Energy Subsidies in the Arab World

The policy of maintaining tight control of domestic energy prices has characterized the political and economic environment in most Arab countries, together with many other parts of the world, for decades. The objectives behind such a policy range from overall welfare objectives such as expanding energy access and protecting poor households’ incomes; to economic development objectives such as fostering industrial growth and smoothing domestic consumption; and to politi- cal considerations, including the distribution of oil and natural gas rents in resource-rich countries. While energy subsidies may be seen as achieving some of a country’s objectives, this paper argues they are a costly and inefficient way of doing so. Energy subsidies distort price signals, with serious implications on efficiency and the optimal allocation of resources. Energy subsidies also tend to be regressive, with high-income households and industries benefiting proportionately most from low energy prices. However, despite such adverse effects, energy subsidies constitute an important social safety net for the poor in many parts of the Arab world, and any attempts to reduce or eliminate them in the absence of compensatory programmes would lead to a decline in households’ welfare and erode the competitiveness of certain industries. Therefore, a critical factor for successful reforms will be the ability of governments to compensate their populations for the reduction or removal of subsidies through carefully designed mitigation measures that protect the poorest and assist the economy in its long-term adaptation. We argue that a reform of energy pric- ing mechanisms in the Arab world may be seen as beneficial from more than one perspective, and as offering potential paths for reform. Nevertheless, this paper recognizes that the current political climate in the region will render the reform of domestic energy prices difficult in practice, such that reform may indeed be a medium- to long-term endeavour

Examining the impact of Internet electronic commerce on commercial organizations in Saudi Arabia

Saudi Arabia is undergoing tremendous change in both infrastructure and economics, which is helping the Internet to flourish in the region. Although growth of electronic commerce (EC) is slow, it is becoming increasingly global. Businesses worldwide are engaging in this commercial evolution. The purpose of this study was to provide consumers and commercial organizations in Saudi Arabia with practical information regarding electronic commerce. It attempted to explore the perspectives of Internet users, information technology (IT) professionals, business owners, and managers of online businesses in Saudi Arabia. Two survey instruments were used to gather data for this study. The first survey instrument consisted of 37 questions and was sent to 80 randomly selected Internet users in Saudi Arabia. A total of 45 (56.25%) questionnaires were returned. The second survey consisted of 21 questions and was sent to 80 randomly selected IT professionals, managers, and business owners. A total of 49 (61.22%) questionnaires were returned. The questionnaire was posted on the Web, http://www. geocities.com/ksaecommerce/ Surveys/default.htm, and e-mails were sent to the study group after the review of the pilot study. Consistent with the statistical analyses discussed in chapter III, analysis of the data was undertaken using the Statistical Package for Social Sciences (SPSS) computer program. The results of the study indicated that, the awareness, perceptions, and attitudes of the consumers, IT professionals, managers, and business owners\u27 toward shopping on-line depended on such factors as level of security and fraud. There appears to be a positive relationship between the level of security and attitude toward using the Internet for shopping. In addition, the research revealed some barriers related to electronic commerce from the consumer\u27s point of view: Although online transactions are convenient, timely delivery in Saudi Arabia is costly and inefficient. Improvements in Internet and EC technologies will continue to increase productivity, providing that commercial organizations in Saudi Arabia are willing to adapt new business models to capture advances in technology. The major recommendations of this study are as follows: (a) The private sector and universities should take a roles in educating people to benefit from the Internet; (b) financial sector must coordinate with information technology companies to increase customers confidence in electronic commerce; (c) an updated telecommunication infrastructure is needed in Saudi Arabia; and (d) the Saudi government, represented by the Ministry of Commerce and other competent bodies, should be committed to introducing and widely using electronic commerce. At the same time, the government should take necessary procedures to prevent the misuse of electronic commerce

Energy Savings Analysis of a Recommended Residential Air Conditioning Incentive Program in Saudi Arabia

