Monday, August 26, 2019
Discuss Hurricanes Research Paper Example | Topics and Well Written Essays - 1500 words
Discuss Hurricanes - Research Paper Example The paper will also give a recommendation of the possible mitigation measures that can be taken into account in order to address these concerns. Hurricanes are responsible for a myriad of environmental effects in the area that they occur. They can cause cataclysmic impairment to coastlines and numerous hundred miles inland (Hemming & McCallum, 2006). This means that any property or any life that is within that area can be potentially destroyed. A hurricane can yield winds that surpass 155 miles per hour. These are very strong winds that can equally destroy both life and property in the region that the hurricane occurs. They hurricane can also generate storm improvements along the coast and lead to wide-ranging destruction from hefty rainfall (Hanfling, Lawrence & Powell, 2012). This frequently hints to inundations as well as soaring debris which are accountable for more disparaging consequences. The unwarranted flood or rainfall can prompt mudslides or even landslides. Research shows that mudslides and landslides equally contribute to the destruction of property and the loss of lives (Heitmuller & Perez, 2005). It is also po ssible to experience situations of vicious flash flooding. The four significant elements most expected to cause severe environmental effects from a chief hurricane are entrenched tornadoes, dominant winds, hefty rains and a storm increase (Heming & McCallum, 2006). The length of the storm bearing is dependent on how enormous the hurricane is. For example in the case of hurricane Katrina, it is assessed that it was ten meters long (Heitmuller & Perez, 2005). The floods and storm leads to widespread destruction to the property and trees, more especially those which are near the coastal region of the place that the hurricane has taken place. The storm surge is instigated by the onshore blast of the water that comes with the hurricane and is largely due
Sunday, August 25, 2019
Software development practice Research Paper Example | Topics and Well Written Essays - 2000 words
Software development practice - Research Paper Example An estimate of timeline completion of the project XII. Significant risks that may impact the project XIII. Conclusion and justification of the project XIV. References I. Introduction Computer forensics deals with the identification of any legal evidence using the computers, as well as other forms of digital storage devices. After collecting, the evidences are put through a thorough forensics examination to obtain and recover the information the investigators need. The computer forensic investigation chiefly involves the investigation of the computer crimes, the cyber crimes, and also during a court hearing. Subsequently, there is utilization of the later function of computer forensic investigation by the courts of the United States and also of the European Union as evidence of digital crime cases (Volonino & Anzaldua, 2009). II. The Proposed Project of Computer Forensics The proposed project is based on a software program that can easily retrieve any specific data from the hard disk drive of any computer. This is because the hard disk acts as a form of storage device for the computer. Thus, there is storage of most data and also files in this hardware device. Moreover, for any forensic investigator to obtain any sort of digital evidence, they must first look for the details from the computer hard disk. Therefore, the hard disk is one of the chief vital components of the computer because it contains most of the computersââ¬â¢ files, data and also important documents. Consequently, there is a great significant in the development of a software program for easy and quick retrieval of data contained in the hard disk. Moreover this project of computer forensic works in conjunction with the software of data recovery program. The data recovery program works by recovering any form of lost data by the computer (Volonino & Anzaldua, 2009). III. The Objectives and what the Project Intends to Deliver The main reason for the development of this computer forensic project i s to assist in the quick and effective investigation procedures required during a forensic investigation. For instance, the main part of the computer forensic is chiefly the utilization of the computer hard disk to access any information. This is because hard disks are capable of storing large amount of information about anything. Therefore, because the computer hard disk is capable of storing millions of data on anything, it becomes very tedious for the forensic investigator to search for the exact data that is needed for the investigation (Volonino & Anzaldua, 2009). Moreover, this action needs a lot of time and thus consumes time. Therefore, for the investigator to be competent and to easily access all the details from the hard disk, the forensic investigator needs to implement this computer forensic project. Thus, the chief reason for the development of this computer forensic project is to assist the investigators in easing the procedures of the investigation. Therefore, the com puter project is about how the forensic investigator is capable of obtaining and easily retrieves data from any hard disk of a computer system to be utilized in the investigation procedures. The investigator will find this project extremely helpful to him and also to the court when handling any form of forensic cases. Thus the project focuses majorly o the improvement of the hard disk devices. Additionally, this project will focus on the fundamental process of retrieving information from a given hard disk
