Third-party Ownership Research Articles

Towards a global regulation of the football industry

The author talks about the evolution of the football system from the perspectives of the markets, sport, and its centrality in a state's economy and internationally. The paper analyzes its exponential growth, which makes a financial change and improvement to respond to important competition costs and, in general, economic operations increase with the realization of a global regulatory harmonization. In fact, there is the implementation of a rules system that want to strengthen the transparency in these operations. Also, the author finds to examine the new regulation effective from 2023 and related sanctions. Another thematic here are multi-club ownerships (MCO), which are always more central and frequent; as the "sui generis" role of the sports agent and the development of the illegal practice of third-party ownership.

Techno-economic comparative analysis of PV third–party ownership between customer and developer sides in Japan

The adoption of renewable energy sources (RES) offers a significant opportunity for nations across the world to achieve regional decarbonization. Nevertheless, the substantial penetration levels of RES can cause grid overcapacity and operational challenges. In Japan, photovoltaic (PV) third-party ownership (TPO) has emerged as the primary implementation approach aimed at bolstering collective energy self-consumption. However, economic uncertainties raise concerns about the financial feasibility of TPO for both developers and customers. This work presents a techno-economic analysis of rooftop PV-Only and PV-Battery system implementation, assessing the economic feasibility of TPO based on compensation mechanisms for project developers and five customer types at the regional scale. The results indicate that the TPO model is economically feasible, as the levelized cost of energy (LCOE) of developers is from 8.98 to 9.90 ¢/kWh. Additionally, the power purchase agreement (PPA) strategy provides up to 19.12 % higher benefits than the lease strategy (commercial building scenario). On the other hand, the economic performance of the energy storage strategy is inferior to that of the net energy metering strategy, as it relies on fluctuations in market electricity tariffs. This study provides valuable insights for regional decarbonization policies and helps different stakeholders make informed investment decisions.

Recognizing the preventive quality in the adoption of innovations: The case of third-party ownership photovoltaic systems in Finland

This study explores the role of the preventive quality of innovations on their adoption intention. The preventive quality of innovations is a distinctive feature of innovations that is directed towards avoiding a future, possibly harmful event. Empirically grounded in third-party ownership of photovoltaic systems in Finland, this study examines data collected from an online survey measuring respondent intention to adopt. A series of hypotheses theoretically grounded in the Diffusion of Innovations theory and the preventive quality of innovations were tested through Partial Least Squares Structural Equation Modeling with SmartPLS4. Findings for the overall sample reveal that the preventive quality and the relative advantage of innovations influenced adoption intention positively. Findings highlight the preventive quality of innovations as a construct that acts as the greatest contributor to the dependent variable.

Design Study and Potential Implementation of Photovoltaic Noise Barriers for Sustainable Highways

Photovoltaic noise barriers (PVNBs) are integrative structures that combine solar panels with noise barriers to harvest solar energy while abating noise from the highway. This study presents design studies and implementation issues of PVNB using highway assets to generate renewable energy. The energy estimation models were first developed at project level and then used for state-level analysis for top-mounted tilted, top-mounted bifacial, and shingles built-on designs. The case study of New Jersey, U.S., shows the energy output potential of 56,164 MWh per year when the shingles built-on configuration is adopted. Furthermore, a decision-making framework for site selection of PVNBs was proposed considering multiple economic, environmental, and social factors. The business models of PVNBs can be direct ownership or third-party ownership, which vary in infrastructure investment and economic gains. The implementation challenges related to risk of traffic accidents, efficiency loss because of soiling, noise absorption, and social impacts are also discussed.

Foul Play? The Rise and Fall of Third-Party Ownership as a Controversial Practice in Football

Foul Play? The Rise and Fall of Third-Party Ownership as a Controversial Practice in Football

Combined third-party ownership and aggregation business model for the adoption of rooftop solar PV–battery systems: Implications from the case of Miyakojima Island, Japan

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.

