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ELECTRICITY REFORM (9) answer(s).
 
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ID:   105747


Dynamics of productivity change in the Australian electricity i: assessing the impacts of electricity reform / Aghdam, Reza Fathollahzadeh   Journal Article
Aghdam, Reza Fathollahzadeh Journal Article
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Publication 2011.
Summary/Abstract The Australian electricity industry has undergone a significant reform, since the mid-1990s. Key changes comprised functional unbundling, market restructuring, regulatory reform, public corporatisation and privatisation. Technological development has been another indisputable constituent of these changes, in the wake of ICT revolution. The principle rationale behind these changes has been that they would improve productivity of the industry and social well-being of people. This paper examines the dynamics of productivity changes in the Australian electricity industry and conducts several hypotheses-testings to identify whether industry's efficiency measures are truly improved as a result of the reform-driven changes. Malmquist Total Factor Productivity Index approach and ANOVA are used for this purpose. The results reveal that the productivity gains in the industry have been largely driven by technological improvements and, to a lesser extent, by reform-induced comparative efficiency gains. On average at national level and for the entire industry, there are efficiency gains that, to large extents, can be attributed to functional unbundling and public corporatisation and, to a lesser extent, to market restructuring and privatisation. The results, however, reveal that the reform-driven changes have made insignificant contribution to comparative efficiency, at the level of thermal generation.
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2
ID:   112250


Improving electricity efficiency in Turkey by addressing illega: a governance approach / Tasdoven, Hidayet; Fiedler, Beth Ann; Garayev, Vener   Journal Article
Tasdoven, Hidayet Journal Article
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Publication 2012.
Summary/Abstract Recent reform activities to liberate and privatize the Turkish utility energy sector through deregulation have transformed the scope of the historically government-owned corporations. However, during the free market process approach, power theft has become an issue that requires national attention. This paper examines the current use of two governance tools-privatization and regulation, and suggests two others to promote a framework of efficient electricity distribution (grants and public information). The capacity of the tools to provide a solution to power losses is discussed while considering the barrier of political acceptability in regions of the country where pockets of resistance exist.
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3
ID:   171475


Integrated approach to electricity sector reforms in the resource rich economies of the MENA / Poudineh, Rahmatallah; Sen, Anupama; Fattouh, Bassam   Journal Article
Fattouh, Bassam Journal Article
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Summary/Abstract This paper argues that MENA resource-rich economies must go beyond simply replicating the “standard model” of electricity market liberalisation. They need to not only adapt the standard model to their unique contexts but also integrate it with other elements of their energy systems through harnessing complementarities between existing policies. The integrated model therefore includes additional modules: rationalising end user prices, improving energy efficiency, integrating renewables, and collapsing the “silos” between different energy vectors. The success of the extended reform model, however, is crucially contingent upon taking into account three particular factors in its implementation. First, reforming energy prices requires a better understanding of the underpinning logic of subsidies beyond popular justifications around the “social contract” or “political compact”. Second, energy efficiency is a challenging initiative in the MENA region, which the correction of price signals can only partially resolve, due to other factors that influence it, such as path dependency, market failures and consumer behaviour. And third, incentivising investments in renewable energy requires careful design of the balance of roles between the market and government, as renewable support schemes may lead to an increased role for centralised coordination, thereby contradicting the originally intended objectives of electricity market reform.
Key Words Energy Efficiency  Renewables  Electricity Reform  MENA  Tariff Reform 
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4
ID:   136191


Introducing the emissions trading system to China’s electricity sector: challenges and opportunities / Teng, Fei; Wang, Xin; Zhiqiang, L V   Article
Wang, Xin Article
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Summary/Abstract We examine the challenges and opportunities to introduce emissions trading (ETS) in China’s electricity sector, in which the interaction between ETS and electricity market reform plays a major role. China’s electricity sector is currently in a slow progress towards a more competitive and market-based system. Both equal share dispatching policy and regulated wholesale and retail pricing policies pose significant challenges for implementation of ETS in China’s electricity sector. One of the important points of ETS is to give a price for carbon emissions and establish a cost pass-through mechanism (reminded that the essential of carbon pricing is to put a price on carbon emissions that is equal to discounted value of the external damages). It should be regarded as a part of broader policy package for energy and resources price reform. This will require that any low-carbon power policy should be considered as a part of whole policy package aiming at further liberalizing the electricity sector in China. Three policy options are identified to incorporate ETS with electricity reform under different circumstances. A combination of those three options is also proposed to break the lock and reinforce the positive interaction between ETS and the transition towards a competitive electricity system, in link with current pilot ETS designs. A roadmap to introduce ETS in a stepwise manner is suggested.
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5
ID:   092827


