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Electricity cooperation in South Asia: Barriers to cross-border trade

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  • Singh, Anoop
  • Jamasb, Tooraj
  • Nepal, Rabindra
  • Toman, Michael

Abstract

The South Asia Region (SAR) continues to face electricity shortages, underinvestment and challenges to improve energy access. Strengthening cooperation for cross-border electricity trade in South Asia makes it possible for the region to take advantage of significant benefits from greater regional coordination in capacity investments. Trade can complement domestic investment to increase the availability and reliability of supply, bringing economies of scale in investments and more cost-effective expansion of renewable electricity. Efforts to expand cross-border electricity cooperation and trade in SAR need to address not only regional barriers, but also barriers stemming from domestic electricity sector policies in the region. Expanding the scope of bilateral electricity cooperation in the short- and medium-term, and especially opening up to commercial as well as government-to-government projects, can build confidence in the process of cross-border trade and the potential benefits it can provide. The longer-term desirable goal is emergence of a well-functioning regional market for electricity, supported by a regional organization or forum for cross-country coordination.

Suggested Citation

  • Singh, Anoop & Jamasb, Tooraj & Nepal, Rabindra & Toman, Michael, 2018. "Electricity cooperation in South Asia: Barriers to cross-border trade," Energy Policy, Elsevier, vol. 120(C), pages 741-748.
  • Handle: RePEc:eee:enepol:v:120:y:2018:i:c:p:741-748
    DOI: 10.1016/j.enpol.2017.12.048
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    References listed on IDEAS

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    Cited by:

    1. Do, Hung & Nepal, Rabindra & Jamasb, Tooraj, 2020. "Electricity Market Integration, Decarbonisation and Security of Supply: Dynamic Volatility Connectedness in the Irish and Great Britain Markets," Working Papers 3-2020, Copenhagen Business School, Department of Economics.
    2. Agostini, Claudio A. & Guzmán, Andrés M. & Nasirov, Shahriyar & Silva, Carlos, 2019. "A surplus based framework for cross-border electricity trade in South America," Energy Policy, Elsevier, vol. 128(C), pages 673-684.
    3. Xuesong Li & Yunlong Ding & Yuxuan Li, 2019. "M-Government Cooperation for Sustainable Development in China: A Transaction Cost and Resource-Based View," Sustainability, MDPI, Open Access Journal, vol. 11(7), pages 1-17, March.
    4. Haque, H.M. Enamul & Dhakal, Shobhakar & Mostafa, S.M.G., 2020. "An assessment of opportunities and challenges for cross-border electricity trade for Bangladesh using SWOT-AHP approach," Energy Policy, Elsevier, vol. 137(C).
    5. Nepal, Rabindra & Paija, Nirash, 2019. "Energy security, electricity, population and economic growth: The case of a developing South Asian resource-rich economy," Energy Policy, Elsevier, vol. 132(C), pages 771-781.
    6. World Bank Group, "undated". "Africa's Pulse, No. 17, April 2018," World Bank Other Operational Studies 29667, The World Bank.
    7. Ahmed, Salik uddin & Ali, Amjad & Kumar, Dileep & Malik, Muhammad Zeeshan & Memon, Abdul Hameed, 2019. "China Pakistan Economic Corridor and Pakistan’s energy security: A meta-analytic review," Energy Policy, Elsevier, vol. 127(C), pages 147-154.
    8. Bhatt, Brijesh & Singh, Anoop, 2020. "Stakeholders’ role in distribution loss reduction technology adoption in the Indian electricity sector: An actor-oriented approach," Energy Policy, Elsevier, vol. 137(C).

    More about this item

    Keywords

    South Asia; Cross-border electricity trade; Power sector reform;

    JEL classification:

    • Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy
    • G18 - Financial Economics - - General Financial Markets - - - Government Policy and Regulation
    • N70 - Economic History - - Economic History: Transport, International and Domestic Trade, Energy, and Other Services - - - General, International, or Comparative
    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations

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