The G-20, five years on. CEPS Essay No. 9, 3 March 2014

Now is time to take stock of the G-20. Just over five years ago, during the free fall of the global financial crisis, representatives from 20 of the world’s leading economies agreed to gather twice a year in order to develop a more sustainable regulatory framework for financial institutions. In this CEPS Essay, Karel Lannoo highlights many signs of promise, for example, the group has agreed on a new framework for regulatory standards for each country’s most important financial institutions and tasked a Financial Stability Board (FSB) with monitoring adherence to them. At the same time,however, he notes that the G-20 has fallen short of some expectations and continues to show serious flaws.

Sales Market Regulations for Agricultural Land in EU Member States and Candidate Countries. Factor Markets Working Paper No. 14, February 2012

All agricultural markets are subjected to institutional regulations that – in one way or another –affect the functioning of these markets, and this is no different for the agricultural land market in the EU. In this paper, we describe the existing regulations in the sales markets for agricultural land in selected EU member states and candidate countries. The analysis focuses on three types of sales market regulations and institutions: quantity regulations, price regulations and transaction costs. The differences in the regulatory framework between land acquisition and ownership by domestic and foreign investors are analysed, as well as the taxes associated with land sales and ownership, zoning regulations and market imperfections.

Closing financial institutions on both sides of the Atlantic: Are there differences in approach? CEPS Commentary, 25 February 2015

In the aftermath of the Great Financial Crisis both the EU and the US have implemented resolution procedures for their largest and most systemic financial institutions. This Commentary examines the main differences between the two frameworks. The EU framework allows, inter alia, action to prevent the failure of a credit institution, while the US regulatory framework requires that all systemic banks subject to resolution must be closed and resolved. The greater flexibility under the EU resolution framework allows action to be taken to preserve a credit institution without putting it through an insolvency process, which makes limiting moral hazard less obvious. Moreover, the scope of the EU framework is still narrow, since it does not allow the recovery of non-bank financial institutions, whereas the US framework does.

Gazprom’s evolving strategy in a new commercial and political context: how should the EU react? EPC Policy Brief, 27 April 2015

After years of unchallenged commercial domination of a sizeable portion of the EU's gas market, Gazprom is confronted with a statement of objections issued on 22 April by the EU Commission for abusing its dominant market position. The company was already prevented from going ahead with its South Stream project aimed at consolidating Gazprom's grip on Southeast Europe's markets by bypassing Ukraine – due to alleged non-compliance of intergovernmental agreements with the EU regulatory framework. Furthermore, it walked away from negotiations that could have allowed it to access more than 50% of the OPAL pipeline – an onshore branch of the offshore Russian German Nord Stream pipeline –, whilst its attempts to go downstream through the acquisition of European distribution and transmission operators, such as Wingas and DESFA, failed due to current political tensions and the risk of a negative Commission ruling on the operation. Does this mean that the Russian gas behemoth – so often portrayed as the energy arm of the Kremlin – is not so powerful after all? This Policy Brief aims to frame the erosion of Gazprom's power in a wider perspective, analysing its peculiar position at a time of transition, with the global gas business going from a sellers' to a buyers' market, and providing recommendations on how Europe should deal with it. It will be argued that Gazprom – despite still being affected by the Kremlin's political priorities – is moving towards more commercially sound behavior. The EU should profit from this evolution without being tempted by mercantilist options, and rather use the political momentum provided by the energy union to remove barriers to solidarity and to increase competition on the trading platforms.

Consensus, contradiction, and conciliation of interests: the geo-economics of the Energy Union. EPC Policy Brief, 8 July 2015

