherent policy strategies in their respective renewable energy legislation. Based on these strategies, we analyse which objectives lead to the choice of which auction design elements conducting a qualitative comparative analysis. Considering 269 auction rounds from 20 European countries in the period 2011–2020, not all resulting choices of auction designs are in line with auction theory and existing literature’s findings on the relationship between objectives and auction design. Nevertheless, we show that on a country-level basis, most considered countries choose congruent auction designs, which either support all their (coherent) stated objectives or prioritise one or several of their incoherent objectives. For those countries with an incongruent auction design, we give recommendations on how to adapt their auction design depending on their exact choice of policy objectives.
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5 |
ID:
191208
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Summary/Abstract |
Wind energy has a pivotal role to play in the transition to renewable energy. However, social opposition to developer-owned wind farms is a key barrier to its deployment. While research suggests that co-ownership arrangements between developers and communities could help to alleviate opposition, such arrangements are subject to market acceptance issues related to citizens’ appetite for investing. This paper explores the issue of market acceptance of citizen investment opportunities in wind farms by examining citizens’ willingness to invest in projects. Based on a survey of 2,023 Irish citizens, we find that 56% of citizens would invest in a local project, 41% would invest in a portfolio of projects, and 29% would invest in a non-local project. Our empirical analysis reveals a number of socio-demographic, locational, community and attitudinal variables that affect both the decisions of citizens to invest in projects and the monetary amount that they are willing to invest. The findings of the paper provide insights into policy measures that could help to strengthen the market acceptance of citizen investment opportunities and will be useful for policymakers who are seeking to mobilise citizen investment with a view to enhancing the deployment of wind energy.
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6 |
ID:
191134
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Summary/Abstract |
The detection and attribution of spatial differentiation in coal resource security (CRS) is a prerequisite for energy governance and regional scientific decision-making. Here we constructed a 4-As framework for CRS evaluation and screened indicators, evaluated the CRS of 598 counties in the Yellow River Basin (YRB) in 2017 through the entropy-cloud model, analyzed the spatial autocorrelation of CRS, and quantified the effects of 4-As indicators on CRS using the GeoDetector method. We discovered that (1) the spatial pattern of CRS is highly consistent with the basic geographic pattern. The coal resource security indexes (CRSIs) have apparent spatial differentiation. CRS shows differences in coal endowment and circulation, supplemented by differences in economic activities and environmental impacts. (2) The CRSIs have spatial autocorrelation, and the overall agglomeration trend is apparent. Due to coal development and administrative attributes differences, the CRSI shows different agglomeration types in each county. (3) Degree in coal aggregation, etc., are the dominant indicators for spatial differentiation of CRS in the whole basin of the YRB. The factor driving forces are significantly different. The driving force of two-factor interaction is more vital than that of single-factor interaction, and the interaction type is mainly nonlinear enhancement.
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7 |
ID:
191166
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Summary/Abstract |
This paper assesses the energy security performance of the electricity sectors of the West African Economic and Monetary Union (UEMOA) countries using Multiple-criteria Decision Analysis. First, it establishes a five-level framework incorporating the dimensions: availability and diversity; affordability and equality; efficiency and reliability; regulation and governance; and environmental sustainability to conceptualize energy security. 18 metrics characterizing these dimensions are then used to assess the energy security performance of the UEMOA countries during the 2010–2019 period. The results indicate that Côte d'Ivoire was the most secure country of the Union, followed by Senegal and Togo in 2019, while the worst-performing country was Niger. Furthermore, Mali, Benin and Niger were found to have regressed the most concerning energy security from 2010 to 2019, whereas Senegal had improved greatest, followed by Togo, Cote d’Ivoire and Burkina Faso. In addition, none of the countries were found to perform well in all the indicators of energy security. Therefore, common actions such as improving governance, increasing generation capacity with priority to renewable sources, improving energy efficiency, upgrading power systems and encouraging R&D and paying more attention to environmental concerns could enhance energy security throughout the electricity sectors of all the UEMOA countries.
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8 |
ID:
191185
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Summary/Abstract |
Research has examined media portrayals of unconventional oil and gas development's (UOGD) economic and environmental impacts. We examine how selective attention to media coverage of the impacts impact issue attitudes; the role of political ideology in driving such attention; and how this political divide emerges via selective attention to aforementioned content. We contribute to existing work on media attention antecedents and outcomes but with a hitherto unexplored focus on specific issue dimensions that have garnered media and public attention. We explore these relationships using U.S. national survey data (n = 700). We find that political ideology is not associated with attention to coverage of economic impacts, but such attention is predictive of higher UOGD support. Moreover, political ideology is associated with attention to coverage of environmental impacts (more conservative → less attention), and such attention predicts lower support. This indirect effect was also statistically meaningful. Overall, UOGD news media discourse (and attention thereto) has important energy policy implications.
