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Following the successful completion of ECA’s previous work in Indonesia, resulting in the implementation of National Urban Water Supply (NUWAS) framework, we were asked to assist the World Bank Team Jakarta to design a regional water supply and PPP framework. The regional water supply frameworks developed under this assignment aims to provide a streamlined and consistent approach and associated tools for the development of Indonesia’s regional water supply scheme. The framework will provide guideline on how to assess raw water availability, demand and market potential in different local government areas, types of institutions suitable to build and operate the regional bulk water infrastructure, and cost and bulk water tariff structures.
The landscape for electricity networks is changing rapidly to a more decentralised, decarbonised and digitised future. The role of the customer is becoming more active, demanding and important. This viewpoint explores network planning in such an uncertain and dynamic world through National Grid’s network development process. READ ECA VIEWPOINT HERE
The Government of Uganda and World Bank are exploring the possibility of financing standalone solar for productive uses (SSPU). SSPU products are defined as those that: a) serve a single customer, which may be a household, small business or cooperative (as opposed to a mini-grid, which serves multiple clients); b) boost productivity and income generation activities, contributing to economic growth. ECA is conducting a market assessment to better understand the full range of SSPU applications relevant to small to medium sized enterprises, which is steadily expanding as a result of technological innovation. With only a few dozen watts of solar electricity, entrepreneurs are generating income by mobile phone charging or powering hair clippers, while larger solar systems power village cinemas. In agriculture there are commercial opportunities for solar powered milk chilling, egg incubation, milling and refrigeration, which can require several kilowatts. Solar powered water pumps for drinking water and irrigation are being customized for the needs of smallholder farmers and ever increasing in popularity.
ECA has been supporting the IEACCC to update a 2017 review on the the financing environment for new coal projects. The 2019 study assesses differences between Asian and Western financiers, the role of multilaterals, the involvement of public financial institutions, and the differences in financing for coal-mines and coal-fired power powerplants. We are presenting our findings on the 14 August at 12:00 PM. Register to join the webinar here and listen to our findings.
Ireland is in the process of transposing EU Directive 2018/2002, the revised “Energy Efficiency Directive” which sets energy efficiency targets and policies out to 2030. Article 7 and the associated Energy Efficiency Obligation Scheme (EEOS) are a centrepiece of the directive and current domestic energy efficiency policy. The Irish authorities are considering how best to build upon the success of their current programmes to meet their 2030 obligations. This assignment is to provide expert policy and economic support for this process.
ECA to review regulatory approaches to setting revenues for electricity transmission and distribution
We have been appointed by the Energy Regulators Regional Association (ERRA) to assist the latter in documenting, comparing and evaluating the regulatory approaches adopted by ERRA member organisations in setting the allowed revenues for electricity transmission and distribution businesses. The review will comprehensively document and assess all aspects of revenue setting, including the overarching methodology employed by regulators, the calculation of the various components of revenue, mechanisms for assessing expenditures, the setting of the cost of capital, the use of incentive mechanisms, and the treatment of deviations from forecasted costs and allowed revenues.
Corporate Power Purchase Agreements (PPAs) have mainly been used for renewables in competitive markets in the EU and the US, but they can be used to introduce a limited form of competition in countries that do not have formal electricity markets. Here we explore how this might work. READ ECA VIEWPOINT HERE
As part of what now has become an annual tradition, ECA staff hosted an ‘events’ week to bring staff together for working lunches, plus social and team-building events. We kicked-off with an evening 6-a-side football match that resulted in many eager participants and a high-scoring 11-8 score line. The following day all staff participated in a 7-team challenge with a multiplayer, augmented reality adventure using virtual reality pads around the streets of St. Paul’s in London – more high scoring with the winning team achieving one of the top 5 scores ever recorded by the gaming host company. Other events included a bouldering activity (for the climbing enthusiasts amongst us), and to close the week a day’s relaxed cycle ride from Bristol to Bath held on the weekend. Needless to say, there was plenty of food and drink provided to reward all the team’s activities and achievements.
This month we welcome our new consultant – Rosie Read. Rosie has 12 years’ experience in the energy and utility sector, with work spanning market design fundamentals, regulatory advisory, developing strategic market models, hydro-optimisation, trading, investment analysis, audit and assurance and market operations. Rosie holds a MCom from the University of Canterbury, where her specialisation was operations research. She joins us from Meridian Energy, a New Zealand generator-retailer, where she spent time working both as an energy modelling analyst in the strategy and finance team, and experiencing the operational challenges of hands-on energy trading.
Energy Fiji Limited has contracted ECA to provide advice on the implementation of a new rooftop solar policy, including the calculation of cost-reflective customer charges.