European Union energy policy calls for nothing less than a profound transformation of the EU's energy system: by 2050 decarbonised electricity generation with 80-95% fewer greenhouse gas emissions, increased use of renewables, more energy efficiency, a functioning energy market and increased security of supply are to be achieved. Different EU policies (e.g., EU climate and energy package for 2020) are intended to create the political and regulatory framework for this transformation. The sectorial dynamics resulting from these EU policies already affect the systems of electricity generation, transportation and storage in Europe, and the more effective the implementation of new measures the more the structure of Europe's power system will change in the years to come. Recent initiatives such as the 2030 climate/energy package and the Energy Union are supposed to keep this dynamic up. Setting new EU targets, however, is not necessarily the same as meeting them. The impact of EU energy policy is likely to have considerable geo-economic implications for individual member states: with increasing market integration come new competitors; coal and gas power plants face new renewable challengers domestically and abroad; and diversification towards new suppliers will result in new trade routes, entry points and infrastructure. Where these implications are at odds with powerful national interests, any member state may point to Article 194, 2 of the Lisbon Treaty and argue that the EU's energy policy agenda interferes with its given right to determine the conditions for exploiting its energy resources, the choice between different energy sources and the general structure of its energy supply. The implementation of new policy initiatives therefore involves intense negotiations to conciliate contradicting interests, something that traditionally has been far from easy to achieve. In areas where this process runs into difficulties, the transfer of sovereignty to the European level is usually to be found amongst the suggested solutions. Pooling sovereignty on a new level, however, does not automatically result in a consensus, i.e., conciliate contradicting interests. Rather than focussing on the right level of decision making, European policy makers need to face the (inconvenient truth of) geo-economical frictions within the Union that make it difficult to come to an arrangement. The reminder of this text explains these latter, more structural and sector-related challenges for European energy policy in more detail, and develops some concrete steps towards a political and regulatory framework necessary to overcome them.

Why is Europe lagging on next generation access networks? Bruegel Policy Contribution ISSUE 2015/14, September 2015

Why is Europe lagging on next generation access networks? Fibre-based next generation access (NGA) roll-out across the European Union is one of the goals of the European Commission’s Digital Agenda strategy, however, there remains considerable uncertainty about how the roll-out goal can best be achieved. The underlying differences between the economics of copper-based and new fibre-based broadband infrastructures should lead to a revision of the regulatory framework for telecommunications markets. While the current regulatory measures have been useful in the past decade to sustain competition and facilitate entry into a market with already-existing infrastructures, the need to create new, much faster broadband networks calls for a rethink of the scope and strictness of regulation.

La réforme Dodd-Frank des produits dérivés de gré à gré : vers un modèle mondial?

Suite à la crise financière de 2008 les pays du G20 se sont interrogés sur la transparence des marchés, la stabilité du système et une façon de réguler les risques posés par le nouvel environnement économique. Les produits dérivés de gré à gré ont été identifiés et des engagements ont été pris en faveur de nouvelles régulations des dérivés de gré à gré et la gestion des risques sous-jacents. Les régulateurs ont donc adopté chacun à leur tour un cadre législatif régulant les dérivés de gré à gré tout en déployant un effort international d'harmonisation et de reconnaissance des contreparties assujetties à des régimes équivalents. Les autorités canadiennes en valeurs mobilières ont publié des projets de règlements. Nous nous interrogerons sur ce nouveau cadre réglementaire des dérivés de gré à gré élaboré par les autorités canadiennes en valeurs mobilières, prenant en considération les spécificités canadiennes et les acteurs actifs sur leur territoire. Notre étude traite de ces projets de règlements et de la difficulté d'encadrer les marchés des dérivés de gré à gré qui par définition ne comportent pas de plateformes de négociation ou de lieu géographique et de frontières mais se caractérisent surtout par le lien contractuel entre les parties et l'identification de ces parties. L'élaboration d'un nouveau cadre pour les dérivés de gré à gré qui régule les transactions transfrontières semble très délicat à traiter et les possibles conflits et chevauchements de lois seront inévitables. Confrontés à des définitions divergentes de contreparties locales, les parties à une opération seront condamnées à un risque de qualification en vertu des règlements nationaux sur les dérivés de gré à gré. Une concertation pourrait être renforcée et la détermination de l'autorité compétente ainsi que les concepts de contreparties locales, succursales ou filiales pourraient être harmonisés.

