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El. knyga: Energy Economics: Concepts, Issues, Markets and Governance

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  • Formatas: EPUB+DRM
  • Išleidimo metai: 02-Nov-2019
  • Leidėjas: Springer London Ltd
  • Kalba: eng
  • ISBN-13: 9781447174684
Kitos knygos pagal šią temą:
Energy Economics: Concepts, Issues, Markets and GovernanceDidesnis paveikslėlis
  • Formatas: EPUB+DRM
  • Išleidimo metai: 02-Nov-2019
  • Leidėjas: Springer London Ltd
  • Kalba: eng
  • ISBN-13: 9781447174684
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This book provides an updated and expanded overview of basic concepts of energy economics and explains how simple economic tools can be used to analyse contemporary energy issues in the light of recent developments, such as the Paris Agreement, the UN Sustainable Development Goals and new technological developments in the production and use of energy. 

The new edition is divided into four parts covering concepts, issues, markets, and governance. Although the content has been thoroughly revised and rationalised to reflect the current state of knowledge, it retains the main features of the first edition, namely accessibility, research-informed presentation, and extensive use of charts, tables and worked examples.

This easily accessible reference book allows readers to gain the skills required to understand and analyse complex energy issues from an economic perspective. It is a valuable resource for students and researchers in the field of energy economics, as well as interested readers with an interdisciplinary background.



This book introduces the basic concepts of energy economics and explains how simple economic tools can be used to analyze contemporary energy issues. It gives the reader a thorough grounding in various key aspects of the subject.

1 Introduction to Energy Economics
1(6)
1.1 Introduction
2(2)
1.2 Organisation and Content of the Book
4(3)
Reference
4(3)
I Economic Concepts Applied to the Energy Sector
2 Energy Data and Energy Balance
7(34)
2.1 Introduction
9(1)
2.2 Energy Basics
9(3)
2.2.1 Energy Defined
9(1)
2.2.2 Alternative Classifications of Energy
10(2)
2.3 Introduction to the Energy System
12(2)
2.4 Energy Accounting Framework
14(11)
2.4.1 Components of the Energy Account
15(2)
2.4.2 Commodity Accounts and Overall Energy Balance
17(3)
2.4.3 Units, Conversion Factors and Aggregation of Energy Flows
20(5)
2.5 Accounting of Traditional Energies
25(2)
2.6 Special Treatments of Some Entries in the Energy Balance
27(2)
2.6.1 Treatment of Primary Electricity Production
27(1)
2.6.2 Treatment of Electricity in Final Consumption
28(1)
2.6.3 Self Generation
29(1)
2.7 Analysis of Energy Balance Information
29(2)
2.8 Alternative Presentation of Energy Accounting Information
31(3)
2.8.1 Energy Flow Diagrams
31(1)
2.8.2 Reference Energy Systems (RES)
32(2)
2.9 Common Energy Data Issues
34(2)
2.10 Conclusion
36(5)
Annex 2.1 Worked Out Examples
36(3)
References
39(2)
3 Energy Demand Analysis
41(42)
3.1 Introduction
43(1)
3.2 Basic Rational Choice Model of Energy Demand
