CSEM Working Papers
POWER Working Papers

Proceedings Papers and Regulatory Filings - by CSEM Researchers

• PROGRAM GOALS
• DESCRIPTION OF CSEM RESEARCH
• RECENT ACTIVITIES
• CSEM DIRECTORS
• ADVISORY COMMITTEE

The mission of the Center for the Study of Energy Markets (CSEM ) (formerly known as POWER), is to foster top research on energy policy in order to promote better understanding of the functioning of energy markets and the impacts of deregulation in energy industries.  CSEM also seeks to develop strategies and tools that can be used by regulatory agencies and policy makers for the analysis of energy markets.  CSEM is a program of the University of California Energy Institute (UCEI) and also receives significant financial support from the California Energy Commission.

CSEM  has three major goals:

• Research : CSEM strives to generate research that meets high academic standards and is also useful to energy policy makers in the public and private sectors as well as the general public.
• Outreach:  CSEM creates opportunities through conferences, testimony, workshops, and seminars for academics and practitioners to exchange knowledge and viewpoints in a way that helps to inform policy makers and to foster relevant energy research.
• Education: CSEM enables students to participate in and develop advanced research projects, thereby training the next generation of researchers and policymakers.

The issues being addressed currently by CSEM include:

• Electricity Industry Restructuring: The electricity industry in California and throughout the world is undergoing a dramatic transformation from a regulated industry to one in which there are open markets for the supply of electrical energy. CSEM has been involved in electricity restructuring from the early stages, and addresses such issues as:
• Wholesale market organization
• Transmission pricing and investment
• Market power and market monitoring
• Infrastructure reliability and investment
• Retail competition and consumer price responsiveness
• Market design and efficiency
• Interactions of environmental regulations and electricity markets

• Petroleum and Gasoline Markets: The extremely large and complex petroleum industries play a central role in the economy. CSEM  analyzes the economic and policy questions relating to this crucial sector of the economy, including:
• Impact of reformulated motor fuels on competition in gasoline markets
• Retail price differences among different locations

• Environmental and Energy Policy: CSEM is involved in both research and policy formulation on many of the public goods questions that dominate energy policy. Both directly and through its affiliation with the California Institute for Energy Efficiency, CSEM examines such issues as:
• Energy efficiency
• Research and development in energy industries
• Air quality regulation and policy

CSEM held its seventh annual POWER Conference on Electricity Industry Restructuring on March 22, 2002 at UC Berkeley.  The conference brings together top electricity industry researchers and practitioners to present and discuss new economic and policy research that is of direct relevance to that evolving industry.  CSEM hosts bi-weekly seminars where energy researchers present their work on a host of energy issues.  These seminars are held either at UC Berkeley or UC Davis to facilitate participation by researchers and policy makers.  CSEM also continues to organize a number of smaller conferences and workshops that bring together senior representatives from industry, government, environmental and consumer groups and research institutions in an informal and interactive forum. Past workshops have focused on such topics as:

In addition, CSEM maintains a working paper series on issues ranging from evaluating tradeable pollution rights to analyzing proposed wholesale electricity markets. The CSEM Working Paper Series is a continuation of the POWER Working Paper Series which began in 1992.  The CSEM series will make available working papers on energy-related research performed by researchers affiliated with CSEM.  The historical POWER working papers continue to be available. Three books on energy policy , covering the oil industry, electricity markets, and the regulatory process, also have been produced under the POWER program and continue to be available.

CSEM researchers also are often called upon to speak before government and policy organizations, including the California state legislature, various state public utility commissions, the California Energy Commission, the U.S. Department of Justice, and the U.S. Federal Energy Regulatory Commission. Researchers in CSEM also serve on the governing boards of such non-profit institutions as the California Power Exchange and the American Council for an Energy Efficient Economy.

CSEM DIRECTORS

Severin Borenstein is co-director of CSEM, an E.T. Grether Professor of Business Administration and Public Policy at UC Berkeley's Haas School of Business, and Director of the University of California Energy Institute. Professor Borenstein holds a Ph.D. in economics from MIT. His research focuses on business competition and government regulation. He is the author of many articles on gasoline and oil markets and on competition in electricity markets. Professor Borenstein also has done extensive research on the airline industry. He has advised many state and federal agencies on energy and airline matters. He is a research associate of the National Bureau of Economic Research in Cambridge, Massachusetts, and a member of the Board of Governors of the California Power Exchange.

James Bushnell is co-director of CSEM, Research Director of the University of California Energy Institute, and a Lecturer at UC Berkeley's Haas School of Business. Dr. Bushnell holds a Ph.D. in Industrial Engineering and Operations Research from UC Berkeley. His research focuses on many aspects of operations, regulation, and competition in the energy industries. He is the author of many articles covering such topics as auction design, transmission planning and investment,  market power, and energy demand. Dr. Bushnell serves on the Market Surveillance Committee of the California's Indepdendent System Operator and previously served on the Market Monitoring Committee of the California Power Exchange.

CSEM ADVISORY COMMITTEE

The CSEM Advisory Committee meets annually to evaluate and provide feedback on the past year's activities and plans for the coming year.  The current members are:

                                    Ben Arikawa                California Independent System Operator
                                    Scott Cauchois             Office of Ratepayer Advocates
                                    David Gamson             California Public Utilities Commission
                                    Mike Jaske                  Califiornia Energy Commission
                                    Lorenzo Kristov           California Independent System Operator
                                    Laurie ten Hope           Califiornia Energy Commission