WTO oriented telecommunications reform in the Socialist Republic of Vietnam

Socialist Republic of Vietnam's reform process in the telecommunications sector - obligations imposed on Vietnam by the Bilateral Trade Agreement (BTA) - the regulatory framework required by the General Agreement on Trade in Services (GATS) and the associated, telecommunications-specific WTO agreements - institutional and political problems that may hinder full implementation of these international obligations.

VALORAÇÃO DE ATIVOS E MULTAS AMBIENTAIS: ANÁLISE SIMULADA DE EMPREENDIMENTOS HOTELEIROS EM ÁREAS PROTEGIDAS

O crescimento desordenado e a ausência de políticas públicas mais eficientes levaram a uma diversificação quanto ao uso dos recursos naturais, principalmente no que se refere à água para o saneamento básico. O marco regulatório estabelecido na década de 1980 registrou as políticas públicas para o meio ambiente, que trouxeram avanços sobre o tema, desencadeando uma série de ações voltadas tanto para a estrutura burocrática e da prevenção, quanto solução para os problemas de degradação e esgotamento dos recursos naturais. Com o advento das leis específicas de proteção aos mananciais e mediante a lei 13.579/09 do Estado de São Paulo que trata sobre a área da Billings, percebeu-se um avanço na questão do gerenciamento para proteção e desenvolvimento de acordo com as características da região. Instrumentos de políticas públicas para conter as ações referentes aos danos causados ao meio ambiente, como a lei contra crimes ambientais foram às ações práticas do Estado para conter tais ações. O Objetivo desta pesquisa é analisar as possíveis discrepâncias entre as penalidades financeiras aplicadas na ocorrência das infrações ambientais e os modelos de valoração dos ativos ambientais, utilizando a simulação de implantação de um hotel em áreas de proteção e recuperação de manancial no Município de São Bernardo do Campo no Estado de São Paulo. O desenvolvimento da pesquisa se baseou no método de custo de reposição (MCR) para dimensionar os possíveis impactos gerados por um empreendimento hoteleiro e seu respectivo valor econômico. Posteriormente, os impactos ambientais foram relacionados com a legislação do município para determinar os valores das possíveis penalidades aplicáveis ao dano causado. Dentre os resultados levantados, verificou-se uma significativa discrepância entre a valoração econômica e as multas aplicáveis, sendo que nos impactos referentes a impermeabilidade do solo e contaminação do lençol freático, com diferenças superiores em relação às penalidades de R$ 804.922,78 e R$ 453.333,33 respectivamente. A partir da metodologia aplicada na pesquisa, observou-se que as penalidades incidentes em casos de danos ao meio ambiente, muitas vezes não atinge o objetivo, que é inibir a ação do infrator, pois o real custo econômico não é medido na aplicação do valor da multa.

RESPONSABILIDADE SOCIAL, PREGAÇÃO E EDUCAÇÃO: TENSÕES MISSIOLÓGICAS NO PROJETO MISSIONÁRIO DA IGREJA METODISTA EM TERRAS BRASILEIRAS

Esta pesquisa, Responsabilidade Social, Pregação e Educação: tensões missiológicas no projeto missionário da Igreja Metodista em terras brasileiras, tem como objetivo analisar as ações missionárias da Igreja Metodista do período de sua implantação até o final do período referente ao 18° Concílio Geral (2006-2011). A análise resgatou a tríade Responsabilidade Social, Pregação e Educação como uma marca identitária do movimento wesleyano e que esse princípio missionário nem sempre foi seguido pelo metodismo brasileiro. Notou-se também que a tríade serviu, em momentos decisivos, como elemento norteador do projeto missionário. Isso é percebido no período da implantação, bem como na constituição do Plano para Vida e Missão (PVM). Em que pese que as ações missionárias no metodismo brasileiro nem sempre foram providas de uma reflexão teológica sistemática, a tríade Responsabilidade Social, Pregação e Educação sempre funcionou como eixos essenciais da missão e de forma indissociável. Não foram poucos os momentos em que o projeto missionário metodista enfrentou tensões na sua execução. O ímpeto pelo crescimento numérico e expansão geográfica, muitas vezes, ofuscou a fidelidade à tríade. Nessa trajetória de pesquisa está construída em quatro capítulos, nos quais se busca a superação de uma compreensão histórica equivocada e faz-se necessário que o projeto missionário assuma os elementos essenciais da tríade como marco regulatório da missão metodista. As repetitivas opções equivocadas não colaboram com a nova compreensão de missão. O resultado da pesquisa encoraja futuras análises para que o metodismo assuma o papel de agente de Deus na missio Dei e para que o seu envolvimento missionário mantenha fidelidade à tríade Responsabilidade Social, Pregação e Educação.