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9 |
ID:
191212
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Summary/Abstract |
Decarbonizing Europe by 2050 requires significant capital investments in renewable energy (RE). The weighted average costs of capital (WACC) greatly impact RE production costs and influence the government support payments needed for the financial viability of RE projects. Reducing the risks for RE investors can decrease WACC and ensure that the EU meets its climate targets at the least cost. We investigate the potential for lowering support payments to RE projects by de-risking financing conditions through measures including revenue stabilization and low-risk auction designs for solar PV and onshore wind across 21 countries in Europe. We find that de-risking debt is almost twice as effective as de-risking equity. On average, support payments can be reduced by 3.3 EUR/MWh and 1.9 EUR/MWh, respectively, and in some cases, fall to zero. The effects differ across countries, higher-risk countries like Greece would experience more significant benefits from de-risking than lower-risk countries like Denmark and Germany, where support costs depend more on investment variables such as capacity factors. Overall, we show that WACC depends largely on country risk. Nonetheless, de-risking policies like revenue stabilization can improve the investment climate for RE, reduce the need for government support, and contribute to achieving decarbonization targets.
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10 |
ID:
191213
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Summary/Abstract |
Energy research seeking to influence policy in low- and middle-income countries (LMICs) is often funded by – and conceptualised by authors in – institutions from higher income countries (HICs). Research agendas and policy recommendations determined in HICs potentially yield the most influence on policymaking in LMICs. This risks leaving a multidimensional gap in how LMICs frame, evidence and enact policies. This paper is the first to provide quantitative evidence to geographical imbalances in energy policy research, and to shed light into the fact that research proposing energy policy coupled with development objectives to LMICs is dominated by HICs researchers. We find that the latter not only publish more articles proposing energy policy to LMICs, but also are more cited when doing so. We reach these findings by analysing the spatial dynamics of energy research on LMICs through a multi-method approach using bibliometric, network science and regression-based techniques. We established a framework using a sample of 6,636 papers from the Web of Science database, journal impact data from Scimago Journal Ranking and country economic data from the World Bank. Results show the existence of a cycle of imbalances across research practices. Most scientific articles recommending energy policy for LMICs have a primary author based in a HIC, funded by a HIC institution. The number of citations articles receive increases with the GDP of the country of primary author. Funders support authors based in countries of the same income band or higher. We recommend revising research practices and funding policies to place local actors and knowledge at the heart of energy policy research, enabling high-impact policymaking in LMICs.
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11 |
ID:
191175
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Summary/Abstract |
To foster the green energy transition, local acceptance of wind energy is highly relevant. Since simple solutions like setback distances do not reflect the issue complexity, we incorporated acceptance factors from social science and interdisciplinary research in an Integrated Acceptance Model (IAM). To capture impact differences of the acceptance factors, in Study 1, residents of three operating wind farms in Germany (N = 158) were surveyed. Five most relevant acceptance factors were derived by a regression analysis: economic effects, impacts on residents and nature, attitudes towards the energy transition, trust in local actors and the planning process as well as social norms substantially explained local acceptance (R2 = 0.76). Next, in Study 2 the IAM was validated in an early stage, informal planning process in a Bavarian region (N = 92). In accord with Study 1, the IAM explained the variance in local acceptance comprehensively (R2 = 0.78). Moreover, a consistent impact of economic effects, attitudes towards the energy transition, expected effects on residents and nature as well as social norms was observed. While social norms played a pronounced role in Study 2, trust only related to the acceptance in Study 1. The IAM seems to capture the overall relevant acceptance categories, which can be used as guidance to create a sustainable green energy transition.
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12 |
ID:
191187
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Summary/Abstract |
Promoting Internet development and eliminating energy poverty are two important policy agendas for China in the era of digital economy. In the context of “Internet + energy”, there is a need to explore whether the development of the Internet can alleviate energy poverty. The aim of this study is to test the influence and transmission mechanism of the development of Internet on energy poverty in China by using provincial panel data from 2011 to 2019. The study found that: (1) energy poverty is still widespread in China, especially in the central and western regions. And the low energy affordability is its major source; (2) the development of Internet can alleviate energy poverty. On one hand, it can improve energy affordability by promoting economic development and technological progress. On the other hand, it also helps to enhance the availability of energy by promoting technological advances and improving knowledge level; and (3) there are nonlinear and regional heterogeneous effects of the development of Internet on the alleviation of energy poverty. Based on the above results, corresponding policy suggestions for China to alleviate energy poverty are provided.