44(6)
3.2.1 Consumer Demand for Energy: Utility Maximization Problem
44(4)
3.2.2 Cost Minimization Problem of the Producer
48(2)
3.3 Energy Demand Decisions from a Behavioural Economics Perspective
50(1)
3.4 Overview of Energy Demand Decisions
51(2)
3.5 Simple Indicators for Energy Demand Analysis
53(8)
3.5.1 Visualisation of Demand Trend
53(2)
3.5.2 Growth Rates
55(1)
3.5.3 Demand Elasticities
56(1)
3.5.4 Energy Intensities
57(4)
3.6 Decomposition Analysis
61(9)
3.6.1 Analysis of Changes in Total Energy Demand
62(3)
3.6.2 Analysis of Changes in Energy Intensity
65(4)
3.6.3 Analysis Using Physical Indicators
69(1)
3.7 Energy Demand Analysis Using the Econometric Approach
70(7)
3.7.1 Single Equation Regression Models
70(3)
3.7.2 Other Econometric Approaches
73(4)
3.8 Big Data and Energy Demand Analysis
77(1)
3.9 Conclusion
78(5)
Annex 3.1 Consumer Demand for Energy---The Constrained Optimization Problem
79(1)
Annex 3.2 Cost Minimization Problem of Producers
80(1)
References
80(3)
4 Sectoral Energy Demand Analysis
83(38)
4.1 Introduction
84(1)
4.2 Energy Demand at the Sector Level
84(3)
4.3 Sectoral Energy Accounting
87(1)
4.4 Analysis at the Sectoral Level
88(25)
4.4.1 Industrial Energy Demand Analysis
89(13)
4.4.2 Energy Demand Analysis in the Transport Sector
102(6)
4.4.3 Energy of Energy Demand in the Residential and Commercial Sectors
108(5)
4.5 Conclusion
113(8)
Annex 4.1 Hierarchical Decomposition
113(2)
Annex 4.2 Translog Cost Function
115(3)
References
118(3)
5 Energy Demand Forecasting
121(26)
5.1 Introduction
122(15)
5.1.1 Simple Approaches
122(5)
5.1.2 Advanced or Sophisticated Techniques
127(10)
5.2 Review of Some Common Energy Demand Analysis Models
137(3)
5.2.1 MAED Model
138(1)
5.2.2 LEAP Model
138(2)
5.3 Conclusion
140(7)
Annex 5.1 Mathematical Representation of Demand Forecasting Using the Input-Output Model
142(2)
References
144(3)
6 Economic Analysis of Energy Investments
147(28)
6.1 Introduction
148(2)
6.1.1 Main Characteristics of Energy Projects
148(2)
6.2 Essentials of the Economic Analysis of Projects
150(9)
6.2.1 Identification of Costs
151(1)
6.2.2 Identification of Benefits
152(1)
6.2.3 Valuation of Costs and Benefits
153(6)
6.3 Economic Versus Financial Investment Analysis
159(1)
6.4 Indicators of Cost-Benefit Comparison
160(5)
6.4.1 Methods Without Time Value
160(1)
6.4.2 Methods Employing Time Value
161(4)
6.5 Uncertainty and Risk in Projects
165(2)
6.6 Conclusion
167(8)
Annex 6.1 Example of a Project Evaluation Exercise
168(3)
Annex 6.2 Some Commonly Used Interest Formulae
171(3)
References
174(1)
7 Economics of Non-renewable Energy Supply
175(42)
7.1 Introduction
177(10)
7.1.1 Exploration
179(2)
7.1.2 The Economics of Exploration Activities
181(1)
7.1.3 Investment Decision
182(1)
7.1.4 Risks in Exploration Projects
183(4)
7.2 Field Development
187(5)
7.2.1 Investment Decision
188(2)
7.2.2 Resource Classification
190(2)
7.2.3 Classification of Crude Oil, Natural Gas and Coal
192(1)
7.3 Production
192(6)
7.3.1 Conventional Oil Production
193(2)
7.3.2 Production Decline and Initial Production Rate
195(1)