An account of the sustainable development process in Bangladesh

With the accelerating industrialization process, even further increasing population and mass deforestation, ‘sustainability’ as a concept has only recently been popularized in Bangladesh. This paper sheds light on the sustainable development process in Bangladesh. It points out the major challenges to this process and identifies the motivating factors for a sustainable society in Bangladesh. The paper concludes with some strategies that are considered essential for the development of a sustainable society in Bangladesh, e.g., strong and effective regulatory framework, emphasis on rural entrepreneurship, development of indigenous technology and an integrated environmental management system.

Investement appraisal in a deregulated electricity market

This thesis analyses the impact of deregulation on the theory and practice of investment decision making in the electricity sector and appraises the likely effects on its long term future inefficiency. Part I describes the market and its shortcomings in promoting an optimal generation margin and plant mix and in reducing prices through competition. A full size operational model is developed to simulate hour by hour operation of the market and analyse its features. A relationship is established between the SMP and plant mix and between the LOLP and plant margin and it is shown bow a theoretical optimum can be derived when the combined LOLP payments and the capital costs of additional generation reach a minimum. A comparison of prices against an idealised bulk supply tariff is used to show how energy prices have risen some 12% in excess of what might have occurred under the CEGB regime. This part concludes with proposals to improve the marlregulatory framework and its limitations in improving efficiency or encouraging the optimum levels of investment. The principal findings of the thesis are reviewed and potential market improvement are described. This part concludes with a discussion of alternative market structures and likely future developments.

Corporate governance and accounting conservatism:evidence from the banking industry

Research Question/Issue: In this paper, we empirically investigate whether US listed commercial banks with effective corporate governance structures engage in higher levels of conservative financial accounting and reporting. Research Findings/Insights: Using both market- and accrual-based measures of conservatism and both composite and disaggregated governance indices, we document convincing evidence that well-governed banks engage in significantly higher levels of conditional conservatism in their financial reporting practices. For example, we find that banks with effective governance structures, particularly those with effective board and audit governance structures, recognize loan loss provisions that are larger relative to changes in nonperforming loans compared to their counterparts with ineffective governance structures. Theoretical/Academic Implications: We contribute to the extant literature on the relationship between corporate governance and quality of accounting information by providing evidence that banks with effective governance structures practice higher levels of accounting conservatism. Practitioner/Policy Implications: The findings of this study would be useful to US bank regulators/supervisors in improving the existing regulatory framework by focusing on accounting conservatism as a complement to corporate governance in mitigating the opaqueness and intense information asymmetry that plague banks.

Managing the transition to IFRS-based financial reporting

This book provides a practical guide for accountants working in practice or in business faced with the complexity of moving to adopt IFRS-based financial reporting. The book offers not only an overview of the regulatory framework and the requirements to produce IFRS-compliant financial statements but also guidance on developing an implementation strategy including project management, identifying and responding to challenges, dealing with change management and communication with external stakeholders.

Union experience of social dialogue and collective participation in India

The labor regulatory framework in India provides a conducive environment for social dialogue and collective participation in the organizational decision-making process (Venkata Ratnam, 2009). Using data from a survey of workplace union representatives in the federal state of Maharashtra, India, this paper examines union experiences of social dialogue and collective participation in public services, private manufacturing, and private services sector. Findings indicate that collective worker participation and voice is at best modest in the public services but weak in the private manufacturing and private services. There is evidence of growing employer hostility to unions and employer refusal to engage in a meaningful social dialogue with unions. These findings are discussed within the political economy framework of employment relations in India examining the role of the state and judiciary in employment relations and, the links between political parties and trade unions in India.