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Academic Journal
Business Law

“A business model for success: Enterprises serving the base of the pyramid with off-grid solar lighting”

Basic electric service is essential to sustainable development, yet for remote rural areas, connecting to an electric grid can be economically and geographically unfeasible. Firms have sought to bring basic electric service to isolated and impoverished rural areas using off-grid solar lights and solar home systems, but often meet challenges common to base of the pyramid (BOP) markets. This article examines the intersection of theories related to successful business models for enterprises serving the base of the pyramid and studies of off-grid renewable energy enterprises. It identifies relevant and overlapping themes, and creates a framework for a successful business model that includes four primary components: community interaction; partnerships; local capacity building; and addressing barriers unique to the off-grid market, including financing, education, and development of distribution networks.
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Academic Journal
Business Law

“A Response to the IPCC Fifth Assessment”

In this article, the authors respond to various sections of the Intergovernmental Panel on Climate Change's Fifth Assessment.
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Academic Journal
Business Law

“Antitrust and Socially Responsible Collaboration: A Chilling Combination?”

Businesses are increasingly using collaboration to address concerns about sustainability, transparency, human rights, and labor conditions in global markets. Such collaborations include the development of certifications and standards, the sharing of information about factories and suppliers, and agreements to share facilities, like less than full delivery trucks. Yet at the same time, federal antitrust policies broadly prohibit agreements that restrain trade or commerce, creating the potential for innovative collaborations to result in legal prosecution. This article applies antitrust law to socially responsible and sustainable business collaboration in an effort to determine whether antitrust law chills potentially beneficial agreements. The article concludes that careful structuring of agreements can avoid many antitrust violations, but also finds that certain types of agreements, including those that could have the most impact on scarce resources and vulnerable commodity producers, are forbidden. Accordingly, this article argues that per se rules forbidding certain practices, including price fixing and resource sharing, be reconsidered in light of current economic and environmental conditions. It also questions certain assumptions about the benefits of competition in light of current environmental, human rights, and sustainability challenges.
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Academic Journal
Business Law

“Applying Stakeholder Theory to Utility Regulation”

Many in the energy sector are calling for a transformation of the traditional utility model. However, proposals for “Utility 2.0” typically maintain the bilateral, adversarial relationship between the utility and its regulator. This article posits that one of the key flaws in the U.S. utility regulatory system is this myopic decision-making process, which limits the potential for consideration of stakeholder interests and more comprehensive systems thinking. While expanding the interests considered by utilities and regulators will not solve other problems embedded in traditional utility regulation, a broadening of the consideration of stakeholder interests will almost certainly allow for more comprehensive long-term planning, greater attention to environmental and other stakeholder concerns, and the potential for transformational policy choices. The article therefore offers a new governance structure that would bring stakeholder interests to the regulatory table and allow utilities and regulators to include these interests in key decision-making contexts.
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Conference
Business Law

“Creating a Twenty-First Century Public Utility Commission”

Climate change and efforts to address it have put the electric utility system is under increasing pressure. New policy activities include efforts to increase the penetration of renewable resources, update aging transmission and distribution system infrastructure and transition to a more distributed generation model. Key to the success of these initiatives will be the support of public utility commissions—the state agencies that oversee retail electric utilities. In an effort to determine how these commissions will make decisions, this article explores the history, enabling legislation, and jurisdiction of commissions. It concludes that the authority and purpose of commissions has been narrowly interpreted to focus almost exclusively on short-term rate impacts to utility customers. As a result, efforts to reduce greenhouse gas emissions, modernize or transform the grid, or expand the path for new technologies such as electric vehicles, will not come from commissions, and in fact may be blocked by the same. Accordingly, the article offers options for modernization, ultimately recommending a melding of economic and environmental goals through a long-term planning process that balances cost and risk, yet remains squarely within the jurisdiction and historical purpose of the regulatory commission.
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Academic Journal
Business Law

“"Dancing Backward in High Heels": Examining and Addressing the Disparate Treatment of Energy Efficiency and Renewable Resources”

Both energy efficiency and renewable resources offer significant benefits to utilities, their customers, and society as a whole. Yet energy efficiency programs face formidable barriers to adoption that renewable resources do not. While both renewable and efficiency resources have received significant funding in recent years, government support for renewables continues to dwarf that for efficiency measures, and regulatory policies consistently discourage utilities from investing in efficiency measures even while they incentivize investment in renewables. This Article examines the parallel development of renewable resource and energy efficiency programs within utilities, compares the differing treatment of each, and offers concrete recommendations for enhancing energy efficiency adoption by modifying existing policies to more closely resemble those applied to renewable resources. The Article concludes that the historic disincentives to implementing efficiency policies can be remedied by: 1) updating ratemaking structures to ensure utilities can recover and earn on efficiency investments; 2) streamlining cost effectiveness tests that presently encourage utilities to underestimate and under-invest in efficiency programs; and 3) addressing market barriers by strengthening consumer incentives and market transformation efforts.
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