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13 |
ID:
191188
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Summary/Abstract |
The evidence to date on the effectiveness of promoting ‘consumer empowerment’ in energy policy as a method to address consumer needs is limited and inconclusive, especially in light of power-relations amongst energy stakeholders which gives rise to both ‘winners’ and ‘losers’. As such, we challenge conventional wisdom by suggesting that emphasising consumer sovereignty reflects an abrogation of responsibility by policy makers, which unnecessarily imbues burdensome responsibilities to the consumer and household. This raises the question: if consumer empowerment is not delivering energy policy outcomes for consumers, then what should be the approach? We challenge four key assumptions commonly used to advocate for greater ‘consumer empowerment’ and instead introduce an alternative paradigm of shared value. While traditional economic theory argues that markets maximize shared value (i.e., Adam Smith's invisible hand) then it is assumed that the behaviour of consumers is rational and is fully informed, although there is ample evidence that neither of these assumptions hold. Thus, shared value has to be achieved differently. When value is shared across the key stakeholders in a market, collective impact is achieved which fosters shared understanding of the problems and shared responsibility for addressing these problems, resulting in more amenable and effective solutions. Within the context of the deregulated Australian energy market, this conceptual paper introduces the Ecosystem of Shared Value framework (Kramer and Pfitzer, 2016) to the energy sector and explains how policymakers can implement the five key elements: common agenda and language; shared measurement system; mutually reinforcing activities; dedicated ‘backbone’ support; frequent and transparent communication. We note that consumer empowerment does not solve the scarcity problem in the current energy crisis, whereas the shared value approach has the potential to align the interests of producers and consumers in most contexts. Wherever there is a scarcity of resources, whether they are consumer, government or natural resources, the shared value approach provides utility. Exceptions would be in situations where energy is a free resource, or in civil uprisings where it would be difficult to enact.
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14 |
ID:
191135
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Summary/Abstract |
How much tax should governments add to the prices of the energy that we consume? This question has come sharply into focus, as the reality of the need to decarbonise the buildings sector has become more urgent. Adding taxes and levies to energy prices encourages energy efficiency and raises revenues for governments, which can be dedicated to energy transition projects. But adding them disproportionately to electricity discourages us from investing in electrically powered heat pumps, a key technology in the buildings sector decarbonisation jigsaw. This paper shines a light on the imbalance in energy taxation across almost all European markets and makes the case for reform. We find that environmental costs are rarely well reflected in energy prices; and that the costs of energy transition programmes – and occasionally broader social policies – are overwhelmingly borne by electricity consumers. In this paper we explain the current structure of energy taxes and levies in five key European countries where reform would be beneficial, and set out four ways to rebalance energy taxes and levies, drawing on examples from around the continent.
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15 |
ID:
191183
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Summary/Abstract |
Solar photovoltaics with behind-the-meter energy storage systems are gaining recognition as net energy billing replaces feed-in tariffs because they can unlock demand-side flexibility, keep grid stability, and enhance the resilience of end users. However, incumbent grid companies tend to prioritize grid stability and reliability and disregard resilience, which decreases end users’ perceived benefits, intention, and adoption of the systems. The combined third-party ownership–aggregation business model could drive adoption because it can enhance grid stability and reliability, and resilience at the same time. This study explores how the model works to increase the intention and adoption, and what policies and regulations are required to enable the model to mitigate the conflict of interest taking Miyakojima Island in Japan as a case study. The study finds that the model can increase adoption by reducing perceived risks. Policy and regulations, and resistance and inert of incumbent grid companies block the model from effectively working to change the benefit-sharing. Science-based regulations on the use of energy storage systems during power outages, stringent policy implementations of updated renewable energy targets and the 2050 carbon neutrality, and detailed time-of-use pricing can change the benefit-sharing in favor of end users and increase adoption.
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16 |
ID:
191179
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Summary/Abstract |
Citizen co-investment in wind energy projects has recently received a lot of attention among scholars and policymakers as a way to finance renewable energy projects and increase community acceptance of these projects. Citizen co-investment refers to the process by which members of the local community can financially participate in renewable energy projects prior to or shortly after construction. While previous research has often been cross-sectional and focused on the preferences of citizen-investors, this paper focuses on the perspective of project developers and asks why, when and how they offer citizens the opportunity to co-invest in wind farms. The work is based on the analysis of fourteen in-depth interviews with a sample of experienced German wind energy developers. The analysis shows that the decision to offer co-investment is driven by citizen demand and local stakeholder preferences, rather than financial needs. We shed light on how experienced developers deal with key trade-offs in terms of the timing of their offering and the choice of capital structure. As a result, we offer a number of testable propositions for further research on the nuanced relationship between citizen co-investment and social acceptance and derive recommendations for policymakers.