The European pharmacy market: the density and its influencing factors

Abstract Community pharmacies deliver high-quality health care and are responsible for medication safety. During the pandemic, accessibility to the nearest pharmacy became more essential to get vaccinated against Covid-19 and to get medical aid. The government’s goal is to ensure nationwide, reachable, and affordable medical health care services by pharmacies. Therefore, the density of community pharmacies matters. Overall, the density of community pharmacies is fluctuating, with slightly decreasing tendencies in some countries. The research question is: upon which conditions depends the variance in the density of community pharmacies in Europe? So far, the literature has shown that changes in the system affect prices and density. However, a European overview of the development of the density of community pharmacies and its triggers is still missing. This research is essential to counteract against decreasing density consulting in a lack of professional health care through pharmacies. I focus on liberal versus regulated market structures, mail-order prescription drug regulation, and third-party ownership consequences. In a panel analysis, the relative influence of the measures is examined across 27 European countries over the last 21 years. The results show that regulated pharmacy markets have over 10.75 pharmacies/100.000 inhabitants more than liberal markets. Further, mail-order prescription drugs decrease the density by -17.98 pharmacies/100.000 inhabitants. Countries allowing third-party ownership have 7.67 pharmacies/100.000 inhabitants more. The results are statistically significant at a 0.001 level. The output of my analysis recommends regulated pharmacy markets, with a ban on mail-order prescription drugs allowing third-party ownership to support nationwide medical health care through community pharmacies. Key messages • Regulated pharmacy markets, with a ban on mail-order of prescription drugs and third-party-ownership have a positive effect on pharmacies density. • The results of my analysis provide the government with measures to improve professional nationwide health care coverage for the population through pharmacies.

The comparative impact of solar policies on entrepreneurship in the U.S. solar photovoltaic installation industry

The relationship between energy policies and entrepreneurship has long been a keen interest of researchers and policymakers. This study seeks to understand whether and how public policies affect—promote or hinder—the founding of new firms by examining the impact of solar regulatory and financial incentive policies on two types of new firm formation (i.e., start-ups and new subsidiaries) in the U.S. solar photovoltaic (PV) installation industry. This study finds that favorable regulatory policies are associated with an increased number of 2.8 start-ups and 1.6 new subsidiaries, and restrictive regulations (i.e., licensing policies) are associated with 2 fewer start-ups and 0.5 fewer new subsidiaries in a state. This study also finds that third-party ownership policy seems to have no impact on new firm formation. Furthermore, the relationship between financial incentives and new firm formation is not robust. This study suggests that policies that create a favorable business environment (or increase the barriers to business entry) may benefit (or hinder) different types of firms to varying degrees, as firms may have different levels of motivations, incentives, resources, and capacity to leverage these policies. Therefore, the distributional implications of policies should be taken into account in policy designs.

Heat purchase agreements could lower barriers to heat pump adoption

Efficient electric heat pumps have the potential to significantly reduce greenhouse gas emissions from heating and cooling buildings. However, heat pumps’ initial costs can be prohibitively high and their lifetime costs are only situationally competitive with incumbent technologies. Here we show that a business model based on heat purchase agreements could lower these barriers to heat pump adoption. In this business model, a user hosts a heat pump owned by an aggregator. The aggregator installs the heat pump at low or no initial cost to the user. The user buys the heat pump’s heat or cooling output from the aggregator. The aggregator buys the heat pump’s input electricity in the wholesale energy market and sells the flexibility of their aggregate electrical load in ancillary service markets. This paper presents the first economic analysis of heat purchase agreements as a third-party ownership model for electric heat pumps. We derive conditions under which a heat purchase agreement is mutually beneficial to the user and the aggregator. We also provide a method to fairly price heat and cooling. A case study of a typical United States home shows that a heat purchase agreement could more than double the value of a heat pump investment relative to the incumbent business model. The potential impact of this work is to reduce emissions both directly, by accelerating replacement of fossil-fueled or inefficient heating or cooling equipment, and indirectly, by helping power system operators reliably integrate wind and solar generation.

Information Searching in the Residential Solar PV Market

This paper examines the consumer information search behavior of households in San Diego County with solar photovoltaic (PV) systems. We focus on whether solar PV households financing the technology through third-party ownership (TPO) versus host-ownership (HO), which is equivalent to leasing or buying goods in other markets, have heterogeneous preferences as reflected by information search. Conditional on adoption, we find that TPO households tend to seek more information on home modifications required for solar installation whereas HO households seek more information on the financial returns of solar investments. These preferences may be correlated with the consumption of other goods and services, and thus, if used to inform marketing strategies, our results could help reduce solar PV customer acquisition costs and accelerate technology diffusion. They also have indirect implications for marketing goods and services in other contexts where consumers exhibit similar preferences.

