scholarly journals Cross-subsidization in the Electric Power Industry: Current State and Problem-solving Vectors

2021 ◽  
Vol 15 (3) ◽  
pp. 17-30
Author(s):  
Dmitry A. Vasilyev ◽  

As scientific community as businessmen discuss the problem of cross-subsidization in the electric power industry. This problem has long remained relevant. The main topic of economic discussions is fairness and validity of the rules for the tariff formation in the electric power industry. The different tariffs allow reducing the financial burden of some consumers and shifting it to others. The aim of the issue is to develop the main vectors of solving problems and government regulation measures. They are expected to level the negative economic effects of cross-subsidization. The purpose of the study is revealed through solving the following problems: a) to determine the socio-economic nature of cross-subsidization and regulatory problems at the current stage of development; b) to study the experience of foreign countries in cross-subsidization policies; review public policy mechanisms related to cross-subsidization. The subject of the issue is economic relations between different economic participants and their interests arising in the process of cross-subsidization policy. The results of the issue are the development of the main directions of the transformation of the state regulation of the energy complex in terms of reducing the negative effects of cross-subsidies. The scope of application of the obtained results is determined by the possibilities of developing and implementing a balanced state policy that takes into account the interests of all participants in economic processes, eliminating the creation of social tension in society that supports the growth of the well-being of the population. The following general scientific and special methods were chosen as scientific tools for conducting this study: content analysis method, system analysis method, retrospective analysis method, statistical survey methods. The information base of the study was the analytical development of the materials of the Federal Antimonopoly Service, the Federal State Statistics Service, regulatory acts of the Russian Federation governing the development of the electric power complex. The basis of the presented study was the basic definitions of cross-subsidies, methods of reducing the negative consequences of cross-subsidies, principles and approaches of state regulation of the electric power complex.


2020 ◽  
Vol 3 (7) ◽  
pp. 30-39
Author(s):  
S. Ya. CHERNAVSKII ◽  
◽  
N. R. KHACHATURYAN ◽  
Z. N. TSVETAEVA ◽  
◽  
...  

The article highlights one of the unsolved problems of the Russian power industry management. In most of the works, cross-subsidization in the electric power industry is considered in negative connotations. It is shown that in the design of the electricity tariff with cross-subsidization, along with the negative side, there is also a positive side. The article presents views on the problem of people who are active in decision-making, but pas-sive in the public scientific space.



Author(s):  
I. A. Dolmatov ◽  
I, Yu. Zolotova

One of the key pressing challenge the Russian electric power industry faces today in its development and performance is the problem of the cross subsidization between consumer groups. The volume of the cross subsidization in Russia has increased 4 times for 15 years. The conditionally acceptable level of the cross subsidization is estimated based on the additional tariff burden on industrial consumers associated with the implementation of the cross subsidization mechanism. In order to reduce the cross subsidization, it is recommended to increase electricity tariffs for the house-holders by 6% annually. At the transition stage to the target model should be based on the marginal tariff burden on industrial consumers; retail electricity prices for similar consumers in Europe can serve as a “standard” for such a limit (a possible increase in electricity tariffs for industrial consumers on average in Russia is 1.4 times the level of 2016). Options for reducing the cross subsidization and recommendations on how to determine the appropriate volumes are proposed, that is important in the current conditions of the absence of a single adopted methodology for assessing both the value of cross-subsidization and economically justified tariffs.The mechanism of the cross subsidization in the target model of electric energy pricing should be completely excluded, for which the indicator “growth of regulated (final) tariffs for the population” should be included in the forecast of social and economic development of Russia (return to the existing practice until 2017), providing for faster growth rates compared to other consumers.