Saturday, August 24, 2019
Health promotion theroy Coursework Example | Topics and Well Written Essays - 250 words
Health promotion theroy - Coursework Example This theory is normally based on the fact that the readiness of an individual to act depends on his or her own perceptions. These perceptions include severity of the consequences, the potential benefits, and cost of taking that particular action as well as the susceptibility. The main advantage of this theory is that subsequent interventions can be planned and made on the basis of the response of an individual towards these concepts. This theory was purposely developed to respond to the issue of the failure of the free TB health screening plan. This model can be used to look into a number of both short-term and long-term health behaviors which include the transmission of HIV/AIDS and other sexual risk behaviors (Glanz & Lewis, 2002). This theory argues that a person will normally take a health-related act such as using a condom if he feels that HIV can be avoided, expects a positive result by using protection and if he believes that he can effectively take an optional health action. This theory is very useful when planning for the community health program. You will be in a position to predict the proper plan of action to take after taking these studies in the community. However, it is worth noting that the theory does not look into other aspects of the individual such as the environment in which they live (John,
Friday, August 23, 2019
Prison Corruption and Control Essay Example | Topics and Well Written Essays - 500 words
Prison Corruption and Control - Essay Example For corruption to occur, it requires discretionary powers and a lack of accountability (World Bank, 1998). If accountability is present in any shape or form, the likelihood of corruption becomes reduced. In the same manner, a civil society as well as an organisation within that civil society can reduce corruption if it focuses on accountability wherever there are discretionary powers handed over to a given party (Von Muhlenbrock, 1997). For example, prison wardens may have discretionary powers to a large extent in terms of how prisons are supposed to be handled and how they are to be governed. This discretion gives them great power in managing prisons and they are able to maintain control of quite a few situations where not having discretionary powers would lead to inefficiencies in the system. Even a prison guard can be given discretionary powers and such powers are required for him/her to perform his/her duties. At the same time, all individuals working in a prison have to be made accountable for their actions. Situations where it is suspected that discretionary powers were misused, have to be brought to light and if the individual is found guilty of misusing his/her power, appropriate punishments need to be given out to that individual. Unless the process of holding people accountable for their use of power is established, discretionary power would lead to some level of corruption (Von Muhlenbrock, 1997). As long as accountability remains in place, the chances of prisons, societies even business enterprises becoming corrupt remain minimal (SMH, 2006). The issue of accountability is not limited to social bodies such as prisons and hospitals. On a larger scale it also applies to countries and nations who may use their discretionary powers to establish their own controls over a region or over other countries. Even in such cases, if the country can be made accountable for its actions, the chances of misuse of power become minimized.
Thursday, August 22, 2019
Theories of Causal Learning Essay Example for Free
Theories of Causal Learning Essay In the article entitled ââ¬Å"When Learning Order Affects Sensitivity to Base Rates: Challenges for theories of Causal Learningâ⬠written by Ulf-Dietrich Reips and Michael R. Waldmann, theories causal learning was put to test, more specifically the causal-model theory and the associative theories. With this, the causal-model theory ââ¬Å"assumes that learners form a representation of causal models regardless of the order in which learning information is presentedâ⬠(Reips and Waldmann, 2006). As with the associative theories, the researchers decided to take on the Rescorla-Wagner theory of associative learning. Associative learning theories tend to place cues and outcomes simply for the predictive and diagnostic learning (Reips and Waldmann, 2006). Predictive learning entailed the prediction of symptoms based on the disease presented to them while diagnostic learning required the prediction of diseases based on the symptoms given to them. Thus, it can be said that predictive learning is the forecasting of the effects based on the causes. On the other hand, diagnostic learning is the determination of the causes based on the effects. These two causal learning methods were placed against the variable of base rates. The researchers did the study because in general, they wanted to find out whether the use of base rates was affected by the learning order, whether it is predictive learning or through diagnostic learning. Moreover, they wanted to test whether the base rates were encoded and