Energy Reform Research Articles

Unveiling the shades of partnerships for the energy transition and sustainable development: Connecting public–private partnerships and emerging hybrid schemes

AbstractThe transition to cleaner energy technologies and sustainable development requires the commitment and collaboration of the public and private sectors. Among such collaborations, public–private partnership (PPP) refers to the convergence and complementarity between public and private actors and represents an organizational arrangement for addressing strategic sustainability challenges such as reducing carbon emissions and plays a relevant role in transforming the sector after energy reforms. The rigidity of PPP schemes introduces certain limitations in adapting to the energy transition and sustainability needs. As a result, several hybrid schemes have emerged from PPPs, which are focal points in this paper. This article aims to contrast PPPs with emerging hybrid PPPs to facilitate their understanding. It contributes to the academic dialog on recognizing the relevance of emerging forms of collaboration in tackling contemporary issues. The review's primary outcome is a framework of PPPs and hybrid PPPs and the critical challenges for advancing the energy transition and sustainable development. The contributions from this study may help policymakers to design suitable tools for incorporating hybrid PPPs in climate change policies and institutional frameworks. The findings suggest developing mechanisms through which PPPs and hybrid PPPs foster cleaner technologies, thus improving energy efficiency and access and strengthening energy security strategies. Further work is needed to address key research issues related to (i) mechanisms for the institutional alignment of hybrid PPPs, (ii) assuring reciprocity and commitment, (iii) knowledge management, and (iv) capacity‐building.

Energy as a substitute for factors of production: case study of an oil rich economy

ABSTRACT Academic literature and policy notes place great emphasis on the relationship between energy carriers and factors of production. We have evidence from a subsidized economy that provides nationwide energy subsidies; with inferences that partly contradict previous findings. We use a panel of Iranian plants from 2004 to 2013. In 2010, the country conducted an energy reform to increase energy productivity. We use translog functions with SUR and GMM estimators, with clustered and robust standard errors. As a result, the elasticity of energy carriers for labor wages is positive, showing that energy is a substitute for labor on average. The substitution pattern of labor is weakened in parallel with the country's 2010 reform, but not lost completely. Regarding capital, a worsening financial accessibility to the economy after UN sanctions hit the economy in 2012 seemed to have an adverse effect on capital and energy relations.

The past, present and future of energy law in Mexico: energy law from 1992 to 2022

This paper analyses how the North American Free Trade Agreement (NAFTA) influenced the opening of the Mexican energy sector, beginning in 1992. It evaluates how the multiplication of legal bodies governing the energy industry calls the attention of scholars to the analysis and systematisation of this novel legal discipline. The survey includes a discussion of the 2013 constitutional energy reform and how international treaties shield this reform, preventing a new constitutional amendment from reversing the opening of the Mexican energy sector. Finally, it emphasises that Mexican energy law is now not separate from international commercial law.

Small hydropower development prospects: Chinese and Russian experience

The vast territory and abundance of water resources in Russia allow us to expect the priority development of small hydropower, but statistics show extremely low practical interest in this area. The analysis of the Russian power system formation features and their comparison with the Chinese experience show numerous problems with developing small hydropower based on the lack of strategic understanding of the small power prospects and long-term development plans at the state level. The purpose hereof is to determine the necessary conditions that will be able to make the small hydropower plant (SHP) construction attractive to investors and form the market of appropriate technological equipment. The authors came to the conclusion that energy reforms cannot be carried out only at the expense of private investors and other public initiatives. Enhancing the alternative energy development prospects in Russia is possible with the help of impact measures at the state level.

