Mitigating hydrologic financial risk in hydropower generation using index-based financial instruments

Mitigating hydrologic financial risk in hydropower generation using index-based financial instruments

Variability in streamflows can lead to reduced generation from hydropower producers and result in reductions in revenues that can be financially disruptive. This link between hydrologic and financial uncertainties, and the possibility of increased hydrologic variability in the future, suggests that hydropower producers need to begin to consider new strategies and tools for managing these financ...

Capability-Based Financial Instruments

Every novel cooperative arrangement of mutually suspicious parties interacting electronically — every smart contract — effectively requires a new cryptographic protocol. However, if every new contract requires new cryptographic protocol design, our dreams of cryptographically enabled electronic commerce would be unreachable. Cryptographic protocol design is too hard and expensive, given our unl...

OpenPGP-Based Financial Instruments and Dispute Arbitration

In this paper, we present some guidelines for implementing various financial instruments for the purposes of credit and payment, including protocols for commercial transactions, dispute resolution, and establishing credit reputation. We strive to employ only widely used, standardized cryptography and keep the proposed procedures as simple as possible on the conceptual level. Also, we want all t...

Financial Instruments in Recommendation Mechanisms

Instruments to Mitigate Financial Risk in Indian Renewable Energy Investments

Based on these targets, and assuming that these targets will be met in a linear fashion (i.e., equal capacity installation per year), using forecasted costs of renewable technologies, this would require approximately $189 billion of additional investment, including $132 billion of debt and $57 billion of equity. Among technologies, solar energy would require approximately $131 billion, wind ene...