Grid-interactive rooftop photovoltaic clusters with third-party ownership

Irrespective of having a variety of policies and competitively lower costs of solar panels, rooftop photovoltaic (PV) systems have not been attractive to the majority of stakeholders because a perfect integration of the technologies and policies is yet to evolve. In this context, the power purchasing agreement (PPA) scheme under third-party ownership is becoming an attractive financing option available for residential PV applications. This paper elaborates on an innovative concept for the development of a centralized unit commitment management system for grid-interactive rooftop PV systems that are integrated with energy storage systems, under a PPA scheme. It is technically feasible to expand the energy storage of distributed PV systems and link together to operate as a cluster, where there is a huge potential in achieving a number of grid supporting operations including peak shaving and load shifting. This paper emphasizes that economic feasibility of the proposed concept depends on the accuracy of demand prediction and smart monitoring of system parameters and thus, an artificial intelligence (AI)-based monitoring approaches, which have a greater potential in real-time handling of operations, are required to achieve the best results. The implementation of this concept will be beneficial for almost all stakeholders involved in the business-as-usual and simultaneously, act as a catalyst in popularizing PV systems in developing countries.

Business model translation—The case of spreading a business model for solar energy

Abstract Distributed solar photovoltaic systems are considered an important renewable energy source for meeting renewable energy targets and mitigating climate change. In several markets, emerging firms have established new business models to offer residential customers solar panel systems. In California, the third-party ownership business model has been successfully established during the last decade, and is currently spreading to other markets. Through a longitudinal case study, this paper explores how a startup firm in the Netherlands set up the third-party ownership business model on the Dutch market. The case shows that the process of bringing a business model to a new market is not sufficiently understood as a process of diffusion. Alternatively, it is a process of business model translation, in which the actors involved play a central role in adapting and successfully establishing the business model in a new market. The results have implications for both practitioners and policy makers, as well as the emerging literature on business models for sustainability.

Third-Party Ownership Business Models and the Operational Performance of Solar Energy Systems

The nonresidential solar energy market has grown rapidly in the United States. Companies considering the adoption of solar energy have an important choice: whether to purchase the system (direct ownership, or DO) or opt for an agreement with a service provider that offers third-party ownership (TPO). Although this decision is financially very important, empirical research comparing the two models from an operational perspective has been scarce. These issues are particularly relevant considering that federal and state incentives are commonly used to stimulate adoption. This paper presents an empirical analysis of the role of TPO in the operational performance of nonresidential solar energy installations in California. Using a panel data estimation framework, and accounting for factors that influence TPO adoption, the analysis shows that TPO systems performed, on average, approximately 4% better than DO systems) in terms of their production yield. This performance improvement is consistent with better system design under TPO, but not with better solar panel technology selection by TPO providers.

Third-party ownership prohibition in football and European Union fundamental freedoms: CAS decision on RFC Seraing case

Third-party ownership used to be an important financing mechanism in football. It allowed some clubs to be more competitive in the global transfer market, as they could attract and retain footballers whom they would otherwise not have been able to attract if the clubs had to acquire the totality of the players’ economic rights. However, this mechanism was banned by FIFA in 2015 after the inclusion of Article 18ter in its Regulations on the Status and Transfer of Players. This prohibition has been very controversial and was challenged before the CAS by the Belgian club RFC Seraing. The decision in the case considered the parties’ arguments: The club’s argument was that Article 18ter violated European Union law, including the fundamental freedoms; FIFA’s argument was that such a measure was necessary and proportionate to preserve the integrity of football. Throughout this paper, the reasoning adopted by the CAS panel in its decision will be analysed, taking into consideration the allegations regarding the legitimacy of FIFA’s objectives in banning TPO as well as the adequacy and proportionality of such a measure to achieve those objectives. Therefore, it will be possible to verify whether the TPO prohibition is truly compatible with the European Union’s fundamental freedoms.

To buy the system or to buy the service: the emergence of a solar service model in Thailand

Thailand has experienced a rapid increase in utility-scale solar PV investment (>1 MWp), while the growth of investment in smaller-sized rooftop PV systems is far behind. Due to the continuous decline in PV module costs and the discontinued support in the form of feed-in tariffs, the market is gradually transitioning to installations for the purpose of self-consumption. The main barrier for market expansion is the high upfront costs of solar PV systems. Rather than buying the system, new business models are offering customers to buy the service from solar PV systems instead. The Solar PPA model is an emerging solar service business model in Thailand. This model eliminates the investment cost and operating risks for the customer. This paper takes on the view of a commercial-sized customer to compare the options between the Buying Model and the Solar PPA model. From the customer's viewpoint, the cost of electricity generation, or the levelized cost of electricity (LCOE), under the Solar PPA model is more attractive. The results show an LCOE of 4.82 THB/kWh (0.14 USD/kWh) for the Solar PPA model, 9.56% less than buying the system at 5.28 THB/kWh (0.16 USD/kWh). The Solar PPA model also proves to be a more attractive option in most sensitivity cases. This paper discusses conditions under which the model is feasible and recommends that the design of future support schemes for solar PV self-consumption should enable the expansion of innovative business models, including the Solar PPA model and other third-party ownership models.