Two-Stage Scheduling Strategy for Integrated Energy Systems Considering Renewable Energy Consumption

With the crisis of energy and environment, the integrated energy systems (IES) have a bright prospect in future energy reform owing to the excellent economic and environmental performance. The IES combines a large amount of renewable energy (RE), which guarantees its economic and environmental benefits. Many uncertainties of RE threaten the performance of IES. How to promote RE consumption under strong uncertainties is a crucial problem in the scheduling of IES. In this work, a two-stage scheduling strategy for IES combining day-ahead scheduling and real-time scheduling is proposed to guide the system operation. The stage of day-ahead scheduling can obtain the optimal scheduling scheme one day in advance based on the forecast data of RE, and the stage of real-time scheduling is introduced to cope with the uncertainties of RE. The model of IES is established based on the energy hub (EH), and the entire strategy is implemented on this model. The model integrates various energy conversion equipment to give full play to the advantages of coordination and complementation of IES. The improved particle swarm optimization (IPSO) is proposed as the solution algorithm of the whole strategy, which improves the traditional PSO through random nonlinearity change inertia weight strategy and best solution perturbation operator (BSPO). Compared with the traditional PSO, IPSO has more excellent performance for solving IES scheduling model. Finally, different schemes under different situations are compared.

Energy Growth and Sustainability Through Smart Grid Approach: a Case Study of the Nigeria Electric Grid

Over the last few years, energy growth and sustainability in Nigeria have suffered many difficulties resulting to inadequacy in the country’s power supply. Numerous solutions proffered by industry experts and energy reforms by the Nigerian government have brought little or no improvement in the energy sector including the unbundling of the nation’s major power company (Power Holding Company of Nigeria, PHCN). The nation’s poor power supply resulting from outdated and unmaintained transmission and distribution facilities, inadequate power generation coupled with decrepit metering system used by consumers have immeasurably affected the nation’s economic development. This paper aims at introducing smart grids and distributed generation approaches as the potential and viable solutions to solve Nigeria’s poor power generation, transmission, and distribution issues. The smart grid technology transforms the nation’s traditional grid technology in order to achieve improved efficiency and reliability by incorporating new communication technologies, which have been lacking in the Nigerian power system. In this paper, the Nigerian energy sector is also examined and the benefits of smart grids to the sector are presented. The current situation of Nigeria in terms of smart grid implementation is also assessed and discussed while its challenges and recommendations are documented. However, it is concluded that in modernizing the current grid and considering the potentials of smart grid, numerous benefits can be achieved and the power supplied to consumers will be significantly improved.

Application of a new grey multivariate forecasting model in the forecasting of energy consumption in 7 regions of China

Scientific prediction of regional energy is of practical significance for rational control of energy supply. In this paper, to further minimize the influence of subjective factors, the grey relational analysis and the FGM(1,1) model whose forecast results are affected by the fixed order are selected to analyze the samples. Then, a new grey multi-variable AGMC(1,N) model with better prediction performance is used to study 13 provinces (cities) in 7 different regions of China in detail. The results show that only the energy consumption in Central China will decrease in the short term. Energy consumption in the remaining 6 regions will continue to rise, and the energy consumption of East China, Northeast China, and Northwest China have a remarkable growth trend. It is important to provide reliable data to China's energy regulators and provide a reference for regional energy reform in the short term.

Contentious connections: infrastructure, dignity, and collective life in Accra, Ghana

AbstractInfrastructural systems have emerged as productive ethnographic sites for analysing political subjectivities and rationalities. Through the case of shared electricity and prepaid meters in the compound housing system of Accra, Ghana, I suggest that infrastructures’ political potential lies in their imaginative and hermeneutic abilities to foster desires for dignity, sustain well‐being, and question moral ideals of collective life. In contrast to recent anthropological work that has emphasized the material basis of infrastructures as ‘techno‐political’ devices materializing certain logics of rule and governance, I reclaim a poetics of sociality whereby infrastructures mobilize a politics of (unwanted) collective life. Through the ‘electricity stories’ circulated by tenants, I chart how the moral economy of infrastructure in a context of collective precarity redistributes marginalization and freedom in ways that always exceed political rationales of energy reforms and policies.

