By Felipe Corral Montoya, Chiara Lo Prete, Juan Rosellón and Paola Yanguas Parra

Introduction

Latin America is endowed…

The authors use household-level data and hourly industry data from Mexico to show how more efficient pricing mechanisms, combined with well-designed environmental regulations, can significantly improve economic, social and environmental outcomes.

The authors assess the impact of Mexico's 2014 energy reform on consumer welfare.

Mexico’s plan to implement a large-scale residential distributed photovoltaic generation program would bring more economic and environmental gains than losses, the authors conclude in this study of Mexico’s electricity sector. IAEE Energy Forum: http://bit.ly/2GoTxK5

This paper proposes a new regulatory incentive mechanism to induce efficient investment in electricity transmission networks. Energy Economics: http://bit.ly/2PeCEpu

A series of converging trends provided political cover for reforms of long-standing energy subsidies launched by oil-exporting states in the Middle East and North Africa, but the new policies appear to be designed to update — rather than jettison — rent-based autocratic governance.

This paper assesses the current operational conditions of the Mexican residential electricity sector and examines the potential effects that the massive adoption of distributed photovoltaic power generation (DPV) systems would have on household expenditure and welfare, subsidy reduction, pollution and water resource usage.

The authors calculate nodal prices for Mexico's power system and analyze how the allocation of financial transmission rights can be used to mitigate resulting effects on electricity distribution. The Energy Journal: http://bit.ly/2UKrw9R

Jim Krane, fellow in energy studies, examines how reforms to subsidy programs and increases in gas and electricity prices could lower energy use in the GCC.

Rising populations and growing wealth have coupled with low domestic prices to propel huge increases in energy consumption within the six Gulf Cooperation Council countries, Saudi Arabia, the United Arab Emirates, Kuwait, Qatar, Oman and Bahrain. The trend of large and continuing increases in demand threatens assumptions about the sustainability of the region’s oil exports Politically difficult reforms that moderate consumption can extend the longevity of exports, and perhaps, the regimes themselves.