if this was put to use. Also, they wanted to find out whether the increasing complexity of the ideas would affect the use of base rates. The researchers conducted studies on students coming from the University of Tà ¼bingen. They were given a list of fictitious diseases and their corresponding symptoms with other diseases given more likelihood than the other/s that were in the form of an inverted M. Three experiments were done which involved almost the same procedures with a little alteration for each experiment. The first experiment was done with the purpose of ââ¬Å"finding out whether learners have the competency or correctly incorporating base-rate information regardless of the sequence of learningâ⬠(Reips and Waldmann, 2006). The purpose of the second experiment was to Results were later on computed using the ANOVA. The number of participants varied for the three experiments but is similar in terms of the school where they came from, which is the previously mentioned University of Tà ¼bingen. For the first experiment, the participants composed of 24 students who were given participation credit or were paid DM 5, where ââ¬Å"half of this group was randomly assigned to either of the two learning conditions, predictive or diagnostic learningâ⬠(Reips and Waldmann, 2006). In the second experiment, there were 32 participants composing mostly of students from the same university who were recruited at the cafeteria. Just the same, each of them was given participation credit or was paid DM 8 for their help with the study. The participants were randomly assigned to either of the two learning conditions. With the third experiment, the participants remained at the number 32 and were randomly assigned to either of the two learning conditions and were also paid DM 10 or were given participation credits for their contribution with the study. The procedure varied from one experiment to another. In the first experiment, the participants were given typed instructions written in the German language. After reading such, they were asked to summarize the instructions and recite them. With an error in the instruction, they were asked to repeat it all over again until they were able to get the instructions right. They were asked to proceed as a ââ¬Å"guest in a special clinic for viro-neuronal tropical diseases for one dayâ⬠(Reips and Waldmann, 2006). Those under the predictive learning conditions will have to predict the symptoms based on the disease given and those under the diagnostic learning conditions will have to identify the disease based on the symptoms given. They were given hypothetical patientsââ¬â¢ record on an index card. The card contains two symptoms on one side and one disease on the other where the predictive learning group saw the disease first before the symptoms and the diagnostic learning group saw the symptoms first. The participants were later asked to rate the likelihood of the occurrence of the disease. In the second experiment, they used the same inverted-M disease but added diseases and symptoms to make them into a total of six diseases and nine symptoms. For this experiment, the researches used the aid of the computer for their learning trials with the use of software called Micro Experimental Laboratory (MLE). They received practically the same instructions but with additional directions on how to use the computer and two new types of questionnaire. The test was self-paced and the experimenter would simply have to press a button to display the items that the participant will have to answer. For the third experiment, the general procedure will be a written general instruction, computer instruction, learning phase with feedback, instruction for the test phase, test phase of diagnostic judgments without feedback, rating questionnaire, and frequency questionnaire. The results of the first experiment were in consistence with the causal-model theory which states that ââ¬Å"learners try to correctly represent causal knowledge regardless of the sequence of the learning inputâ⬠(Reips and Waldmann, 2006). For the second experiment, the results revealed that the ââ¬Å"participants acquired the base rates of the diseases in all conditions but used them differently in probability ratings depending on the learning conditionâ⬠(Reips and Waldmann, 2006). The results affirmed the associative theories but were in contrast with the causal-model theory. The third experiment reaffirmed the results and findings of the first and second experiment. In addition to this, they were able to find out that ââ¬Å"the use of base rates in the implicit measure is clearly less pronounced in the predictive learning condition than in the diagnostic learning conditionâ⬠(Reips and Waldmann, 2006). Moreover, there was a ââ¬Å"pronounced difference in base-rate use after diagnostic but not after predictive learning in the diagnostic ratingsâ⬠(Reips and Waldmann, 2006). A future possible expansion that is adhered to by the researchers is the question on ââ¬Å"whether the competency to acquire flexibly accessible knowledge is based on the learning phase or on the retrieval phaseâ⬠(Reips and Waldmann, 2006). Due to the fact that none of the two learning theories, the causal-model and associative theories, encompass the findings of the experiments, it can be said that there is a need for further research regarding the topic to formulate a theory that would be able to hold true for the findings of this current research (Reips