1,721,196 research outputs found
Combining Private and Public Resources: Captive Power Plants and Electricity Sector Development in Bangladesh
No full textElectricity Distribution Networks: Investment and Regulation, and Uncertain Demand
No full textElectricity distribution networks are capital intensive systems and timely investments are crucial for long-term reliability of their service. In coming years, in the UK, and elsewhere in Europe, many networks are in need of extensive investments in their aging assets. Also, aspects of energy policy concerning climate change, renewable energy, energy efficiency, demand side management (DSM), network energy loss reduction, quality of service standards, and security of supply require active, flexible, and smart networks that can be achieved through investments. This paper is a chapter in the forthcoming book "Jamasb T. and Pollitt, M. G. (2011) Eds., The Future of Electricity Demand: Customers, Citizens and Loads, Cambridge University Press: Cambridge" and describes a network investment assessment model developed as a tool to identify and assess the investment requirements of distribution networks. A broadening of the scope of network investments to include demand-related measures that can reduce the need for investments.Electricity networks, regulation, investment
The Role of Captive Power Plants in the Bangladesh Electricity Sector
No full textCaptive power plants (CPPs) in many emerging and developing countries play a significant
role in the electricity sector. This is mainly due to unreliable electricity supplies from state-owned utilities and challenges in accessing the national grid, especially in remote and rural
areas. Integrating the captive capacity with the on-grid supply can improve resource
utilization in the electricity market. In this study, we focus on the role of CPPs in Bangladesh. We start by providing recent stylized facts and survey the experience of other countries. We
then use a dynamic stochastic general equilibrium (DSGE) model to examine the effects of allowing CPPs to sell their excess output to the national grid at regulated prices. We find that opening the grid to CPPs would reduce the industrial output and GDP due to pre-existing energy price distortions. We also show that the Bangladesh economy would become more vulnerable to oil price shocks if CPPs were connected to the national grid. We conclude that the government should not open the grid to CPPs yet. Instead, it should first consider alternative reforms, such as taking steps to reduce the price distortions and enabling a competitive market environment
Incentive Regulation of Electricity Distribution Networks: Lessons of Experience from Britain
Full text linkThis paper reviews the recent experience of the UK electricity distribution sector under incentive regulation. The UK has a significant and transparent history in implementing incentive regulation in the period since 1990. We demonstrate the successes of this period in reducing costs, prices and energy losses while maintaining quality of service. We also draw out the lessons for other countries in implementing distribution sector reform. We conclude by discussing the place of incentive regulation of networks within the wider reform context, the required legislative framework, the need for appropriate unbundling, the importance of quality of service incentives, the regulatory information requirements and the role of sector rationalisation.Electricity, liberalisation, regulation, benchmarking
Captive power, market access and macroeconomic performance: Reforming the Bangladesh electricity sector
Full text linkIntegrating the captive capacity with the on-grid supply has been advocated as a way to improve resource utilization in the electricity market in developing and emerging countries. Despite many countries granting Captive Power Plants (CPPs) access to the grid, integration may still be hindered by other barriers to entry. In Bangladesh, CPPs are required to sell their electricity surplus, but there is no evidence of trading with the national grid, mostly due to high connectivity costs. In this paper we develop and estimate a fit-for-purpose Dynamic Stochastic General Equilibrium (DSGE) model to examine the effects of the Bangladeshi CPPs connecting to the national grid and selling their surplus at regulated prices. The model parameters are set through a combination of calibration and Bayesian estimation. We find that if CPPs are connected to the national grid, steady-state industrial output, GDP, and household consumption decrease due to pre-existing energy price distortions. These results support the second-best theory, which implies that merely connecting the CPPs to the national grid without firstly removing market distortions can lead to economically inefficient outcomes. Instead, government should first consider alternative reforms such as phasing out subsidized tariffs and enabling a competitive market environment
Decarbonisation policies and energy price reforms in Bangladesh