The dismantling of reform policies in the Iranian energy sector

Iran is a natural-based resource economy and energy consumption is inefficient. The government in different periods has attempted to implement policies for reforming inefficiency in the energy sector. The facts indicate that inefficiency in the Iranian energy sector is a serious issue and dismantling phenomenon is seen in the energy policies. Policy dismantling in the energy sector is a recent phenomenon that little attention has been put on implementing reform policies in this sector. Thus, focusing on the dismantling of reform energy policies in Iran helps to understand the reasons for the failure of these policies. In this paper, an adapted framework was used for analyzing policy dismantling in the plan of Iranian targeting subsidies for the energy sector. We found how interactions between political economy, policy design, institutional constraints, and external factors (e.g., sanctions) influence policy dismantling in energy reform policies under targeting subsidies plan. On the base of results, we suggested some policies for effective designing and implementing energy reform policies for developing economies such as Iran.

Science-policy-practice Interfaces for City Climate Change Transitions: A Case Study of Canberra, Australia

ABSTRACT Science indicates that cities are central to society’s capacity to avoid catastrophic and irreversible climate change, that rapid transitions to climate wise practices are needed and that transition steps will face implementation challenges. Lessons learned from reform experience can build understanding of the knowledge, policy and practices required for further transitions. This paper identifies lessons learned from renewable energy and resilience reforms in the city of Canberra, Australia. It finds that attention to science-policy-practice interfaces contributes important insights for the design of planned transitions and for integrative and implementation-focused reforms needed to overcome local barriers.

Investigating conjunctive household electric power supply in Ado-Ekiti, Nigeria

Nigeria is among the top three countries with the largest electricity deficits in the world, paradoxically, Nigeria has become legendary for fits and starts in domestic electric power supply to homes of her citizens. Community, state and national interventions had little impact. This study looks at citizen initiatives to attain domestic energy security in Ado-Ekiti Nigeria- a medium sized state capital (Ekiti state). The study adopted a mixed method that combines quantitative and qualitative approaches. The study specifically investigated the socio-economic characteristics of the residents (age, family size, educational status and monthly income), sources of modern domestic electric power supply, including cleaner electric energy strategies. It is an empirical research that used simple random sampling to select 1029 cases from a frame of 30,195, who supplied information through the questionnaire instrument. The research methods include comparative analysis, indepth fieldwork, observation, interviews, collation and information derived from research institutes. Research findings showed a variety of sources utilized by residents to meet their energy needs. Among the rich, the use of solar panels to argument public power supply was common. The middle class combined generators with public supply. The poor were content to use candles and kerosene lamps when public supply failed. Energy reform, directed at nationalisation, adequate funding of the grid and decentralization, innovation in energy technology, such as solar power were recommended to improve the energy sector of the state and lessen hardship for the citizens.

Assessment of residents’ satisfaction with housing unit features in private housing estates in Enugu Metropolis, Nigeria

Nigeria is among the top three countries with the largest electricity deficits in the world, paradoxically, Nigeria has become legendary for fits and starts in domestic electric power supply to homes of her citizens. Community, state and national interventions had little impact. This study looks at citizen initiatives to attain domestic energy security in Ado-Ekiti Nigeria- a medium sized state capital (Ekiti state). The study adopted a mixed method that combines quantitative and qualitative approaches. The study specifically investigated the socio-economic characteristics of the residents (age, family size, educational status and monthly income), sources of modern domestic electric power supply, including cleaner electric energy strategies. It is an empirical research that used simple random sampling to select 1029 cases from a frame of 30,195, who supplied information through the questionnaire instrument. The research methods include comparative analysis, indepth fieldwork, observation, interviews, collation and information derived from research institutes. Research findings showed a variety of sources utilized by residents to meet their energy needs. Among the rich, the use of solar panels to argument public power supply was common. The middle class combined generators with public supply. The poor were content to use candles and kerosene lamps when public supply failed. Energy reform, directed at nationalization, adequate funding of the grid and decentralization, innovation in energy technology, such as solar power were recommended to improve the energy sector of the state and lessen hardship for the citizens.

Balancing equity, environmental and growth objectives: a case study of electricity subsidy reform in a large polluting developing country

ABSTRACT This article examines the impact of Indonesia’s electricity reform and meeting its 2030 carbon emissions and 2050 renewable energy targets on the country’s economic growth, carbon emissions and poverty and income distribution. Simulation results from a dynamic computable general equilibrium model show that energy reform and carbon tax in Indonesia have a regressive impact while the gasoline tax has a progressive impact. Of the two demand side policies, gasoline tax was found to be more harmful than the carbon tax, resulting in GDP loss, declining investment, higher energy prices, and rising urban and rural poverty. A hybrid policy comprising a renewable energy mix target (supply side policy) and a carbon tax (demand side policy) is a viable option for minimising GDP loss, income disparity and carbon emissions. However, the transition towards renewable energy use is fraught with challenges for Indonesia.