and Waldmann, 2006). This has an impact particularly on the causal-model theory which has been disproved by the second experiment and the third experiment (Reips and Waldmann, 2006). In addition to this, the same model is challenged by the fact that people encode base rates but do not always put them to use (Reips and Waldmann, 2006). Both theories may be applied but they can not totally encompass or they lack certain things that might explain the findings of the last two experiments to be able to fully contain them (Reips and Waldmann, 2006). The findings of the research is of great importance and use to the field of education. More specifically, it is helpful in determining the ââ¬Å"suitable learning and training contexts in educationâ⬠(Reips and Waldmann, 2006). Moreover, the information gathered from this research will be of great use to the field of medical sciences since the presentation of information with regard to causes may present deficiencies when this is used (Reips and Waldmann, 2006). The findings of this study will have to enhance the over-all learning process and theories that are in current use. References Reips, U. and Waldmann, M. 2006. When Learning Order Affects Sensitivity to Base Rates: Challenges for Theories of Causal Learning. 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Coffee and Starbucks Essay Example for Free
Coffee and Starbucks Essay Starbucks has been the most successful coffee chain using their aggressive expansion strategies to surpass its competitors. Through its expansion, Starbucks has focused on creating a dense network of stores all around US, while also opening up new locations all around the world. However, Starbucksââ¬â¢ aggressive expansion strategies have posed major threats to its financial health such as tight cashflows, increase debts, poor liquidity ratios and etc. In addition, this approach can exacerbate competition among close Starbucks stores. Due to the aggressive expansion, Starbucks has lost its internal focus in its core business coffee and its unique ââ¬Å"Starbucks Experience ââ¬â third placeâ⬠. The issues are how Starbucks can stay profitable in the future and at the same time sustain its dominant position in the gourmet coffee industry. We have examined the industry analysis that focuses on the industry trends, the firm competitive environment and followed by a SWOT analysis on Starbucks. Finally, we look at the company strategy analysis that focuses on the Starbucksââ¬â¢ strategic intent and its strategic position. From these analyses, we recommend a few options where Starbucks should pursue moving forward in order to avoid further decline and sustain its dominant position. .:Company Background History:. Starbucks Coffee, Tea and Spice was established in 1971 by Jerry Baldwin, Zey Siegel and Gordon Bowker in Seattle to sell roasted coffee beans and coffee machines. (See Exhibit 1 for timeline) At that time, the foundersââ¬â¢ philosophy was to provide high quality coffee and educate the public the art of appreciating fine coffee. It was the foundersââ¬â¢ passion and strong commitment on educating the public that attracted Howard Schultz to join Starbucks in 1982 as the head of the marketing department, overseeing the companyââ¬â¢s retail stores. On one of his business trips to Milan, Italy, Schultz stumbled upon an opportunity to revamp Starbucks and shift its focus from its original business activities. Schultzââ¬â¢s new business proposition for Starbucks was to serve freshly brewed coffee at their outlets which he sold to the founders without success. After many unsuccessful attempts, he left the Company. In 1987, Schultz acquired Starbucks from the founders and changed its name to the more abbreviated ââ¬ËStarbucksââ¬â¢ and modified her logo to what we see today. After the acquisition, he introduced the idea of ââ¬ËThe Starbucks experienceââ¬â¢ to all Starbucksââ¬â¢ outlets; that is to create a comfortable atmosphere for patrons to relax. From then on, every Starbucks outlet was the perfect duplicate of this concept. In 1992, Starbucks had launched an IPO and its common stock was being traded on the Nasdaq. In 1995, Starbucks venture overseas and formed a joint venture with SAZABY Inc to open Starbucks stores in Japan. In 1996, Starbucks first oversea outlet was opened in Tokyo. Today, Starbucks has a total of 7,087 Company operated stores and 4,081 License stores in US. Additionally, it has 1,796 Company operated stores and 2,792 Joint Venture and License store operating in other 43 countries. .:Definition of the Industry, Competitors and Scope of Analysis: Generally, Starbucks is in the Food and Beverages industry. However for the purpose of this paper, we would define Starbucks to be in the gourmet coffee industry with the following competitors : â⬠¢Coffee Bean and Tea Leaf; â⬠¢Costa Coffee; â⬠¢Caribou Coffee (See Exhibit 2 for a brief write up on reasons for the choice of these competitors and some background information of them) For the purpose of this paper, our analysis will be focusing on Starbucks in US and Australia. The next section provides an overview of the gourmet coffee industry and the competitive environment in US and Australia. .:Overview of the Industry:. .:Political Forces:. Generally both the US and the Australia political situation appeared to be well established and stable. This will provide a good platform for both current businesses and new businesses to operate in. In US, despite the current verge of recession, the political mood is still likely to favour increased regulation of businesses. In addition, even though international tensions are likely to remain but their impact on political stability and economy will remain minimal. Similarly in Australia, the political climate is likely to remain relatively stable. Although the relationship between the federal government and the states had been rocky in the past; it has improved after the introduction of a more stable formula for revenue distribution. .:Economical Forces:. US: Real economic growth is expected to slow from an estimated 4% in 2008 to 3. 