7.3.3 Conventional Gas Production
196(1)
7.3.4 Coal Production
197(1)
7.3.5 Unconventional Oil and Gas Production
197(1)
7.4 Economics of Fossil Fuel Production
198(3)
7.4.1 Field Level Economics
198(1)
7.4.2 Industry Level Economics
199(2)
7.5 Resource Rent
201(3)
7.6 Depletion of Resources
204(2)
7.6.1 Depletion Dimension: Now or Later
205(1)
7.7 Supply Forecasting
206(2)
7.7.1 Relation Between Discoveries and Production
206(1)
7.7.2 Supply Forecasting Methods
207(1)
7.8 Conclusion
208(9)
Annex 7.1 Mathematical Treatment of Depletion
209(5)
References
214(3)
8 The Economics of Renewable Energy Supply
217(32)
8.1 Introduction: Renewable and Alternative Energy Background
218(4)
8.1.1 Status of Renewable Energies at Present
218(4)
8.2 Renewable Electricity Generation
222(1)
8.3 Bio-Fuels
223(4)
8.4 Renewable Energy for Heating and Cooling
227(2)
8.5 Drivers of Renewable Energy
229(2)
8.6 The Economics of Renewable Energy Supply
231(11)
8.6.1 The Economics of Renewable Electricity Supply
231(11)
8.7 The Economics of Bio-Fuels
242(4)
8.7.1 Bio-Ethanol Cost Features
242(1)
8.7.2 Bio-Diesel Costs
243(1)
8.7.3 Support Mechanisms for Biofuels
244(2)
8.8 Conclusion
246(3)
References
246(3)
9 Energy Pricing and Taxation
249(44)
9.1 Perfectly Competitive Market Model
251(3)
9.2 Extension of the Basic Model
254(5)
9.2.1 Indivisibility of Capital
254(3)
9.2.2 Depletion of Exhaustible Resources
257(1)
9.2.3 Asset Specificity and Capital Intensiveness
257(2)
9.3 Market Failures
259(9)
9.3.1 Monopoly Problems
259(2)
9.3.2 Natural Monopoly
261(6)
9.3.3 Existence of Rent
267(1)
9.3.4 Externality and Public Goods
267(1)
9.4 Tradability of Energy Products and Opportunity Cost
268(3)
9.5 Peak and Off-peak Pricing
271(2)
9.6 Short-Run Versus Long-Run Debate
273(1)
9.7 Government Intervention and Role of Government in the Sector
274(3)
9.8 Energy Taxes and Subsidies
277(11)
9.8.1 Principles of Optimal Indirect Taxation
280(2)
9.8.2 Equity Considerations
282(1)
9.8.3 Issues Related to Numerical Determination of an Optimal Tax
283(1)
9.8.4 Who Bears the Tax Burden?
284(1)
9.8.5 Subsidies
284(3)
9.8.6 Subsidy Dilemma in Developing Countries with High Dependence on Traditional Energies and Informal Sectors
287(1)
9.9 Conclusion
288(5)
Annex 9.1 Peak Load Pricing Principle
289(2)
References
291(2)
10 The Economics of Environment Protection
293(38)
10.1 Introduction
295(1)
10.2 Energy--Environment Interactions
295(8)
10.2.1 Energy--Environment Interaction at the Household Level
296(4)
10.2.2 Community Level Impacts
300(1)
10.2.3 Impacts at the Regional Level
301(1)
10.2.4 Global Level Problems: Climate Change
302(1)
10.3 Environmental Kuznets Curve
303(1)
10.4 Economics of the Environment Protection
304(5)
10.4.1 Externalities
305(1)
10.4.2 Spectrum of Goods
306(1)
10.4.3 Private Versus Social Costs
307(2)
10.5 Options to Address Energy-Related Environmental Problems
309(13)
10.5.1 Regulatory Approach to Environment Management
310(2)
10.5.2 Economic Instruments for Pollution Control
312(8)
10.5.3 Assessment and Selection of Instruments
320(2)
10.6 Effects of Market Imperfection
322(2)
