jueves, mayo 11, 2006

"A Dominican Strategy" is Featured in The Business Scene Section of the IEEE Power & Energy Magazine

The Institute of Electrical and Electronics Engineer published my article A Dominican Strategy in the May-June issue of Power and Energy Magazine.

This is what the editor Mel Olken said to introduce the article in With Age, Some Wisdom:

In the previous issue of IEEE Power & Energy Magazine, Hyde Merrill articulately broached the subject of electricity supplies in the poorer nations of our world. "The Business Scene" column in this issue continues the discussion on that same subject. The contributor, Dr. José Antonio Vanderhorst-Silverio, is from the Dominican Republic and the subtitle of the column is "Customer-Oriented Risk Management." Dr. Vanderhorst-Silverio describes an electric system that has an excess of supply but because of poor reliability, a very expensive individual cost to allay the inevitable shortages that result. He then makes the case for voluntary demand responsiveness as a possible solution and links the program to the economic benefits that demand response resources (DRR) could produce for the Dominican Republic. It is of interest to note that the Dominican Republic has been invited to participate in an upcoming round of demand responsiveness discussions with nations that include China, India, Kenya, and Thailand—certainly a most diverse gathering.
I take it as a great present for the first anniversary of the BMH blog.

Editorial Periódico Hoy: Reto Permanente

Encontrar solución para el problema del sistema eléctrico de este país es un reto con carácter de permanencia.

No importa lo que digan el FMI, el Banco Mundial o el BID, siempre habrá voluntades obstaculizando las soluciones.

Uno de los más graves obstáculos para el avance de un negocio de venta de algún bien o servicio es la falta de vocación de pago por parte de una proporción muy alta del sector que demanda.

Si a esto se suma el fracaso de un modelo de capitalización de la empresa eléctrica estatal por no haber previsto medios para hacer que la gente pague la energía, veremos que habrá reto por mucho tiempo.

Nuestros problemas no son de capacidad de generación instalada. En términos nominales se sobrepasa con mucho la demanda, y en términos netos también.

Lo que ha sumido en un permanente déficit al sector eléctrico es la falta de pago para cubrir los costos de la capacidad instalada.

El precio del kilovatio hora en nuestro país es abusivo, porque, entre otras cosas, para poder cubrir parte de los costos del sector se recurre a la práctica cuasi delictiva de hacer que los clientes solventes paguen el consumo de los morosos y tramposos.

Es un "remedio" que ha hecho mutar de solvente a moroso a mucha gente que era puntual en sus pagos de la energía utilizada. Por eso el déficit del sector eléctrico está en constante crecimiento.

No se entiende cómo un servicio estratégico como el suministro de energía eléctrica, que mueve el motor de la economía en todos los sentidos, puede llegar a estos niveles de calamidad.

Hay fallas de origen en el modelo de capitalización y lograr resolverlas será siempre un reto permanente, a menos que el Estado cuelgue la túnica política con que se ha estado presentando ante el problema.

Clarifications About the Electricity WPC the Market Winner

1. Please Blame the Deregulation and Regulation Fiascos Parte 28
10 May 2006
Dick, I will add that States that deregulated on Hogan's model might have created large unnecesary inefficiencies that States that have no deregulated can avoid. Also, central to the Electricity WPC restructuring is that selecting one ...

2. Please Blame the Deregulation and Regulation Fiascos Parte 27
10 May 2006
Dick, I agree that Banks' mental model is cost of service regulation. Schweppe's mental model is best explained by the post Some Friendly Comments on True Electric Deregulation Part 4 on the GMH blog (the original comment is under the ...

3. Please Blame the Deregulation and Regulation Fiascos Parte 26
10 May 2006
Dick, The most important elements of Schweppe's unextended mental model are the demand response element and the tight nature of T&D. That is a prerequisite that was bypass by Hogan's missunderstanding of the energy marketplace and the ...

4. Please Blame the Deregulation and Regulation Fiascos Parte 25
10 May 2006
Dick Maclay asked for clarifications on the mental models:. Jose Antonio, I would just like to confirm the differences among your mental models, if you would be so kind. This is my understanding of the essence of the models: ...

5. Please Blame the Deregulation and Regulation Fiascos Parte 24
10 May 2006
Thanks Len. The road to Electricity WPC requires many hurdles to be passed. Metering is just one of the components. A demand response system is another. Still Customer Information System an additional one. On the wires side, ...

6. Please Blame the Deregulation and Regulation Fiascos Parte 23
10 May 2006
Len Gould says: I agree with Mr. Vanderhorst-Silverio that advanced metering can provide a true market in electricity if combined with open access for all to an electronic central market of offers from generators, and provided all ...

7. Please Blame the Deregulation and Regulation Fiascos Parte 22
10 May 2006
Yes Steve, Retail competition under Electricity WPC is a viable business. The metering infrastructure leading to demand response will pay for itself just on the other operational benefits. Bringing together sellers and buyers is the job ...

8. Please Blame the Deregulation and Regulation Fiascos Parte 21
10 May 2006
Steve Rozenman questions whether retail is viable:. Jose Antonio This has been a long discussion with excellent feedback from everyone. But no one questioned the fundamental premise, upon which the entire deregulation rests namely, ...

9. Please Blame the Deregulation and Regulation Fiascos Parte 20
10 May 2006
I said I didn't want to fight with Prof. Banks. This is what he wrote when he flew out the dialogue:. Dick Maclay tells us that the deregulation fiasco in California was caused by the weather. Some people ascribe General Custer's ...

10. Electricidad SCP y la Estratregia de Competitividad
8 May 2006
Las exportaciones al mercado americano pueden aprovecharse de una electricidad, que si bien no sea de precios aparentemente bajos, apoye la estrategia de competitividad basada en la agilidad y la cercanía. ...