8% in 2009. The modest slowdown reflects the impact of lower demand from its trading partner. As these exists imbalances in the economy and the poor short-term outlook for growth, it is assumed that conditions in the US are now recessionary and that growth will remain very weak in 2009. This will in turn affect the GDP and the disposable income of its residents. Australia: Traditionally, rapid growth in Australia has been slowdown recently due to recession. Improved monetary and fiscal management have reduced macroeconomic volatility, but risks and imbalances are present. The low domestic savings rate renders the banking system dependant on foreign financing. The current account deficit is large, and international financial markets may start to worry about the underlying causes. Bubble conditions also seem to exist in the housing market. .:Socio-cultural Forces: Consumersââ¬â¢ Perceptions and Disposable Income:. US: There had been an increase in coffee consumption in the US market though the rate had slowed down in 2005 posing threats to coffee retailers. Recently, US consumers had increasingly opt for healthier hot drinks such as tea and RTD beverages which affect coffee consumption rate. The trend is likely to continue, leading to decline in coffee consumption. Australia: Coffee sales had experienced quite lukewarm growth from 2000 to 2005. The culture of cafe had caused more people to opt for on-trade sales coffee at the cafe instead of home-brewed coffee. According to BIS Shrapnel, people increasingly tend to go to cafes for their coffee and there is an increase of 50% within 2 years in coffee consumption. .:Technological Forces: Technological Developments:. Technological changes have created many new products and processes. It helps to reduce costs, improve quality and lead to innovations which in turn benefits consumers as well as organizations. Many organizations in the gourmet coffee industry had recognized the importance of providing wireless internet access and Wi-Fi hotspots to its patrons. These technology advances had created a leisure place for patrons to surf net or hang out after home and work. Most of the organizations had also introduced automated coffee machines to speed up the brewing process so as to shorten waiting time. To further improve business operations and efficiency, some organizations have also make use of information technology systems to help them run their businesses more smoothly. .:Environmental Forces:. With major climate changes occurring due to global warming, many organizations in the gourmet coffee industry had increased their environment awareness by reduced the usage of disposable cups to serve coffee and increased the use of ceramic mugs. Furthermore, the organizations had also reduced the size of their paper napkins, paper bags and in store garbage bags. The organizations were also encouraged to purchase Fairtrade certified coffees so as to promote responsible environmental and economic efforts. The following section presents our analysis of gourmet coffee industry with the aid of Michael Porters 5 Forces model. .: Analysis of Gourmet Coffee Industry- Porter 5 Forces:. Please refer to exhibit 3 for the criteria used for the scoring of each forces and an analysis of each forces. Force #1: Threat of New Entry:. â⬠¢Threat of new entry is high. â⬠¢High start up cost involved in purchasing equipments, sourcing for coffee beans and training barista. â⬠¢Strong brand identity leading to high switching cost for consumers Score: 10 Force #2: Threat of Substitutes:. â⬠¢Substitutes are gourmet coffee of a different brand â⬠¢Current gourmet coffee industries is saturated â⬠¢High switching cost. â⬠¢Threat of substitutes considered to be relatively high Score: 6 Force #3: Bargaining Power of Suppliers:. â⬠¢Majority of commercially available coffee beans come from a few industrializes countries. â⬠¢Increase the cost of coffee houses in sourcing and gaining access to these high quality coffee beans. â⬠¢Bargaining power of suppliers is relatively high Score: 5 Force #4: Bargaining Power of Consumersâ⬠¢Bargaining power of customers is relatively neutral. â⬠¢Current player gained brand loyalty â⬠¢Product differentiation helps to retain current customer and attract new customers. â⬠¢However price sensitive customers might seek for cheaper alternative. Score: 0 Force #5: Rivalry between Competitors:. â⬠¢Intensity of rivalry is moderate. â⬠¢Brand identity and high switching cost is relatively unfavorable to new player that has just entered the market. Score: 3 Conclusion:From the above analysis, we noted that the threat of new entry, the bargaining power of the supplier and threat of substitutes are relatively high. On the other hand the bargaining power of the consumers is neutral and the intensity of rivalry is moderate. Hence from the above.
