The introduction of IPPs raises a serious policy problem for governments because such projects effectively constrain the introduction of competitive industry reforms. As well, the international landscape is littered with unsuccessful IPPs which struck trouble after they initially became airborne. Some discussion and analysis of these cases would have enlivened the text, apart from an odd footnote about Enron's difficulties with the Dabhol power project in India. The fate of many IPPs in Indonesia, for example, will have put off many would-be investors forever. This often results in distorted contractual structures which give participants a false sense of security.
Bankers tend to be as blatantly self-interested and unrealistic as anyone.
The text is characterised by excessive generalisation and insufficient intellectual rigour. The Centre for Energy, Petroleum and Mineral Law and Policy. All Rights Reserved.