10.7 Valuation of Externalities
324(3)
10.8 Government Failure
327(1)
10.9 Conclusion
328(3)
References
328(3)
11 The Economics of Climate Change
331(38)
11.1 Climate Change Background
332(7)
11.1.1 The Solar Energy Balance
332(1)
11.1.2 GHGs and Their Global Warming Potential
333(1)
11.1.3 Observed Changes in the Climate System
334(5)
11.2 The Economics of Climate Change
339(4)
11.2.1 Problem Dimension
339(1)
11.2.2 Overview of GHG Emissions
340(3)
11.3 Economic Approach to Control the Greenhouse Effect
343(3)
11.3.1 Integrated Assessment
345(1)
11.4 Options to Cope with Global Warming
346(13)
11.4.1 Generic Options
346(2)
11.4.2 National Policy Options
348(5)
11.4.3 Emissions Trading System (ETS) of the EU
353(2)
11.4.4 International Policy Options
355(4)
11.5 Climate Change Agreements
359(3)
11.5.1 UNFCCC
359(1)
11.5.2 The Kyoto Protocol
360(2)
11.5.3 The Paris Agreement
362(1)
11.6 Conclusion
362(7)
References
363(6)
II Issues
12 Overview of Challenges Facing the Energy Sector
369(18)
12.1 Introduction
370(1)
12.2 Grand Energy Transitions
370(6)
12.3 Issues Facing Fossil Fuel-Rich Countries
376(4)
12.4 Issues Facing Resource-Poor Countries
380(2)
12.5 Energy Equity and Justice
382(1)
12.6 Governance Issues
383(1)
12.7 Conclusion
384(3)
References
385(2)
13 Energy and Sustainable Development
387(28)
13.1 Unsustainable Development Process
388(7)
13.2 Sustainable Development
395(3)
13.3 A Brief Review of International Initiatives on Sustainable Development
398(4)
13.4 Energy and Sustainable Development
402(13)
Annex 13.1 A Brief Summary of Three Sustainability Dimensions
404(9)
References
413(2)
14 Energy Security Issues
415(28)
14.1 Introduction
416(1)
14.2 Energy Security: The Concept
416(11)
14.2.1 Indicators of Energy Security
419(8)
14.3 Economics of Energy Security
427(3)
14.3.1 External costs of oil Imports
428(2)
14.4 Optimal Level of Energy Independence
430(1)
14.5 Policy Options Relating to Import Dependence
431(5)
14.5.1 Import Restrictions
432(1)
14.5.2 Import Diversification
433(2)
14.5.3 Diversification of Fuel Mix
435(1)
14.5.4 Energy Efficiency Improvements
435(1)
14.6 Costs of Energy Supply Disruption
436(4)
14.6.1 Strategic Oil Reserves for Mitigating Supply Disruption
437(2)
14.6.2 International Policy Co-ordination
439(1)
14.7 Conclusions
440(3)
References
441(2)
15 Impact of Price Volatility
443(26)
15.1 Introduction
444(1)
15.2 Recent Developments in Energy Prices
444(2)
15.3 Reasons for Energy Price Volatility
446(3)
15.4 Impacts of Energy Price Shocks: Case of Importing Countries
449(6)
15.4.1 Consumer Reaction to Oil Price Changes
449(2)
15.4.2 Transmission of Reactions to the Economy
451(2)
15.4.3 Linkage with the External Sector
453(2)
15.5 Energy Price Shocks and Vulnerability of Importers
455(2)
15.6 Impact of Oil Price Shocks: Case of Oil Exporting Countries
457(9)
15.6.1 Export Revenue Volatility
457(3)
15.6.2 Resource Curse
460(3)
15.6.3 Petroleum Funds
463(3)
15.7 Conclusions
466(3)
References
466(3)
16 Energy Investment Issues
469(24)
16.1 Recent Investment Trend in the Energy Sector
470(2)
16.2 Future Investment Needs of the Energy Sector