Wednesday, August 21, 2019
Electricity Reforms in Bosnia and Herzegovina
Electricity Reforms in Bosnia and Herzegovina During the conflict between Bosnia and Herzegovina and Serbia, huge number of transmission and distribution network was damaged. This resulted in a minimum electricity supply that was barely maintained. Thanks to a large number of donations, a major reconstruction occurred post-war of most of generation. Electricity as not the only sector affected by the war, coal, engineering and many other have suffered badly in during the 1992-1995 span. This has not been sufficiently monitored by the public sector due to weak and fragmented administrations. This has become a major barrier for the development and enforcement of electricity reforms to improve the overall performance of companies and to create effective markets. Both, the electricity demand and supply has greatly recovered and reached beyond the pre-war levels but the industrial consumption is low and still suffering, concentrated in a few large consumers. The main reason behind the household demand inflation is due to the excess use of electrical heating. Without an industrial recovery or development of new medium-sized, the likely trend in the medium term is for a reduction in household electricity heating consumption (with the expansion of the natural gas network) and a leveling of energy intensity of domestic electricity demand. Prior to electricity reforms, the electricity market in BiH was characterised by disintegration. All the power of the sector was controlled by Governments (Ministry of Foreign Trade and Economic Affairs, Ministry of Energy, Ministry of Industry) This affected and visibly slowed down the process of the reforms having a biggest impact on adopting of uniform laws that were the base for creating key institutions. Because of the unique situation in BiH with three entities, presidents, etc., there are three independent non-profit regulators as well, the state and two entity ones. Each one of them has clearly divided responsibilities which do not interfere in each others work. The commission of State Electricity Regulatory Commission (SERC) consists of three members who manage SERC according to the principle of annual rotation. It consists out of three members, two from the Federation of Bosnia and Herzegovina and the third one from Republika Srpska. While the members from FBiH are proposed by the Parliament of FBiH while the member from RS is proposed by the National Assembly of RS. Currently, the Regulator has 26 employees which include commission members. These two gather money through different ways, while the financing of RERS is provided by the Law on Energy of RS, SERC gathers money from regulatory fees paid by licensed companies. FERK on the other hand operates in the way that it submits the budger proposal to the Parliament of FBiH and then the Parliament itself adopts the budget. FERK is financed by the Law on Energy of FBiH from compensations and taxes of companies. The institutional reform of the electricity power sector BiH has proved to be pretty sucessful and is consistent with good results and continuos improvement. But the electricity sector is still a long way off being stable and in good shape and form. Many deficiencies are still present as for example problems often occur in the distribution of profits and investments or for example a bigger and more serious problem, BiH does not have legislation on the energy efficiency at the state level although that should be obligatory according to Energy Community Treaty and many other signed documents in accordance to the EU legislation. Electricity Regulation and Reforms The power sector reform in BiH officially began with the adoption of the entity laws on electricity, though which a number of important institutions in the energy sector have been made. Bosnia and Herzegovina still relies on several important agreements which are closely related to the reform as they aim to join and keep coming closer to the EU. Due to their ambition to enter the EU as soon as possible, it is obvious that they would have to adapt to the single electricity market of the Union. Three main documents have been signed by the authorities in BiH which have been crucial for its improvement and movement towards the single market in electricity. These are: Energy Community Treaty Treaty establishing the Energy Community of South East Europe Agreement of Stabilisation and Association The first, Energy Community Treaty (ECT), is considered as one of the most important agreements that Bosnia and Herzegovina has ever signed in the energy sector. According to this agreement, the stable regulatory framework, single regulatory space, security of supply, energy efficiency, competition and use of renewable energy should all be visible and present in the energy sector of BiH. Through this agreement, BiH has forced itself to meeting certain obligations and goals which have been agreed upon the ECT. The Energy Community Treaty was also the base for creating the road map for such market openness. It clearly prescribes guidelines and dynamics of key reforms in five key areas. The fact that BiH had only one real customer in Aluminij Mostar until 2012 speaks for itself about the market openness in the electricity sector. But an encouraging fact was that from 2008 all tariff customers, not including households, had the opportunity and freedom to choose their own suppliers and become eligible customers. When comparing BiH to the EU countries, there is an obvious and large distinction in the market openness of the electricity sector. From 2009, almost all EU countries bar a few were fully opened to competition. Two main reasons for low-market openness in BiH: Electricity prices for industrial customers in BiH are the lowest when comparing to EU countries. Electricity prices are equal to the prices at which they are supplied as tariff customers. The Electricity Policy Statement was adopted in 2000. The main reason and objective behind this policy was to establish and achieve in producing a competitive electricity market in Bosnia and Herzegovina which would enable all customers to have a choice between more electricity suppliers. The