2020 ◽  
Vol 1 (11) ◽  
pp. 33-45
Author(s):  
S. Ya. CHERNAVSKII ◽  
◽  
N. R. KHACHATURYAN ◽  

The article examines the consequences of the reform of the Russian electric power industry, which resulted in the formation and operation of: wholesale electricity markets in the European part of the country, including the Urals, and in Western Siberia; the system of state-owned companies transporting electricity; and the aggregate of market platforms for the retail electricity market. New phenomena are analyzed, in particular: the emergence of vertically integrated companies coordinating the production and combustion of fossil fuels in power plants; the emergence of competition in the heat market from the side of heat generating plants, which led to financial losses for the existing CHP plants that are part of heat generating companies - participants in the wholesale electricity market; the withdrawal of some heat consumers from the market and the construction of their own heat generating plants; failure to create a competitive retail electricity market. Measures are proposed to prevent the negative consequences of the detected phenomena.



2019 ◽  
Vol 15 (6) ◽  
pp. 946-955
Author(s):  
A. A. Gibadullin ◽  
Yu. V. Yerygin ◽  
S. I. Bortalevich

Introduction. The article is devoted to the export potential analysis of the electric power industry in the Russian Federation during the convergence period of the electric power complex into the Common Electricity Market of the Eurasian Economic Union.Materials and methods. The authors review the main indicators of the electricity sectors of the Eurasian Economic Union State Members. As a result of the analysis, it is revealed that the Russian electric power industry is the most large-scale and diversified industry in comparison with other Union state members. It is substantiated that the electric power complex of the Russian Federation could be fully provided with Russian fuel and energy resources, which give additional stability and competitiveness. Results. The evaluation of the electric power industry export potential of the Russian Federation couldn’t be made without determining the electric energy competitiveness, in which, according to the authors, it is advisable to include indicators of specific reference fuel consumption, loss in grids and cost of electric energy, both on the territory of the Eurasian Economic Union State Members and in the overseas market. As a result of the competitiveness analysis, it was revealed that Russian electrical energy may have certain competitive advantages in the common market and in foreign electricity markets.Discussion and conclusions. The main conclusions about the research results are made by the authors.





Author(s):  
O.E. Kondrateva ◽  
◽  
M.V. Kravchenko ◽  
O.A. Loktionov ◽  
◽  
...  


2020 ◽  
Vol 23 (8) ◽  
pp. 922-939
Author(s):  
N.V. Malinovskaya ◽  
M.D. Malinovskii

Subject. This article deals with the issues relating to improving integrated reporting in terms of dovetailing strategic objectives with capital changes. Objectives. The article aims to develop a system of indicators for disclosure of capital types in integrated reporting of electricity generating companies, as well as recommendations aimed at implementing the fundamental concepts and guiding principles of integrated reporting. Methods. For the study, we used the methods of analysis and synthesis, comparison, generalization, and abstraction. As a case study, we conduct a comparative analysis of the disclosure of six types of capital by the largest electricity generating companies, namely PAO Inter RAO, AO Rosenergoatom and PAO RusHydro. Results. The article formulates proposals for disclosure of capital information to address such a lack of accountability as a contradiction to the principle of coherence. It proposes a system of indicators (core and additional) for disclosure of six types of capital by electricity generating companies. Conclusions. A significant reporting problem is the lack of correlation between key strategic objectives and capital changes. The formulated recommendations for disclosure of capital information can help solve this problem, and increase the attractiveness of the integrated report for capital providers.



2020 ◽  
Vol 1 (11) ◽  
pp. 12-22
Author(s):  
E. V. KARANINA ◽  
◽  
M. A. BORTNIKOV ◽  

The digital economy implies a structural transformation in many industries, including the energy sector, without taking into account the state specifics of the industry, for which full-fledged digitalization can be harmful. The aim of the study is to develop a methodology and determine the readiness of countries for digitalization in the electric power industry, taking into account all the main industry groups of factors. The paper analyzes the concept of “energy transition” and defines the indices that are applied to assess this transition at the global level. A system of indices is proposed to determine the degree of readiness for a digital transition in the electric power industry as one of the components of the “energy transition” and the most possible scenario for the transformation of this industry in Russia. The analysis of key areas of digital energy development is presented. The degree of readiness of the leading 100 countries in terms of GDP for digitalization in the electric power industry according to the proposed methodology has been calculated, and the further direction of basic research in this direction has been indicated. Conclusions have been drawn on the appropriateness of developing state programs and the main directions to which DM decision should be drawn with due desire to digitize the industry have been highlighted.



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