Implementation of a large-scale solar photovoltaic system at a higher education institution in Illinois, USA

Solar energy has several environmental, economic, and educational benefits for college campuses, but it is difficult for state schools to find funding for these projects. This study shows that a solar photovoltaic (PV) system on Illinois State University’s (ISU) campus is technically and financially feasible. While there have been several solar feasibility studies of higher education institutions in USA, there has been a lack of in depth financial analysis. We conducted solar site assessments on five potential locations on campus, used a solar energy performance model to analyze the technical feasibility of each location, and performed a financial assessment using a professional PV financial modeling tool to compare different financing options. Our results show that three sites on campus can be used to develop a combined solar PV system of one megawatt. Both direct and third-party ownership models are financially feasible for this combined system. Our findings can be replicable as a case study for future solar PV system development on college campuses.

Developing and managing photovoltaic facilities based on third-party ownership business models in buildings

Purpose The purpose of this paper is to demonstrate the growing trend of developing and managing photovoltaic facilities owned by third parties in buildings, as a possible alternative to energy performance contracting. Design/methodology/approach Based on an established business model template, analysis is carried out on the framework of using third-party finance in the provision of photovoltaic facilities in buildings. Case studies in the USA and China enable comparison of policy tools enabling this approach. Findings While barriers exist in the common energy performance contracting approach for renewable installations owned by the building owner, vesting photovoltaic equipment with a third party for a certain period has become a viable business alternative as long as revenue is generated through a power purchase agreement or lease arrangement with the building owner. Research limitations/implications The third-party ownership business model works better if sufficient policy incentives exist alongside the revenue brought about by renewable energy. Hence, governments have to create the right environment. Originality/value Win-win situations have been identified through case studies in countries with burgeoning renewable energy use in buildings, notably the USA and China, giving new insights on facilities management.

Third Parties and Specific Investments

Competitive advantage is typically based on a unique nexus of firm-specific investments that creates inimitable quasi-rents. Because it is impossible to write complete contracts on how to distribute the quasi-rents, stakeholders tend to underinvest in firm-specific assets to avoid the hold-up risk. This paper empirically tests the effect of third-party ownership on specific investments. Third-party ownership assigns the rights of residual control to independent fiduciaries. We conduct variations of the trust game, in which a third party, rather than the receiver, distributes the returns on investments. A randomly chosen third party with a fixed payment induces larger investments over time although the experimental design rules out reputation building. If receivers select the third parties, this benefit vanishes. If the third party receives a reward for the appointment, investments actually decrease. Investors (unwarrantedly) fear lower back transfers in such cases.

Overcoming barriers and uncertainties in the adoption of residential solar PV

In recent years decreasing hardware costs have driven down the installed price of solar photovoltaic (PV) systems and spurred adoption. However, system cost is not the only barrier faced by solar adopters. Potential adopters also face various informational barriers, leading to high indirect costs during the information search process. There is a significant gap in the literature for empirical work on solar adoption linking how the information context (installer marketing; neighbors with solar, i.e., peer effects; etc.) interacts with a potential adopter's motivations to impact decision outcomes. To address this gap we present results of a new survey on the decision-making process of residential PV adopters in northern California. The main aspects of our analysis include: salient motivating factors, information gathering process, peer effects, role of installers, and factors driving the choice of outright purchase versus third-party ownership (e.g., leasing) modes of adoption. We find that installers and neighbors play important, but often supplementary, roles throughout the decision-making process and have influence on both the decision to adopt as well as on the mode of adoption. Furthermore, expected financial returns and concerns about operations and maintenance are the main determining factors for the mode of adoption.

Debating FIFA’s TPO ban: ASSER International Sports Law Blog symposium

On 1 May 2015, FIFA introduced Article 18ter in the FIFA Regulations on the Status and Transfer of Players, thereby banning third-party ownership of players’ economic rights (TPO) in football. The decision to put a definitive end to the use of TPO in football is highly controversial, especially in countries where TPO is a mainstream financing mechanism for clubs such as Spain, Portugal and countries in South America. In fact, the Portuguese and Spanish football leagues launched a complaint in front of the European Commission, asking it to find the FIFA ban contrary to EU competition law. In order to debate the appropriateness of the TPO debate, the editors of the ASSER International Sports Law Blog organized its first Blog Symposium in April 2015. We received contributions from the complainant (the Spanish football league, LFP) and four renowned experts on TPO matters (Daniel Geey, Ariel Reck, Rafaelle Poli and Christian Duve). The contributions focused on different aspects of the functioning of TPO and on the impact and consequences of the ban.