main goal of this reform plan was ensuring a long-term sustainable and a high-performing sector while introducing EU regulations which would be visible through effective competition. In this effort, the following laws were adopted at the State level: Ãâ Law on transmission, regulator and system operator of electricity (2002); Ãâ Law on establishing the Transmission Company, Elektroprenos BIH (2004); and Ãâ Law on establishing Independent System Operator, NOS BIH (2004) At the entity level, two separate laws on electricity generation and distribution were adopted by FBiH (2002, 2005) and RS (2002, 2003). DERK, as the State regulator, is responsible for electricity transmission while FERC and REERS, the entity regulators, cover generation and distribution in FBiH and RS, respectively. Further to the unbundling of the transmission grid, the restructuring of the vertically integrated state-owned electricity companies has been based on the ââ¬Å"Harmonised Action Plans for the Restructuring of the power sectorâ⬠adopted in 2003 in Republika Srpska and in 2005 in FBiH. The main stages of this Plan included the reallocation of assets into a joint stock company, the commercialisation and the unbundling of generation and distribution by 2008. While the state-owned electricity companies have been transformed into joint-stock companies (JSC), to date the other stages of the Plan have not been achieved, in particular the creation of a distribution system operator (DSO), a requirement of the Energy Community Treaty. On a positive note, corporate performance, in particular accounting transparency, has progressed. As of 2008, the opening of electricity markets in Bosnia and Herzegovina to domestic and foreign competition has focused on setting eligibility consumption thresholds and connecting directly to the network, as well as third party access to the transmission network as described by DERKââ¬â¢s ââ¬Å"Rule on third party accessâ⬠(2006). Third party access to 6 distribution networks is monitored by the entity regulators. To date, however, no supplier switch has been reported. Significant progress has been achieved at the national level in adopting a single regulation for transmission and merging national transmission ownership and operation under one regulator. As recently established bodies, the TSO and ISO need to strengthen their capacity and power. However, regulation and oversight for generation and distribution remains separated at the entity level. Furthermore, three (four with Bckro) separate companies operate a very fragmented distribution network over the territory (see map above), raising operational, efficiency and economic issues. The unbundling of these services has not advanced significantly, raising concerns about effective third party access to the respective distribution networks. While regulators set tariffs and prices, most of expenses for an adequate maintenance and replacement of facilities as well as for non-wage obligations (pensions) are not covered. The price structure still subsidises households and large industries (e.g. aluminium). There is a clear need to analyse the costs and benefits of this indirect support system and, if justified, to set up a transparent direct subsidy scheme. Although the TSO is responsible for the countryââ¬â¢s transmission development plan and the ISO prepares an indicative generation development plan based on elements provided by the entity administrations and companies, the coordination and coherence of the system is inadequate and ineffective. For instance, the announced investment projects which would see a tripling of domestic installed capacity, with a focus on export markets, is not feasible within the context of the current grid and interconnection capacities. This will require major investments in the transmission network, extremely difficult to finance under the current tariff structure. These projects need to be assessed under a consolidated least cost plan with a more detailed analysis of domestic and export markets, in a context of high volatility. Also in the context of fragmented and weak regulation and administration, major investments by powerful foreign investors could lead to imbalances in the investment and operat ional oversight process and to a strong dependency. The recent decisions (2007) by entities to award concessions without open and transparent tenders to private investors have raised concerns over transparency and the effectiveness of economic benefits at the local and national level. This risks fragmenting the sector still further. At the 4th World Bank Poverty Reduction Strategies Forum it was ââ¬Å"recommended urgent[ly] to develop, adopt and enforce a state-wide, uniform and transparent procedure for the construction of new generation plants in compliance with EU regulationâ⬠. A national least-cost electricity supply plan should provide a ranking of the most viable rehabilitation and construction projects and be coordinated with generation and transmission planning of the grid operators. The electricity sector in Bosnia and Herzegovina still faces the challenge of completing its rehabilitation, diversifying the power generation mix and complying with EU environmental standards, in particular the Large Combustion Plants (LCP) Directive. It also needs to improve overall technical and managerial performance, diversify the power mix notably with CHP, small hydropower and biomass in order to compete on export markets and prepare for effective domestic and regional market opening. At the company level, this will require sustained effort to reach EU corporate governance standards. At the ministry and regulator level, there is a clear need to strengthen ownership rights and oversight over the sector as well as to consolidate and coordinate the state and entity levels. The administration in Bosnia and Herzegovina needs to develop an overall, coordinated and coherent national policy and action plan backed by economic tools, in particular independent least cost plans and demand projections. An integrated supply and demand least cost plan would help prioritise refurbishment projects and reduce grid losses. In this respect, the World Bankââ¬â¢s energy study should provide crucial