University of Khartoum

A Proposal For Competitive Electricity Industry In Sudan: Drawing Upon International Electricity Restructuring Experi Ences And Trends

A Proposal For Competitive Electricity Industry In Sudan: Drawing Upon International Electricity Restructuring Experi Ences And Trends

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Title: A Proposal For Competitive Electricity Industry In Sudan: Drawing Upon International Electricity Restructuring Experi Ences And Trends
Author: Sid-Ahmed Mannan, Mohamed; Ali Karrar, Abdelrahman; Hamouda, El-Amin
Abstract: Electricity industry was considered a textbook natu ral monopoly. Accordingly, governments are the best able to manage the large amounts of ca pital necessary to develop the sector and bear the long time costs recovery. This dogma has b een in doubt in early 1990’s and evolution of electricity industry reforms around the world st arted. The development of an electricity reform strategy based on the market economy that in troduces competition is of importance for providing a stable and favorable environment fo r investments and service quality. Drawing from international experience, this paper p rovides a framework and options for electricity industry reform in Sudan. This includes setting policies, strategies and objectives which are in line with the country’s economic refor m policies. Considering the particularity of electricity industry, current market situation and existing institutions, a plan for reform steps is proposed to provide an environment for better pe rformance of the sector through gradual implementation of competition. Two main steps are proposed for electricity reform in Sudan. The first is to implement a Single Buyer market mod el to introduce “competition for the market”, and the second is to introduce a wholesale generation market which is based on Poolco Market Model to introduce “competition in th e market”. Generation wholesale electricity market as expected to be at the proposed time for implementation is simulated to explore how the shap e of the industry will be and more importantly how market price can evolve. In this si mulation, Optimal Power Flow simulation with respect to generation dispatch has been used t o calculate spot market clearing prices at different location in HV electricity of Sudan
URI: http://hdl.handle.net/123456789/6806
Date: 2010-03


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