Full text linkBangladesh electricity sector suffers from heavy subsidization of fossil fuels and regulated electricity prices. These interventions distort the fuel mix in electricity production, promote overconsumption of fossil fuels and slow down the low-carbon transition. As a signatory of the 2015 UNFCCC Paris Agreement, Bangladesh has pledged to reduce GHG emissions by 15% (of which 5% is unconditional) with respect to Business as Usual by 2030, yet its overall CO2 emissions are increasing. Urgent actions are needed for Bangladesh to fulfil its climate pledge. We use a fit-for-purpose Dynamic Stochastic General Equilibrium (DSGE) model to evaluate the effects of several decarbonisation policies, namely the implementation of carbon taxes and the removal of fossil fuel
subsidies and intra-sectoral electricity price distortions. We find that all policies can deliver a win-win situation in terms of macroeconomic variables and CO2 emissions with respect to a benchmark scenario that includes existing price distortions and no carbon taxes. The reduction of 4.6% in CO2 emissions achieved in the price reform policy experiment indicates that liberalised energy markets can help achieve its Paris Agreement target. Thus, we recommend that the government considers reforming electricity and fossil fuel price structure to foster economic development and environmental sustainability
Relative Performance of UK and Japanese Electricity Distribution Systems 1985-1998: Lessons for Incentive Regulation
Full text linkInternational comparisons can be used to study relative efficiency of decision-making units in an industry in a wider context. In particular, cross-country comparisons can, help regulators of natural monopoly firms to assess the relative performance of their regulation regime and national firms with those of other countries. The relative performance of frontier firms is important as these may be subject to lax regulation and could constitute benchmarks for regulation of other firms. The results of empirical studies can be sensitive to the choice of techniques and models. The UK and Japanese electricity distribution utilities have been subject to yardstick regulation since 1990 and 1996 respectively. In this paper we present an analysis of the development and relative performance of electricity distribution utilities in the UK and Japan between 1985 and 1998. The results allow the examination of the impact of privatisation and regulation on the UK firms and their scope for further efficiency gains. The paper presents the findings from applying input distance functions with data envelopment analysis (DEA), stochastic frontier analysis (SFA), and corrected ordinary least square (COLS) techniques using cost based model specifications in a dynamic setting.Technical Efficiency, Efficiency Analysis, Electricity Distribution Systems, Incentive Regulation, International Comparison
'Core Indicators for Determinants and Performance of Electricity Sector in Developing Countries’
Full text linkSince the early 1990s, substantial resources and effort have been spent on implementing market-oriented electricity reform in developing countries. Important sectoral, economic, and social dimensions are involved in electricity reform, but empirical analysis and evaluation have been of limited use for testing the economic rationale of reform and policy advice. This may partly be attributed to a lack of generally accepted and measured indicators for monitoring progress, impact and performance, unlike areas such as health, education, environment, sustainable development. In this paper we propose a set of indicators as a first step towards filling this gap and developing a coherent framework for studying electricity reform in developing countries covering resource and institutional endowments, key reform steps, market structure, performance, and various impacts.Electricity, Reform, developing countries
Going Beyond Counting First Authors in Author Co-citation Analysis
Full text linkThe present study examines one of the fundamental aspects of author co-citation analysis (ACA) - the way co-citation
counts are defined. Co-citation counting provides the data on which all subsequent statistical analyses and mappings
are based, and we compare ACA results based on two different types of co-citation counting - the traditional type that
only counts the first one among a cited work's authors on the one hand and a non-traditional type that takes into
account the first 5 authors of a cited work on the other hand. Results indicate that the picture produced through this non-traditional author co-citation counting contains more coherent author groups and is therefore considerably clearer. However, this picture represents fewer specialties in the research field being studied than that produced through the traditional first-author co-citation counting when the same number of top-ranked authors is selected and analyzed. Reasons for these effects are discussed
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