Impact Investing in the Energy Sector - How Federal Action Can Galvanize Private Sector Support for Energy Innovation and Deployment

Author(s):  
Sarah Wood Kearney ◽  
Alicia Seiger ◽  
Peter Berliner
2015 ◽  
Vol 8 (3) ◽  
pp. 408-440 ◽  
Author(s):  
Sulafa M. Badi ◽  
Stephen D Pryke

Purpose – The purpose of this paper is to examine the quality of collaboration towards Sustainable Energy Innovation (SEI) in Private Finance Initiative (PFI) projects. While the capacity of PFI to encourage collaboration towards innovation is largely advocated by its proponents; however, it remains to be supported by empirical evidence. Design/methodology/approach – Adopting the Complex Product System (CoPS) innovation management model, the authors assess the quality of collaboration at the interface between the innovation superstructure of public sector clients and users, and the innovation infrastructure of private sector designers, contractors and operators. Two interactional elements are examined upon which the quality of collaboration is assessed: openness of communication and alignment of objectives. The authors apply the model to four new-built PFI school projects within the context of the UK government Building Schools for the Future Programme. Semi-structured interviews with total of 50 key stakeholders were used as the primary data collection method. Findings – PFI has introduced a number of problematic issues weakening collaborative efforts towards innovation in the project environment. Particularly, the study underlines the restricting internal contractual relationships within the integrated Project Company and the misalignment of Design-Construction-Operation sustainability objectives. It also highlights ineffective communication with public sector clients and users brought in by the restricted nature of PFI engagement processes as well as the misalignment of public sector-private sector sustainability objectives. Research limitations/implications – The qualitative nature of the chosen research methodology limits the ability to generalise. The research findings need to be confirmed or rejected by means of quantitative research as representative of all PFI projects. Practical implications – The study emphasizes the public authority’s role in relation to providing the necessary conditions for the creation of a collaborative environment conducive to SEI in PFI projects. Originality/value – The study was able to expand the understanding of innovation and collaboration management processes in PFI projects in three respects: First, addressing the limited attention to innovation in PFI research, the study is the first to examine the quality of collaboration in PFI projects towards the implementation SEI. Second, examining the quality of collaboration in PFI projects through the lens of CoPS provides a new understanding of sustainability innovation and strongly indicates that the CoPS model should be expanded to account for the dynamics of innovation processes in the procurement of sustainable CoPS. Third, the explorative nature of the study was useful in generating research hypotheses that can form the basis for future research on SEI in PFI projects.


2021 ◽  
Vol 4 (2) ◽  
pp. 87-100
Author(s):  
Alfred Boediman ◽  
Raden Aswin Rahadi ◽  
Bagus Aditya Nugraha

By conducting a synthesis review of recent literature, this study aims to provide a comprehensive conceptual model for acknowledging factors determining private investment in the renewable energy sector within an emerging country, Indonesia. The synthesis and thus guides stakeholders to encourage investment from the private sector in renewable energy development. From this study, the authors summarized all factors studied arguably influential in affecting the private sector to invest as a source of development funding and presenting several key indicators of renewable energy investment opportunities in Indonesia. The factors that influence the development of the energy sector include policies related to human capital, environmental protection and energy efficiency. Therefore, this study should serve as the baseline for future advanced studies.   Keywords: renewable energy, investment opportunities, emerging country, Indonesia


Author(s):  
I. Vakulenko ◽  
S. Kolosok

The article deals with the technological possibilities of building smart energy networks in Ukraine based on the use of smart innovative and environmentally friendly solutions for the country's energy complex. To this aim, we have typologized innovative energy solutions used in European Union countries, the United States of America and a number of other countries that are actively building smart energy networks, transforming their own energy system in accordance with current requirements. The article identifies six innovative technologies (directions), the use of which will allow to expand the technical arsenal of means for modernization of the energy sector of Ukraine. Keywords: energy sector, energy innovation, smart grids.


