1 AIT Asian Institute of Technology

Factors in power purchase agreements affecting investment flows in independent power production in the Nepalese environment

AuthorShrestha, Raju B.
Call NumberAIT Diss. no.CM-07-05
Subject(s)Independent power producers--Environmental aspects--Nepal

NoteA dissertation submitted in partial fulfillment of the requirements for the degree of Doctor of Philosophy in Construction Engineering and Infrastructure Management, School of Engineering and Technology
PublisherAsian Institute of Technology
Series StatementDissertation ; no. CM-07-05
AbstractWith the Introduction of Hydropower Development Policy in the early 1990s, combined with the changes in electricity legislation and the opening up of the power industry to the private sector, Independent Power producers (IPPs) have been playing a bigger role in the development of the electricity sector. However, further investment in this sector has been difficult to mobilize, and part of this difficulty can be attributed to the factors in the existing Power Purchase Agreements (PP As) and inconsistencies in the guarantees provided by the state owned utility. The research provides the underlying factors in PP As in hydropower production in the Nepalese environment, which are of most significance to the stakeholders of independent power production. The research is carried out with a triangulation approach taking into account both the qualitative viewpoint, in the form of comparative studies; and quantitative viewpoint, a questionnaire survey, regarding issues of PPAs. From a pool of existing independent power producers, 10 PP As are compared for patterns of specific variables by examining, categorizing and tabulating the underlying factors of PP As. Opinions in the form of a questionnaire are sought from the stakeholders and the means of the ranks tested by Kruskal- Wallis tests to see if the perceptions of the stakeholders differ in the key issues of PP As. Further, Mann-whitney tests are carried out to examine the difference in the perception between the pairs of stakeholders in the key issues of PP As. The research shows that discriminatory clauses and unequal treatment are present in key issues of the agreements. Questionnaire survey of the stakeholder's shows the significant clauses of the PP As and the clauses most likely to be included in PP As by the stakeholders. With the knowledge of the underlying factors in PP As, the research allows the stakeholders of the power production to clearly understand the positions of the parties involved. The parties can combine their shared interests to create a joint value and deal with multiple issues and make trades between them, eventually both the parties getting something that they value
Year2007
Corresponding Series Added EntryAsian Institute of Technology. Dissertation ; no. CM-07-05
TypeDissertation
SchoolSchool of Engineering and Technology (SET)
DepartmentDepartment of Civil and Infrastucture Engineering (DCIE)
Academic Program/FoSConstruction Engineering and Infrastructure Management (CM)
Chairperson(s)Ogunlana, Stephen;
Examination Committee(s)Hadikusumo, B.W.H.;Guenou, Roland Amoussou;Emmanuel, Ndekugri Issaka;
Scholarship Donor(s)Asian Institute of Technology Fellowship;
DegreeThesis (Ph.D.) - Asian Institute of Technology, 2007


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