2006: New Challenges and Opportunities in the Brazilian Electric Energy Arena Part 4

Dear Professor Banks and Rafael,

Please add the following comment to my earlier article and comments dispersed on EnergyPulse on my vision to the End-State of the electricity business, leading to high economic efficiency.

A true deregulation must aim to maximize the total value added of the electricity infrastructure to the market economy. To do that it is necessary to develop an efficient rationing system. Energy efficiency and demand response technology under an Automated Metering Infrastructure are the means to such rationing system.

In addition, retail marketing is the means to segment customers by the value added of electricity, thru business model innovation. By doing so the electricity business is to be shifted from a No Profit Zone to the Profit Zone. As an extension to the idea of going from a Nation State to Market State (with free trade agreements with USA and EU), I believe that the Dominican Republic has the opportunity to become a White Hole in the sense of the "long boom" envisioned by Schwartz et al, as follows:

The electric power sector of the Dominican Republic is under a black hole, that has sucked back the capitalization funds, just as quickly as they came in, collapsing the companies, the industry and pulling down of the country with them. What we need is to commit actions to the white hole of true deregulation under the information society, for fresh capital to collect around the companies and the industry, and the country would suddenly become attractive to the global investment herd, and huge amounts of capital would move toward us.

2006: New Challenges and Opportunities in the Brazilian Electric Energy Arena Part 3