472(4)
16.2.1 IRENA Transformation Roadmap 2019
473(1)
16.2.2 World Energy Outlook (2018) Scenarios
474(1)
16.2.3 Energy Transition Outlook by DNVGL (2018)
475(1)
16.3 Factors Influencing Future Energy Sector Investments
476(4)
16.4 Issues Related to Investments in the Energy Sector
480(9)
16.4.1 High Cost of Financing Energy Investments in Developing Countries
480(2)
16.4.2 Risks in Energy Investments and de-Risking Measures
482(4)
16.4.3 Resource Availability and Mobilisation
486(3)
16.4.4 Energy Pricing-Investment Link
489(1)
16.5 Conclusions
489(4)
References
490(3)
17 Energy Access
493(32)
17.1 Energy Access
494(5)
17.1.1 Current Situation
495(4)
17.1.2 Future Outlook
499(1)
17.2 Indicators of Energy Poverty
499(3)
17.3 Energy Ladder and Energy Use
502(1)
17.4 Energy Access Development Link
503(1)
17.5 Review of Experience on Energy Access Provision
504(11)
17.5.1 Review of Electrification Experience
505(7)
17.5.2 Review of Clean Cooking Energy Access Experience in Developing Countries
512(3)
17.6 Evaluation of Existing Mechanisms for Enhancing Access
515(3)
17.7 Sustainability Analysis of Energy Access Programmes
518(3)
17.7.1 Methodology
518(1)
17.7.2 Analysis of the Results
519(2)
17.8 Conclusion
521(4)
References
521(4)
18 Pollution Control from Stationary Sources
525(20)
18.1 Introduction
526(2)
18.2 Direct Pollution Control Strategies
528(9)
18.2.1 Pollution Standards
528(4)
18.2.2 Emission Taxes and Charges
532(1)
18.2.3 Emissions Trading
532(5)
18.3 Indirect Policies
537(4)
18.3.1 Pollution Control Technologies
537(1)
18.3.2 Options Related to Fuels and Conversion Processes
538(3)
18.4 Indoor Air Pollution
541(2)
18.5 Conclusion
543(2)
References
543(2)
19 Pollution Control from Mobile Sources
545(26)
19.1 Introduction
546(2)
19.2 Special Characteristics of Mobile Pollution
548(1)
19.3 Social Costs of Transport Use
549(10)
19.3.1 Infrastructure Usage Related Costs
550(3)
19.3.2 Environmental Pollution Costs
553(5)
19.3.3 Infrastructure-Related Costs
558(1)
19.3.4 Internalisation of Externalities
558(1)
19.4 Mitigation Options
559(9)
19.4.1 Vehicle Emission Standards and Technologies
559(4)
19.4.2 Zero Emission Vehicles
563(1)
19.4.3 Cleaner Fuels
564(2)
19.4.4 Traffic Management and Planning
566(2)
19.5 Conclusion
568(3)
References
568(3)
20 Energy Demand Management and Demand Response
571(36)
20.1 Introduction
573(2)
20.2 Energy Demand Management
575(4)
20.2.1 Definition
575(2)
20.2.2 Evolution of DSM and Demand Response
577(1)
20.2.3 Justification for DSM
578(1)
20.3 Load Management
579(4)
20.4 Energy Efficiency Improvements and Energy Conservation
583(7)
20.4.1 What Is Energy Efficiency?
583(2)
20.4.2 Opportunities for Energy Saving
585(4)
20.4.3 Economics of Energy Efficiency Improvements
589(1)
20.5 Analysing Cost Effectiveness of DSM Options
590(4)
20.5.1 Participant Test
591(1)
20.5.2 Ratepayer Impact Measure (RIM)
591(2)
20.5.3 Total Resource Cost Test
593(1)
20.5.4 Programme Administrator Cost or Utility Cost Test
593(1)
20.6 Energy Efficiency Debate
594(8)
20.6.1 Market Barriers and Intervention Debate
594(1)
