As part of PESD's ongoing research on power sector reform, the program has focused on the special role of independent power projects (IPPs). Many countries institute reform with the goal of attracting private (usually foreign) investors in new generating capacity. IPPs, rather than across-the-board reform, are usually the mechanism employed; yet the IPP market has been highly volatile in the last decade and has evaporated in most countries in recent years.

Private investment in electricity generation in developing countries grew dramatically during the 1990s, only to decline equally dramatically in the wake of the Asian financial crisis and other troubles in the late 1990s. The Program on Energy and Sustainable Development at Stanford University has undertaken a detailed review of the IPP experience in developing countries. The study has sought to identify the principal factors that explain the wide variation in outcomes for IPP investors and hosts. It also aims to identify lessons for the next wave in private investment in electricity generation.

This article presents the conclusions and analysis of the study of the experience of investment in greenfield IPPs in developing countries. The term "independent power producer" has been used to refer to several types of enterprises, but for this paper, "IPP" refers to a privately developed power plant that sells electricity to a public electricity grid, often under long term contract with a state utility. For this study and report, the lead actors in every IPP are private investors usually foreign, but often with local partners. The classic foreign-sponsored, project-financed IPP has taken root in more than fifty emerging countries that display wide variation in economic, political and social environments. The wide variation in settings for IPPs affords a special opportunity for researchers to probe systematically the critical factors that contribute to outcomes for host countries and for investors.

By most estimates, global consumption of natural gas - a cleaner-burning alternative to coal and oil - will double by 2030. However, in North America, Europe, China, and South and East Asia, which are the areas of highest-expected demand, the projected consumption of gas is expected to far outstrip indigenous supplies. Delivering gas from the world's major reserves to the future demand centres will require a major expansion of inter-regional, cross-border gas transport infrastructures. This book investigates the implications of this shift, utilizing historical case studies as well as advanced economic modeling to examine the interplay between economic and political factors in the development of natural gas resources. The contributors aim to shed light on the political challenges which may accompany a shift to a gas-fed world.

During 2004-06, the Program on Energy & Sustainable Development undertook a study of the experience of independent power producers ("IPPs") in developing countries. As part of the study, the Program sponsored a series of country studies. These papers detail the basic contours of the IPP experience in each country and discuss the country factors identified in the research protocol. Additionally, each paper presents the universe of greenfield IPPs in the country, identifies the significant characteristics across which these projects vary, and selects a small number for individual examination.

This paper summarizes the experiences of the countries and projects that were part of the IPP study. Additionally, the paper provides a concise statement of project outcomes and a brief statement of the rationale underlying the analysis of each project. In doing so, the paper aims to gather in one place the disparate outcomes that are discussed in a long series of working papers, thereby providing a transparent and accessible document that will facilitate further study and critique of the original coding for the study, as well as of the analysis of projects and countries.

In addition to domestic political and economic restructuring, most of the former state-socialist countries opted to establish political and economic relations with "the West" as a step to make the transition to liberal democracy and a market economy irreversible in the immediate term, and to acquire a new "home" in the international system in the long run. Consequently, they sought membership in almost all "Western" international organizations and, most important, in the European Union (EU), which made an explicit link between membership and the adoption of a certain set of norms and values. Accordingly, the EU began to play an important role in the transitions of Central and Eastern Europe (CEE) by helping these countries meet its membership criteria. Important, then, becomes the question about the effects of this international cooperation on the democratization process in CEE. This paper focuses on the impact the EU has had on CEE applicant parties.