elements and tools to be further developed and used by the administration in coordination with electricity companies. Persistent fragmentation of the electricity sector structure and regulation is not sustainable in the longer term and will risk the sectorââ¬â¢s marginalisation in the region. Key issues: Infrastructure rehabilitation, grid losses, non-cost reflective prices, system and regulation fragmentation These reforms had the aim and strived for the electricity sector to: Perform more efficiently, both technically and commercially; Enables efficient and effective competition (most important); Meet international standards in terms of cost effectiveness, quality of service, security of the system and the environment; Allows companies to recover their full costs including a reasonable return on investment; Has a universal service obligation; Attracts private capital to the sector; -Complies with EU rules for the internal electricity market in the medium term. Regulation of network prices All consumers in BiH with the exception of Aluminij-Mostar are captive consumers of their local utilities and have no freedom of choice when it comes to their suppliers. There are also no cases of contracting the supply outside local utility borders and the problem with importing electricity in BiH is that All consumers in Bosnia and Herzegovina except Aluminijââ¬âMostar (8% of Bosnia and Herzegovinaââ¬â¢s consumption in 2013) are captive customers of their local incumbent utilities. There are no cases of contracting the supply outside the local utility borders. The incumbent local suppliers were appointed as ââ¬Å"reserve suppliersâ⬠in the transitional period before 2015 and ââ¬Å"suppliers of last resortâ⬠by the regulatory authorities in all jurisdictions, and are likely to delay market opening in the future. Wholesale market opening suffers from the absence of liquid trading platforms. Trading takes place through bilateral transfers between dominant utilities and registered traders, including exports and transits. In terms of price regulation, the Law on Electricity in the Federation of Bosnia and Herzegovina allows for access to regulated supply for all eligible customers, including large ones and without limitations. This violates Article 3 of Directive 2003/5 4/EC. Even worse, the price of generation for the supply of customers supplied at regulated prices (i.e. the wholesale price) is also regulated. The Law on Electricity in Republika Srpska makes electricity supply at regulated prices by subsidiaries of EP RS available to all customers. This exceeds what is allowed under Article 3 of the Directive. The Law similarly supports price regulation for production by EP RS sold to local utilities and Komunalno Brcko. The Electricity Law in Brcko District also misinterprets the concept of public service in providing regulated supply of all captive customers. This prevents supplier switching in practice. All three regulatory authorities have adopted rules for supplier switching and price methodologies for supply services available to eligible customers in the transition period before 1 January 2015, and to households and small customers as last resort supply. As the electricity market is very specific and almost unique, the market must be regulated in order for the network fees to be reasonable. The reason behind this is that the competition in this market in BiH is almost non-existent what then creates monopolistic tendencies by the authorities in BiH. For instance, FERK and RERS are entity regulators which adopted and developed separated Rules of Tariff Methodology and Tariff Proceeding regarding the distribution tariffs. In the other hand meanwhile, SERC is occupied with approving prices for transmission network that are the same for all participants in BiH. Quality regulation One of the most important parts of the electricity market which needs to be regulated and closely observed is most definitely the quality in the electricity supply. It is perhaps the most essential indicator of successful business of electric power companies. It is crucial for the customers to have a freedom of choice when it comes to the selection of the electricity suppliers, and as the competitiveness increases, so does the quality and service in the electricity market. If companies do not proceed to adapt and improve in order to be competitive in the market, they will soon lose out all their customers and the funds which are necessary in order for their company to operate and exist on the market. Competition As mentioned previously, the competition is the healthiest way to improve and motivate companies to continue improving their supply, quality, decrease costs and many other factors which would satisfy the customers further more and be positive for the country in the long run. Also, EU regulations emphasizes competitiveness as a step forward to meeting their standards and achieving one goal more towards entering the EU market. Recommendations: Reorganize and reinforce the way in which the regulators operate. Emphasizing the unity of the three regulators into one single structure with more entity branches and dividing the power and duties by those branches; Unify regulation for generation and distribution in line with EU requirements, ensure cost-reflective tariffs and reduce cross-subsidies; if justified, set up a transparent direct subsidy scheme for large industries; Proceed with improving the restructuring of electricity companies towards European standards Adopt a national least-cost supply plan, generation planning and demand forecast under the supervision of the national regulator and ISO. Sources: http://www.unece.org/fileadmin/DAM/env/epr/experts/BosniaAndHerzegovina/UNDP/UNDP_Bosnia.pdf Sustainable Development of Energy, Water and Environment Systems, Volume 1 edited by N.H. Afgan, R. Della Morte https://www.energy-community.org/portal/page/portal/ENC_HOME/AREAS_OF_WORK/Implementation/Bosnia_Herzegovina/Electricity http://www.unece.org/fileadmin/DAM/env/epr/experts/BosniaAndHerzegovina/UNDP/UNDP_Bosnia.pdf http://fipa.gov.ba/doc/brosure/Energy%20sector.pdf http://www.elektroprivreda.ba/eng/page/general-information
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