20.6.2 What Are the Market Barriers to Energy Efficiency?
595(2)
20.6.3 Government Intervention and Its Nature
597(1)
20.6.4 Energy Efficiency Versus Economic Efficiency Debate
598(2)
20.6.5 Rebound Effect
600(1)
20.6.6 Use of Market-Based Incentives for Energy Efficiency
601(1)
20.7 Conclusion
602(5)
References
602(5)
III Markets
21 International Oil Market
607(40)
21.1 Introduction
608(1)
21.2 Developments in the Oil Industry
608(22)
21.2.1 Pre-OPEC Era
608(7)
21.2.2 OPEC Era
615(8)
21.2.3 New World Petroleum Order
623(3)
21.2.4 Commoditisation of Oil
626(4)
21.3 National and International Oil Companies
630(2)
21.3.1 National Oil Companies
630(1)
21.3.2 International Oil Companies
631(1)
21.4 Analysis of Changes in the Oil Market
632(11)
21.4.1 Evolution of Oil Reserves, Oil Production and Oil Consumption
632(3)
21.4.2 Analysis of the OPEC Behaviour
635(7)
21.4.3 A Simple Analytical Framework of Oil Pricing
642(1)
21.5 Low Carbon Energy Transition and the Future of Oil
643(1)
21.6 Conclusion
644(3)
References
645(2)
22 Natural Gas Market
647(36)
22.1 Introduction
648(1)
22.2 Specific Features of Natural Gas
648(4)
22.2.1 Advantage Natural Gas
648(1)
22.2.2 Gas Supply Chain
649(2)
22.2.3 Specific Features
651(1)
22.3 Status of the Natural Gas Market
652(12)
22.3.1 Reserves
652(2)
22.3.2 Production
654(1)
22.3.3 Consumption
655(3)
22.3.4 Gas Trade
658(6)
22.4 Economics of Gas Transportation
664(10)
22.4.1 Economics of Pipeline Transport of Gas
664(4)
22.4.2 Economics of LNG Supply
668(3)
22.4.3 LNG Versus Pipeline Gas Transport
671(3)
22.5 Gas Pricing
674(5)
22.5.1 Rules of Thumb
674(2)
22.5.2 Parity and Net-Back Pricing
676(1)
22.5.3 Spot Prices of Natural Gas
677(2)
22.6 Natural Gas in the Context of Developing Countries
679(1)
22.7 Conclusion
680(3)
References
681(2)
23 Coal Market
683(16)
23.1 Introduction
684(1)
23.2 Coal Facts
684(9)
23.3 Changes in the Coal Industry
693(2)
23.4 Technological Advances and the Future of Coal
695(1)
23.5 Conclusion
696(3)
References
697(2)
24 Markets for Electricity Supply
699(36)
24.1 Introduction
701(1)
24.2 Basic Concepts Related to Electricity Systems
701(3)
24.3 Alternative Electricity Generation Options
704(3)
24.3.1 Generation Capacity Reserve
707(1)
24.4 Economic Dispatch
707(2)
24.4.1 Merit Order Dispatch
708(1)
24.4.2 Incremental Cost Method
708(1)
24.5 Unit Commitment
709(2)
24.6 Investment Decisions in the Power Sector
711(5)
24.6.1 Levelised Cost
711(3)
24.6.2 Screening Curve Method
714(2)
24.7 Sophisticated Approaches to Electricity Resource Planning
716(1)
24.8 Electricity Markets Around the World
717(7)
24.8.1 Wholesale Electricity Markets
718(5)
24.8.2 Retail Electricity Markets
723(1)
24.9 Ancillary Services and Their Pricing
724(3)
24.10 Electricity Markets and Emerging Technologies
727(1)
24.11 Conclusion
728(7)
Annex 24.1 Levelisation Factor for a Uniform Annual Escalating Series
728(1)
Annex 24.2 A Brief Description of the WASP-IV Model
729(2)
References
731(4)
25 Carbon Market
735(18)
25.1 Introduction to Carbon Markets
736(1)
25.2 State of the Carbon Markets
737(9)
25.2.1 European Carbon Market
739(4)
25.2.2 North American Carbon Market
743(2)
25.2.3 Other Emissions Trading Markets
745(1)
25.2.4 Offset Market
746(1)
25.3 Carbon Market Issues
746(3)
25.4 Conclusions
749(4)
References
749(4)
IV Governance
26 Institutions and the Energy Sector Governance
753(24)
26.1 Introduction
754(1)
26.2 Governance from the Institutional Economics Perspective
755(3)
26.3 Global Energy Governance
758(3)
26.4 Regional Energy Governance
761(3)
26.4.1 Governance of the European Energy Sector
