Established as a boutique consultancy in 2004 slEconomics provides specialized advice in the field of economics and finance.
With a focus on energy, utilities and infrastructure we have an extensive track record in advising:
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Corporate clients on regulatory and commercial strategy
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Regulators in design of pricing frameworks and tariff reviews
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Governments on major transactions and industry reform initiatives
We take pride in the long term relationships we have built with our clients. This important aspect of our business model allows us to anticipate the needs of our clients, understand the complexities of their operating environment, and deliver results in real time.
A few examples of our engagements
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As part of an international consortium of advisers slEconomics assisted Thailand’s Ministry of Energy in review of electricity sector policy. Motivated by anticipated outcomes of ASEAN Economic Community (AEC) initiatives, our work centered on design of a regulatory approach for setting unbundled tariffs in facilitation of (proposed) open access provisions and enhanced regional competition in the Electricity Supply Industry.
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As regulatory adviser to Airports Company South Africa since 2008 we have assisted in the development of regulatory strategies and rules to be applied in determination of allowed airports charges.
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Assisting the Essential Services Commission Victoria in development of the pricing framework to be applied to Victoria’s intra-state rail network and design of the regulatory guidelines to be applied in calculation of allowed revenue, return on capital, efficiency incentive mechanisms, and structure of charges for rail services.
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Working with the South Australian Government Water Pricing Transition Working Group in development of Pricing Orders to facilitate the smooth and predictable transition to a system of independent regulation of water charges. In our role as lead regulatory adviser we provided recommendations on asset valuation methodologies for the initial regulatory control period – role forward of asset value in subsequent control periods – and implications for regulated revenues and charges.
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Providing advice on regulation and pricing to Eskom Holdings (SOC) Ltd (South Africa’s vertically integrated national power company) from 2004 – 2014. In dong so we have advised on issues ranging from regulatory strategy through to the detailed design of regulatory methodologies under which allowed revenue and tariffs are determined.
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slEconomics acted as lead external commercial adviser in design of the Pilot National Cogeneration Programme – South Africa’s first major venture into independent cogenerated power purchase and providing the template for subsequent power procurement programmes. In this role we worked with a multi-disciplinary team of experts in developing the framework for power purchase, with our focus of work centered on design of pricing and penalty payments, risk assessment, and drafting relevant sections of the power purchase agreement.