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17 |
ID:
191142
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Summary/Abstract |
In this paper, we investigate two schemes for contracting demand-side flexibility by the Distribution System Operator (DSO) at the planning stage: a voluntary demand-side connection agreement where consumers offer their flexibility and a mandatory demand-side connection agreement where the DSO sets the flexibility levels. For both schemes, we develop a bilevel optimization model where the DSO, in the Upper Level, sets the flexibility price and network tariffs. Residential consumers react to those signals in the Lower Level. They can be prosumers that invest in solar PV and batteries or passive consumers. Two regulatory issues are investigated. First, which option to choose for regulators between mandatory and voluntary demand connection agreements. We find that mandatory demand-side connection agreements result in higher welfare gains compared to voluntary ones and a lower price for flexibility. However, such agreements may entail some implementation issues and different curtailment levels among consumers. This connects with the second investigated issue investigated on how to implement mandatory demand connection agreements from equity and feasibility perspectives. When introducing a pro-rata constrained mandatory scheme, curtailing consumers equally, we find that welfare levels are still higher than under the voluntary scheme but lower than in the unconstrained mandatory scheme.
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18 |
ID:
191196
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Summary/Abstract |
This study analyzes the effect of high-speed rail (HSR) projects on CO2 emissions in targeted city nodes of four selected HSR lines/segments in China. We employ a panel data counterfactual approach to analyze the impact of HSR on local CO2 emissions using prefecture-level data. We consider 18 treatment cities and 10 control cities with no HSR to determine how the introduction of HSR affects CO2 emissions and analyze the factors that determined the disparity in HSR impacts. We find that CO2 emissions increased in the early construction period. However, HSR projects significantly and continuously decreased CO2 emissions for most treatment cities during the operation period. We also find that the CO2 reduction effect was larger in cities with more human capital and technological innovation. These findings provide empirical evidence that building HSR helps reduce CO2 emissions; governments should improve HSR technologies and expand HSR networks to promote environmentally friendly development.
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19 |
ID:
191194
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Summary/Abstract |
Over the past 20 years, China has experienced several waves of secondary industry relocations, where some secondary industries move from one region or province to another. Variant from the primary industry and the tertiary industry, the secondary industry (mainly the industrial sectors) is made up of numerous energy-intensive firms and hence, have critical impacts on the regional carbon intensity. However, there is little knowledge about the structure of the secondary industry's relocation and its impact on carbon intensity. Based on the latest multi-regional input-output (MRIO) table, this paper measures the scale, trend and structure of the secondary industry's relocation between eight regions in China. The effect of the secondary industry's relocation on regional carbon intensity is discussed by applying GMM techniques to the panel data on the interregional industrial relocation across 30 provinces. The results confirm that the inflow of secondary industry positively affects the carbon intensity, which is stronger in the central regions. In addition, the heterogeneity analysis shows that implementing the “Belt and Road” Initiative enhances the impact of the secondary industry's relocation on carbon intensity. This paper deepens the understanding of the environmental effects of industrial relocation.
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20 |
ID:
191193
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Summary/Abstract |
In the last three decades, the high growth of natural gas as an energy source for Mexican electricity production was the most significant change in the sector. Natural gas went from being the source of 7% of electricity in 1990 to 62.3% in 2020. A co-dependence of electricity and natural gas systems has been established and is increasing. Is this fact consistent with the objective of decarbonizing the electricity sector? We study this question through a decomposition analysis of electricity Greenhouse Gas (GHG) emissions in Mexico between 1990 and 2015. We use a Logarithmic Mean Divisia Index (LMDI) to quantify the changes of electricity GHG emissions related to activity, carbon coefficient, structure, and energy intensity effects. Activity effect was the most significant driver of GHG emissions growth, structure and energy intensity effects contributed to limiting that growth, while the carbon coefficient effect had a small contribution to mitigating GHG emissions. From these results, we raise concerns about the role of natural gas, which crowd-out renewable energy and could lead to carbon lock-in and stranded assets in the long term. In addition, Mexico's energy system relies heavily on U.S. natural gas. In light of these concerns, we concluded that an energy policy aiming towards a low-carbon energy system should consider the composition “natural gas + renewable energies + energy efficiency”.
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