2021 ◽  

The Government of Pakistan strongly supports public–private partnership (PPP) initiatives. From 1990 to 2019, Pakistan witnessed 108 financially closed PPP projects, with a total investment of approximately $28.4 billion. About 88% of these projects are in the energy sector, attracting more than $24.7billion, followed by investments in the port sector. In early 2021, Parliament approved the amendments to the 2017 PPP Law, enacting the Public Private Partnership Authority (Amendment) Act 2021. This further strengthens the enabling legal and regulatory framework for developing and implementing PPPs, thereby promoting private sector investment in public infrastructure and related services.


1994 ◽  
Vol 12 (5) ◽  
pp. 351-357
Author(s):  
John Coleman

The European Bank for Reconstruction and Development was established in 1991 and is owned by the western industrialized countries, including Canada, and the former communist countries of Europe and Central Asia. Its purpose is to assist the latter countries to make the transition from command to market economies in a democratic framework. The Bank, with an initial capital of approximately US$1.2 billion, directs 60 per cent of its resources towards private enterprises and state-owned enterprises which are being privatized. The remainder of the EBRD's lending is directed to governments for infrastructure development. The EBRD's lending, now at US$1.5 to 2 billion a year, is small in relation to the investment needs of its countries of operation. As a result, the Bank tries to maximize its leverage by limiting its share in total project financing to 35 per cent and encouraging co-financing by other lenders and investors. Through its lending it tries to create a demonstration effect and to encourage institutional reforms which increase private investment flows. In the energy sector, most of the EBRD's lending has been in the oil and gas sector in Russia, but it is open for business in other sectors and in all countries of operation. Unlike other development banks, the EBRD is prepared to finance nuclear power projects, especially for improving the safety and extending the operating life of nuclear power stations built before the fall of communism. In this connection, it operates a Nuclear Safety Account established by the G-7 countries after the 1992 Munich Summit. The Bank also is prepared to finance conventional power plants where these would permit the closure of obsolete or unsafe nuclear plants. In the oil and gas sector, most of the EBRD's lending has related to private sector, joint venture projects in Russia, aimed at oilfield rehabilitation and development. Three of the eight projects done so far have involved Canadian firms, reflecting their expertise in secondary and tertiary recovery, and cold weather operations. The private sector ventures supported by the Bank normally involve joint stock companies owned 50 per cent by western partners and 50 per cent by Russian state oil companies, which are being privatized or are operating according to private sector principles. The joint stock companies make up the difference between the EBRD's financing and total project cost through equity contributions in cash and kind, and through debt financing. The EBRD adds value not simply through its own financing. Its involvement in a project promotes co-financing by other investors. Its influence on behalf of foreign and local investors can help overcome administrative and regulatory difficulties affecting projects. Furthermore, the EBRD can give potential clients the benefit of its accumulated knowledge on how to structure the deal to meet host country priorities and regulations and to benefit from the greatest possible financing from the EBRD and from other lenders and investors.