761(1)
26.4.2 Other Regional Cooperation in Energy
762(2)
26.5 Governance of Energy at the National Level
764(1)
26.6 Reforms from an Institutional Economics Perspective
764(10)
26.6.1 Changing the Rules of the Game
765(6)
26.6.2 Changing the Organisational Arrangement
771(1)
26.6.3 Modifying the Governance Mechanism
771(3)
26.6.4 Transition Management
774(1)
26.7 Concluding Remarks
774(3)
References
775(2)
27 Reform of the Energy Sector
777(34)
27.1 Introduction
778(1)
27.2 Government Intervention in Energy Industries
778(3)
27.3 Rationale for Deregulation in the 1990s
781(3)
27.4 Options for Introducing Competition
784(3)
27.4.1 Competition for the Market
784(1)
27.4.2 Competition in the Market
785(2)
27.5 Restructuring Options
787(16)
27.5.1 Vertically Integrated Monopoly Model (VIM)
788(2)
27.5.2 Entry of Independent Power Producers (IPP)
790(1)
27.5.3 Single Buyer Model
791(2)
27.5.4 Transitional Models
793(3)
27.5.5 Wholesale Competition: Price-Based Power Pool Model
796(2)
27.5.6 Wholesale Competition: Net Pool
798(1)
27.5.7 Wholesale Competition: Cost-Based Pool
799(1)
27.5.8 Wholesale Competition Through Open Access
800(1)
27.5.9 Full Customer Choice: Retail Competition Model
801(2)
27.6 Reform Sustainability: A Framework for Analysis
803(3)
27.7 Experience with the Energy Sector Reform
806(2)
27.8 Conclusions
808(3)
References
809(2)
28 Regulation of Energy Industries
811(36)
28.1 Introduction
813(1)
28.2 Traditional Regulation
814(9)
28.2.1 Rate Level Regulation
814(7)
28.2.2 Rate Structure Regulation
821(2)
28.3 Problems with Traditional Regulatory Approach
823(2)
28.4 Regulatory Alternatives
825(4)
28.4.1 Incentive Regulation
825(2)
28.4.2 Regulation by Contract
827(1)
28.4.3 Conduct Regulation
828(1)
28.5 Price-Cap Regulation
829(7)
28.5.1 Choice of Inflation Factor
831(1)
28.5.2 X Factor
832(1)
28.5.3 Z Factor
833(1)
28.5.4 Choice of Form
833(1)
28.5.5 Advantages and Disadvantages of a Price Cap Regulation
834(1)
28.5.6 Comparison of Price Cap and RoR Regulation
835(1)
28.5.7 Experience with Price Cap Regulation
835(1)
28.6 Revenue Caps
836(1)
28.7 Yardstick Competition
837(3)
28.8 Performance Based Regulation
840(3)
28.8.1 Base Revenue Requirement
841(1)
28.8.2 Sharing Mechanism
842(1)
28.8.3 Quality Control
842(1)
28.9 Conclusion
843(4)
References
843(4)
Supplementary Information 847(1)
Concluding Remarks 848
Professor Subhes Bhattacharyya is an internationally respected energy specialist at De Montfort University, UK, working on global energyenvironment issues. He specialises in energy, regulatory, and environmental studies from a multidisciplinary perspective, taking technoeconomic, governance, and management and policy aspects into consideration. He has been involved in the energy sector in various capacities for more than 25 years, including graduate-level teaching and research and industry experience. Subhes mainly focuses on applied, interdisciplinary research on developing economies, particularly energy and environmental issues in South and South East Asia (especially India, Thailand and Vietnam). He has worked extensively on energy sector management issues such as energy sector regulation and restructuring in developing countries, and policy matters related to reconciling energy security and climate changes, and energy access. His research involves various models, including end-use, long-range energyenvironment system modelling, operations research and other decision support systems as well as regulatory and investment analysis tools.
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