Power Struggle
Why Rolling Blackouts Continue
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Power sector reforms in many developing countries globally have resulted in what this book defines as a hybrid market in electricity generation, where state-owned utilities and Independent Power Producers operate side by side with virtually no competition between generators in real time - in contrast to what was espoused by the standard model of power sector reform. Power sector reforms were originally aimed at ensuring that power sectors remained sustainable, by attracting private investment in electricity generation. In many developing countries, however, outcomes have been poor. Many countr...
Power sector reforms in many developing countries globally have resulted in what this book defines as a hybrid market in electricity generation, where state-owned utilities and Independent Power Producers operate side by side with virtually no competition between generators in real time - in contrast to what was espoused by the standard model of power sector reform. Power sector reforms were originally aimed at ensuring that power sectors remained sustainable, by attracting private investment in electricity generation. In many developing countries, however, outcomes have been poor. Many countries experience electricity generation shortages due to inadequate investment, which, in turn, leads to power shortages. This book is for everyone seeking a deeper understanding of the problems of insufficient electricity generation. It unpacks the key issues associated with reforming power sectors and is an essential read for those working in power sectors characterised by insufficient or reduced generation capacity. Hastened and stalled efforts aimed at decarbonisation often contribute to the problem of insufficient generation when electricity generation planning frameworks fail to adequately acknowledge the risks and opportunities of generation projects. The book reveals the important factors that have contributed to a lack of investment and shortages in generation capacity in hybrid markets, and explores how policy, regulatory, and institutional frameworks have frequently frustrated investment in generation. It investigates how planning and procurement challenges have made it difficult to add sufficient generation capacity in a timely manner, and so, have exacerbated the problem of insufficient generation capacity. The case of failed power sector reforms in South Africa is presented as an example, illustrating the implications for future reform efforts in other developing countries. The book holds many lessons for power sectors in Africa and in developing countries globally, for better managing national energy policy transitions and domestic power sector reforms and avoiding the problem of insufficient electricity generation. The text provides insights on how institutional frameworks could better respond to the electrical generation capacity challenges faced by hybrid electricity generation markets. Lastly, it describes how broader power sector reforms in developing countries could be guided to better reflect the challenges of hybrid markets.
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