The dual transformation in development finance: western multilateral development banks and China in post-Soviet energy

The energy resources of Central Asia and the Caucasus have drawn significant scholarly attention due to their geopolitical importance and role in regional economic development. Western multilateral development banks (MDBs), such as the World Bank and the EBRD, have been the leading actors shaping norms and practices for lending to the energy sectors of these regions. China has also recently emerged as the top investor in hydrocarbons and renewables in Central Asia, at the same time increasing its presence in the Caucasus. How have Western MDBs and China shaped each other’s lending practices? By exploring the what and the how of development finance in the energy sectors of Central Asia and the Caucasus, this study argues that a dual transformation is under way. The World Bank and the EBRD are now working closely with key local stakeholders in the recipient states to make energy reforms more successful. China, on the other hand, is now cooperating more closely with Western MDBs, and accepting and implementing some of their market principles and environmental targets. The article demonstrates that the West vs. China dichotomy based on neoliberalism vs. state-capitalism is blurred and the post-Soviet energy sector includes features of both models.

Factors that explain the results of the national oil companies: The impact of the fiscal role on Pemex's results

The difficult situation that Pemex is currently experiencing not only contrasts with the company's trajectory in previous decades, when it became a reference for other Latin American companies in the sector, but also with the expansion and control of the world energy market that has characterised other public oil companies. This paper, our aim was therefore to identify the performance determinants of public oil companies and, specifically, to discuss a factor that has been frequently debated in the specialised literature ―the role that the company plays as an instrument of the national fiscal policy. This work shows how the dynamic relationship established between the State and the company through its role in the national developmental strategy helps to explain company performance in the sphere of production at two different time points in its long history. • NOCs control a large part of the world's energy supply. • NOCs are key players in economies with abundant oil and gas resources. • It is fundamental to contribute to the discussion about the explanatory determinants of the NOCs results. • In the case of Pemex, the tax regime helps to explain its productive performance. • The energy reform has not improved the difficult situation Pemex is going through.

The Optimum Wood Procurement Scenario and Its Dynamic Management for Integrated Energy and Material Production in Carbon-Neutral Forest Industry

The digitalization of the forest sector, the increased demand of energy-wood, as well as faster market changes have increased the number of challenges for wood procurement of the forest industry. The aim of the study is to optimize wood procurement (upstream of supply chain) of energy and material production in integrated situations, and to consider the effects of production changes on the management of procurement regions. Three scenarios described integrated production situations in a carbon-neutral forest industry: (1) declining export, (2) energy reform, and (3) extensive energy reform. Time-varying capital-, cost-, and energy efficiency of the dynamic wood-flow model affected the competitiveness of the procurement regions. As a novel contribution, energy efficiency was modeled using the price of emission allowance as a cost parameter. The results show the positive effects of the energy reforms, which partly compensate for the declining exports. In addition, it is possible to change wood procurement in the regions in a market-oriented way. Decision makers should optimize purchases, inventories, and procurement resources as business processes, which are also considered success factors for the forest industry in integrated production situations. The strategic solution of extensive energy reform provides a potential approach for carbon-neutral customer-oriented supply chains, but it needs tactical energy efficiency analysis in future studies of sustainability, if the ultimate goal is to implement a carbon-free forest industry and bioeconomy.