1990 ◽  
Vol 1 (1) ◽  
Author(s):  
Mokone J Roberts

EDITORIAL BY THE NATIONAL ENERGY COUNCILEnergy research in Southern Africa is currently being conducted over a wide front. It varies from sharply focused and specialised technical research at one end of the spectrum, to multi-disciplinary applied research into appropriateenergy technology at the other. Likewise, diverse organisations are involved, from government institutions to the individual in the private sector. It is an unfortunate fact however, that researchers and decision-makers are not adequately informed about ongoing research, and about the results and implications of research already completed. Admittedly, researchers do publish their results in a variety of journals, both locally and internationally. But whilst this meets the needs of the researcher, it does not satisfy the needs of the energy community at large in order to gain an overall impression of the research scene and the results achieved. To improve the communication of ongoing energy research in this country, the National Energy Council (NEC) has undertaken to offer financial support for the first two years of this new journal. Through this journal, the NEC hopes to stimulate the local energy debate, thereby providing appropriate information not only to policy- and decision-makers, but to all researchers and other interested parties. The energy sector deals with scarce resources, such as manpower, money, the natural environment and fossil fuels, all of which need to be used optimally. As always, competition is an important factor, making appropriate information essential.The journal is being launched at a time when the NEC is changing its approach from sponsoring objective-driven research and development to one supporting outputdriven research and development, where the production of tangible results involving specific receivers is stressed. The output of this project to support the initial launching of this journal is to publish six issues over the two-year contract period, resulting in an eventual subscription target of 500. It will focus on the results of applied research within Southern Africa. The readership of the journal will, hopefully, come from the ranks of the energy decision-makers and researchers from government departments, Eskom, local authorities, and oil, coal and renewable energy companies, as well as consultants and manufacturers of energy products and systems. Much could be said about the purpose and the approach to local energy research and development. It becomes a particularly thorny issue in a relatively small geographical area such as ours, where aspects such as the following are constantly debated:• a suitable balance between basic and applied research• the timing and extent of local research in relation to that in other countries• the respective R&D responsibilities of the public and private sector• the development of local expertise, products and solutions as opposed to acquiring them from other countries• pure technical research versus applied multi-disciplinary and field research The journal will, no doubt, be covering the majority of these topics in due course.Undoubtedly, the reaction to and feedback from its readers is the lifeblood of a publication of this nature. Suitable contributions, such as review articles and analyses of trends in local research and development, from researchers,decision-makers and readers in all disciplines and fields of energy, are therefore warmly welcomed. Readers may also wish to submit book reviews and reports on conferences and visits abroad. The impact and credibility of this journal will be dependent  on the contributions of the researcher, evaluator, reviewer,analyst and commentator. To assist in producing a journal of excellence, the Editorial Committee looks forward to a lively exchange of ideas with readers. Ultimately, it is hoped that this journal will contribute to a visionary, ethicaland responsive energy sector.


2020 ◽  
Vol 2020 (1) ◽  
pp. 10251
Author(s):  
Tongyu Meng ◽  
Christine Woods ◽  
Jamie Newth ◽  
Basil Sharp

2019 ◽  
Vol 2019 (6) ◽  
pp. 3-17
Author(s):  
Oleksandr SERDIUK ◽  

Ukraine’s energy system, namely the sector of thermal energy, is the country’s largest producer of greenhouse gas emissions nowadays. Given the significant contribution of Ukraine’s energy sector to the nationwide producing greenhouse gas emissions, the need for its restructuring is becoming increasingly obvious from an economic point of view. However, the lack of economic incentives for private parties and the limited financial capacity of the public sector hamper the implementation of appropriate measures. Given that the natural economic incentives for reducing greenhouse gas emissions from the private sector in the energy sector (80% of the thermal energy sector belongs to the private sector) can only arise in the event of a change in the energy market situation, this raises the question of how to effectively use the limited financial resources of the state for such needs. In view of this, the concept of reducing greenhouse gas emissions in Ukraine’s energy sector is developed, which should be implemented in three stages: (i) the optimization of electricity generation at the TPPs by bringing the load to the maximum and relatively efficient levels, at which the largest amount of energy will be generated per unit of greenhouse gas emissions; (ii) clustering of TPPs into two groups by the performance indicators of operation: the identifying relatively efficient TPPs to be modernized; (iii) ranking of relatively inefficient TPPs by priority for replacement with renewable energy sources. To identify the enterprises in relation to which the proposed measures should be applied, the software is developed, which will determine the relevant information by analyzing the data characterizing the activity of enterprises.


Author(s):  
Charikleia Karakosta ◽  
Aikaterini Papapostolou

European energy, innovation, and climate challenges define the direction of a future European energy system; however, the specific technology pathways are policy sensitive and need careful comparative evaluation. Stakeholder dialogue or exchange is a very enriching experience, as it promotes the communication of different and sometimes controversial ideas, approaches, and expectations. The chapter introduces stakeholder consultation process, so as to analyse the impact of multiple future pathways and policies in the European energy sector. This will be done through a concrete methodological approach based on an institutionalised consultation process of the relevant stakeholders at policy, industry, and research/academic level. Key findings as regards the critical uncertainties affecting the future energy sector reveal that the level of cooperation and the level of decentralisation may play a crucial role in the design of alternative pathways towards a clean energy system.


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