Fig. 16
Motive and context will determine how Chinese oil
and gas companies strategically respond to lower prices
and new technology disruptions . . . . . . . . . . . . . . . . . . . . . . 67
Fig. 17
Motive and context are not set in stone but controlled
by stakeholders—the Chinese government can therefore
shape outcomes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 69
Fig. 18
Total mail volume did not begin to fall consistently until
after 2006, although first-class mail volumes have been
falling since 2001. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 71
Fig. 19
USPS has suffered huge losses and depressed profits
since 2006, illustrating the dangers of inaction . . . . . . . . . . 73
Fig. 20
Royal Mail letter volumes peaked in 2004,
but experienced sharp falls after 2007 . . . . . . . . . . . . . . . . . 74
Fig. 21
Privatisation in 2013 led to a return to profitability,
despite a continuous decline in letter volumes . . . . . . . . . . . 75
Fig. 22
The decline in Germany’s postal market began
in 2008, later than in the USA and the UK . . . . . . . . . . . . . 77
Fig. 23
Since the early 2000s, Deutsche Post’s revenue has
come from several areas; total revenue has not been
appreciably reduced by declining domestic
letter volumes. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 78
Fig. 24
The institutional framework of the Chinese electricity
sector comprises several organisations with overlapping
responsibilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 80
Fig. 25
Electricity networks transport electricity from generators
to end users . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 84
Fig. 26
Example of system balancing with network constraints . . . 86
Fig. 27
The objective of an electricity market is to supply
services so that demand and supply can be balanced,
while correcting market failures . . . . . . . . . . . . . . . . . . . . . . 86
Fig. 28
Future electricity grids will be shaped by two broad
trends: decarbonisation and decentralisation . . . . . . . . . . . . . 88
Fig. 29
The transmission system operator (TSO) and
independent system operator (ISO) are the two main
institutional models for system ownership
and operation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 90
Fig. 30
Several countries shifted to the TSO and ISO models
when they liberalised their electricity markets . . . . . . . . . . . 90
Fig. 31
Under the RPI-X mechanism, the TSO takes measures
to decrease its costs because it retains revenue from cost
savings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 92
Fig. 32
Nodal pricing reflects the cost of supplying additional
electricity at a given node . . . . . . . . . . . . . . . . . . . . . . . . . . 94
Fig. 33
UK offshore wind farm zones identified
for the development of renewable energy. . . . . . . . . . . . . . . 97
Fig. 34
There are several possible models for coordinating
distributed energy resources . . . . . . . . . . . . . . . . . . . . . . . . . 99
List of Figures
xxi xxi
Motive and context will determine how Chinese oil
and gas companies strategically respond to lower prices
and new technology disruptions . . . . . . . . . . . . . . . . . . . . . . 67
Fig. 17
Motive and context are not set in stone but controlled
by stakeholders—the Chinese government can therefore
shape outcomes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 69
Fig. 18
Total mail volume did not begin to fall consistently until
after 2006, although first-class mail volumes have been
falling since 2001. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 71
Fig. 19
USPS has suffered huge losses and depressed profits
since 2006, illustrating the dangers of inaction . . . . . . . . . . 73
Fig. 20
Royal Mail letter volumes peaked in 2004,
but experienced sharp falls after 2007 . . . . . . . . . . . . . . . . . 74
Fig. 21
Privatisation in 2013 led to a return to profitability,
despite a continuous decline in letter volumes . . . . . . . . . . . 75
Fig. 22
The decline in Germany’s postal market began
in 2008, later than in the USA and the UK . . . . . . . . . . . . . 77
Fig. 23
Since the early 2000s, Deutsche Post’s revenue has
come from several areas; total revenue has not been
appreciably reduced by declining domestic
letter volumes. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 78
Fig. 24
The institutional framework of the Chinese electricity
sector comprises several organisations with overlapping
responsibilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 80
Fig. 25
Electricity networks transport electricity from generators
to end users . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 84
Fig. 26
Example of system balancing with network constraints . . . 86
Fig. 27
The objective of an electricity market is to supply
services so that demand and supply can be balanced,
while correcting market failures . . . . . . . . . . . . . . . . . . . . . . 86
Fig. 28
Future electricity grids will be shaped by two broad
trends: decarbonisation and decentralisation . . . . . . . . . . . . . 88
Fig. 29
The transmission system operator (TSO) and
independent system operator (ISO) are the two main
institutional models for system ownership
and operation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 90
Fig. 30
Several countries shifted to the TSO and ISO models
when they liberalised their electricity markets . . . . . . . . . . . 90
Fig. 31
Under the RPI-X mechanism, the TSO takes measures
to decrease its costs because it retains revenue from cost
savings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 92
Fig. 32
Nodal pricing reflects the cost of supplying additional
electricity at a given node . . . . . . . . . . . . . . . . . . . . . . . . . . 94
Fig. 33
UK offshore wind farm zones identified
for the development of renewable energy. . . . . . . . . . . . . . . 97
Fig. 34
There are several possible models for coordinating
distributed energy resources . . . . . . . . . . . . . . . . . . . . . . . . . 99
List of Figures
xxi xxi