Energy policy trade-offs in Poland: A best-worst scaling discrete choice experiment

This study applied a discrete choice experiment using best-worst scaling questions (multi-profile, BWS case 3) to estimate the trade-offs which a sample of the Polish population is willing to make for energy reform regarding carbon reduction. Attributes considered in the study are CO2 emissions reduction, National energy independence, Employment impact, Time needed for policy transition, and Impact on household energy prices. Respondents (n = 639) choose the best and worst of the presented policy options to fit a rank-ordered logit model. This study reveals concern about climate change among respondents, but that they prioritize energy prices and employment in their choice of preferred energy policy with significant variation across groups. A key distinction is revealed in the preferences by age cohort in which youngest (<25years old) respondents had the strongest WTP coefficients, particularly for CO2 and time to transition. Stronger and more urgent desires for CO2 reduction policies were also identified among the decisions of female respondents, those having more education, those without children, and middle and upper income groups. The respondents’ choices also revealed consistent loss aversion in all attributes presented in the choice experiment.

Mexico’s electricity grid and fuel mix: implications of a fifteen-year planning horizon on emissions and air quality

Energy reform that required amendments to the Mexican Constitution in 2013 and implementing legislation aimed to increase the efficiency, economic competitiveness, and decarbonization of Mexico’s electricity sector. Emissions inventories were developed for the 2016 base year and a capacity development pathway established by Mexico over a 15-year planning horizon to 2031. Between 2016 and 2031, steep declines in generation from fuel oil-fired thermoelectric, turbogas, and coal plants in favor of a buildout of natural gas combined cycle and clean energy technologies were predicted to drive reductions in emissions of sulfur dioxide (SO2), fine particulate matter (PM2.5), carbon dioxide (CO2) and nitrogen oxides (NO x ) of 68%, 61%, 13% and 7%, respectively, with an increase in carbon monoxide (CO) of 4%. Retirement of fuel oil-fired thermoelectric and coal generation contributed to substantial reductions in 24 h average PM2.5 concentrations in Mexican and U.S. border states even with rising demand. In contrast, little change in maximum daily average eight-hour ozone concentrations was predicted with expansion of natural gas combined cycle generation, which is a source of NO x and CO. Mexico’s electricity sector planning process has been highly dynamic since the reform. Insights indicate how changes in national strategies could affect emissions and air quality outcomes.

Climate policy integration: taking advantage of policy windows? An analysis of the energy and environment sectors in Mexico (1997–2018)

ABSTRACT Given the crosscutting character of climate change, improving our understanding of its integration into sectorial policy domains is relevant. We contribute empirically with a case study in Mexico where we analyze climate policy integration in terms of policy outputs and processes. Firstly, we adapted an approach to measure events of regulatory output change and applied it to our original dataset of changes in Mexican environmental and energy laws and regulations between 1997 and 2018. Secondly, based on expert interviews and using the multiple streams as theoretical framework, we explored the role of policy entrepreneurs on influencing policy change towards climate policy integration, in particular the enactment of the law for energy transition in 2015. The Energy Reform in 2013, which aimed at increasing private participation in fossil fuels production, was framed as a solution to the problem of ‘uncertainties over oil reserves and energy demand growth’. Paradoxically, policy entrepreneurs advocated for a transition toward clean electricity as a solution to the same problem. They also identified the 21st UNFCCC Conference of the Parties as an event influencing the political stream and opening a window of opportunity for the enactment of the law for energy transition.

Analysis of Restructuring the Mexican Electricity Sector to Operate in a Wholesale Energy Market

This paper analyzes the energy reform that has taken place in Mexico since 2013, driven by steady growth in energy demand and insufficient economic resources. The relevant points in the restructuring process are discussed, shedding light on the impact of recent governmental actions not aligned with the original spirit of the law. This research uses a framework and fundamentals of a well-organized structural process called the textbook model, making a comparative analysis of Mexican reform. It proceeds by presenting the Mexican Electrical System in numbers and how it is affected by the present government’s restructuring process providing positive and negative impacts of several implementations. The main objectives of restructuring were carried out to attract private investment and increase the reliability and efficiency of the system. During the first four years, the reform has attracted investment, in diminishing form in generation but not in transmission and distribution. Therefore, the main reason for this is explained and a brief analysis and the roots of these failures are presented. It is shown that recent political decisions tend to keep the system operator and regulatory agencies under Federal Government control so that it is acting against the main objectives of the original reform. Finally, a summary of the deviation of the reality from the existing law is outlined.