Metering of agricultural power supply in West Bengal, India: who gains and who loses / Mukherji, A; Das, B; Majumdar, N; Nayak, N C   Journal Article
Mukherji, A Journal Article
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Publication 2009.
Summary/Abstract As a part of the ongoing power sector reforms in India, the state of West Bengal is in the process of metering agricultural electricity supply. This paper presents a first cut assessment of this initiative. Results suggest that the majority of the pump owners benefit from the reforms in two ways: first by having to pay a lower electricity bill for same usage and second through increased profit margins by selling water. This is because in response to the changed incentive structure, water prices rose sharply by 30-50% immediately after metering. In contrast, water buyers have lost out by having to pay higher water charges and face adverse terms of contract. Impact of metering on operation of groundwater markets and volume of groundwater extracted is less clear; they may expand, contract or remain unchanged, though water use efficiency is likely to go up. At current tariff rates, the electricity utilities are likely to earn less revenue than before. These findings are context specific and hold good for West Bengal where high flat tariff had fostered competitive groundwater markets and hence cannot be generalised for other Indian states.
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6
ID:   125817


Mexican electricity sector: policy analysis and reform (1992-2009) / Ramirez-Camperos, Adriana Maria; Rodriguez-Padilla, Victor; Guido-Aldana, Pedro Antonio   Journal Article
Rodriguez-Padilla, Victor Journal Article
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Publication 2013.
Summary/Abstract This article analyses the cause-effect relation of the structural reform in the Mexican electricity sector, called the Public Electricity Service Act, from 1992 to 2009. One of the main arguments of the reform is to attract private investment in order to reduce the financial load of the government in infrastructure for the development of the National Electric Power System by means of six modalities (Power Self-Supply, Cogeneration, Small Power Production, Independent Power Production, Power Export and Power Import). The article presents the global context of reforms adopted in 1990. The major policies and events are presented in chronological order (before and after reform). In addition, it analyses the new institutional framework, the evolution of modalities, technologies of electricity generation and tariffs. The main conclusion is that the result of reform could be considered a partial progress. The Independent Power Production modality shows greater participation, while Power Self-Supply and Cogeneration are lower. The subsidy policy is maintained. Progress is needed in policies and strengthening, and also in updating regulatory and normative frameworks.
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7
ID:   117335


Political economy of electricity dispatch reform in China / Kahrl, Fredrich; Williams, James H; Junfeng Hu   Journal Article
Williams, James H Journal Article
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Publication 2013.
Summary/Abstract The transition to a cleaner and more cost-efficient electricity system in China is political-economic as well as technological. An example is the reform of China's method of dispatching power plants, which potentially affects the economic relationships between consumers and producers, between grid and generating companies, and between central and provincial governments. Historically, coal-fired power plants in China all received roughly the same number of operating hours, regardless of efficiency or cost. In 2007, Chinese government agencies began to pilot "energy efficient dispatch," which requires that generators be dispatched on the basis of thermal efficiency. Using a case study of Guangxi Zhuang Autonomous Region in southern China, we evaluated potential energy and cost savings from a change to energy efficient dispatch. We found that the savings are at best relatively small, because large, efficient generators already account for a significant share of total generation. Moreover, as an administrative policy that does not change economic incentives, energy efficient dispatch exacerbates imbalances and center-provincial tensions in the current system. We argue that incentive-based dispatch reform is likely to produce better outcomes, and that the keys to this reform are empowering an independent regulator with pricing authority and establishing a formal, transparent ratemaking process.
Key Words China  Energy Efficiency  Electricity Reform 
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8
ID:   105225


Reform paradox and regulatory dilemma in China's electricity in / Tsai, Chung-Min   Journal Article
Tsai, Chung-Min Journal Article
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Publication 2011.
Summary/Abstract The Chinese government has implemented electricity reform during the reform era, but the process has been accompanied by widespread power shortages and political struggles among state agencies. This paper addresses this contradiction by explaining two interrelated outcomes: the transformation of the state regulatory structure and the development of corporatized state-owned enterprises.
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9
ID:   124169


Using natural gas generation to improve power system efficiency in China / Hu, Junfeng; Kwok, Gabe; Xuan, Wang; Williams, James H   Journal Article
Williams, James H Journal Article
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Publication 2013.
Summary/Abstract China's electricity sector faces the challenge of managing cost increases, improving reliability, and reducing its environmental footprint even as operating conditions become more complex due to increasing renewable penetration, growing peak demand, and falling system load factors. Addressing these challenges will require changes in how power generation is planned, priced, and dispatched in China. This is especially true for natural gas generation, which is likely to play an important role in power systems worldwide as a flexible generation resource. Although natural gas is commonly perceived to be economically uncompetitive with coal in China, these perceptions are based on analysis that fails to account for the different roles that natural gas generation plays in power systems-baseload, load following, and peaking generation. Our analysis shows that natural gas generation is already cost-effective for meeting peak demand in China, resulting in improved capacity factors and heat rates for coal-fired generators and lower system costs. We find that the largest barrier to using natural gas for peaking generation in China is generation pricing, which could be addressed through modest reforms to support low capacity factor generation.
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