TY - JOUR
T1 - Electricity Industry Strategies in Ecuador and Peru
T2 - Their Impacts on Energy Efficiency and Prices
AU - Cruz, Liliana Del Carmen Suárez Santa
AU - Puican Rodriguez, Victor Hugo
AU - López, Diego Isidro Ferré
AU - Olivera, Juan José Inoñan
N1 - Publisher Copyright:
© 2024, Econjournals. All rights reserved.
PY - 2024/9/7
Y1 - 2024/9/7
N2 - Through an empirical analysis of the impact of determinants on energy efficiency and electricity prices using monthly data, we compare the outcomes of energy strategies in Ecuador and Peru from 2014 to 2023. OLS regression models with Newey-West matrices are applied in two contexts: Energy efficiency and energy prices. Energy efficiency is explained through variables such as the proportion of renewable energies, national income, and the international oil price. The results indicate that in Ecuador, the proportion of renewable energies is positively related to energy efficiency, whereas in Peru, energy efficiency mainly depends on the trend component capturing changes in productivity and the decline in fuel prices. Furthermore, electricity prices are sensitive to fluctuations in oil prices, especially in Peru, due to its dependence on thermoelectric generation. The energy strategies of both countries, including the integration of renewables and the management of fossil fuel costs, play crucial roles in determining energy efficiency and prices. This study provides a comprehensive view of how various economic and structural factors influence the performance of the energy sector in both nations, highlighting the differences in their approaches and outcomes.
AB - Through an empirical analysis of the impact of determinants on energy efficiency and electricity prices using monthly data, we compare the outcomes of energy strategies in Ecuador and Peru from 2014 to 2023. OLS regression models with Newey-West matrices are applied in two contexts: Energy efficiency and energy prices. Energy efficiency is explained through variables such as the proportion of renewable energies, national income, and the international oil price. The results indicate that in Ecuador, the proportion of renewable energies is positively related to energy efficiency, whereas in Peru, energy efficiency mainly depends on the trend component capturing changes in productivity and the decline in fuel prices. Furthermore, electricity prices are sensitive to fluctuations in oil prices, especially in Peru, due to its dependence on thermoelectric generation. The energy strategies of both countries, including the integration of renewables and the management of fossil fuel costs, play crucial roles in determining energy efficiency and prices. This study provides a comprehensive view of how various economic and structural factors influence the performance of the energy sector in both nations, highlighting the differences in their approaches and outcomes.
KW - Ecuador
KW - Energy Industry
KW - Peru
KW - Renewable Energies
UR - http://www.scopus.com/inward/record.url?scp=85204343004&partnerID=8YFLogxK
U2 - 10.32479/ijeep.16713
DO - 10.32479/ijeep.16713
M3 - Article
AN - SCOPUS:85204343004
SN - 2146-4553
VL - 14
SP - 464
EP - 478
JO - International Journal of Energy Economics and Policy
JF - International Journal of Energy Economics and Policy
IS - 5
ER -