Over the past couple of decades, the kingdom’s annual per capita electricity consumption has been steadily growing by around 7%. One of the key causes for such a high growth is the intensive use of non-energy-efficient equipment, which was dominating the Saudi market. In 2017, the residential sector consumed around 143 TWh, which represents around 48% of the country’s total electricity consumption. The aim of this study is to assess the feasibility of an air conditioning incentive program for citizens from energy and economic sides. This chapter is a detailed study where program gains from energy and economic standpoints were based on substituting participants’ old air conditioning units with new units that are better in performance. The proposed program was designed over an 8-year period with three scenarios where the government will take care of all the capital cost, 75%, and none of the capital cost in these scenarios. The results of this study indicated that an accumulated savings of up to 17.11 TWh by 2025 with NPVs above $13 billion can be achieved in all scenarios. Moreover, it was estimated that the program will add an average of$0.5 billion per year to the kingdom’s GDP over the duration of the program

The global information technology report 2014

Executive summary When The Global Information Technology Report (GITR) and the Networked Readiness Index (NRI) were created more than 13 years ago, the attention of decision makers was focused on how to develop strategies that would allow them to benefit from what Time Magazine had described as “the new economy”: a new way of organizing and managing economic activity based on the new opportunities that the Internet provided for businesses. At present, the world is slowly emerging from one of the worst financial and economic crises in decades, and policymakers, business leaders, and civil society are looking into new opportunities that can consolidate growth, generate new employment, and create business opportunities. Information and communication technologies (ICTs) continue to rank high on the list as one of the key sources of new opportunities to foster innovation and boost economic and social prosperity, for both advanced and emerging economies. For more than 13 years, the NRI has provided decision makers with a useful conceptual framework to evaluate the impact of ICTs at a global level and to benchmark the ICT readiness and usage of their economies

An investigation of the internet banking (IB) adoption, use, and success in Saudia Arabia (SA)

This thesis attempts to empirically investigate the different factors that have relation with the adoption, use and success (Dependent variables) of Internet Banking (IB). It extended the previous marketing literature and TAM model by investigating different factors that might have relationship with the adoption and use of the IB. In addition to that, and since the success of IB has not been found in the reviewed literature, this study introduces the success variable following the DeLone and McLean (2003) IS success model. This thesis responds to several researchers’ calls by conducting an investigation in Saudi Arabia (SA), where it has special socio-economic motives and social values such as Islamic Banking (IsB).The data of this study were collected through a survey (postal questionnaires), sample (n=1000), which has been conducted randomly using SA’s Residential Telephone Directory. A total of 228 usable questionnaires were returned (22.8% response rate). The data were analysed using descriptive statistics method, and a factor analysis was also used to classify the variables into a set of dimensions. Moreover, multiple regression analysis was performed to test the research hypotheses. As a result, the researches’ models of adoption, use and success have shown high, good and fair prediction powers (R²=62%, 39.4% and 30%, respectively), which are comaparable to other studies in the area.The research findings suggest that awareness, resistance to change, satisfaction, perceived ease of use, self-efficiency, high cost, availability of IsB services online, and income (independent variables) were affecting the IB customers’ adoption, use and success in different degrees. The awareness and self-efficiency of the IB were found to significantly affect the adoption of IB, whereas self-efficiency and satisfaction “convenience” significantly affect the use of IB. However, frequency and wide range of the used IB services, satisfaction “time saving and customers’ needs fulfilment”, income and the availability of IsB services were found to also affect the success of the IB services. Surprisingly, the research findings indicate that security does not contribute significantly to the adoption, use, and success of IB services and that is due to some reasons which is recommended for future studies. It is also essential to highlight that IB customers’ satisfaction was found to be a very significant factor in motivating the new adopters to use the services frequently, which will lead to a successful competitive performance. This thesis concludes with implications for researchers, practitioners, and policy makers in addition to research limitations and recommendations for future studies

Opportunity knocks: selling our services to the world

Over the past century, the U.S. has developed a deep, diverse pool of skilled, productive and well-paid service providers.Globalization ; Service industries

An Institutional Analysis of State-Market Relations in the Saudi Arabian Housing System: A Case Study of Riyadh

Over the past decade, policymakers in Saudi Arabia continue to face enormous challenges in meeting the increasing demand for housing, particularly affordable housing. A review of the literature revealed that inefficiencies associated with state institutions and housing policies are constraining the private sector’s ability to sufficiently engage in the production of housing. This study focuses on how the state’s institutional framework in the housing system affects the performance and capacity of the market to deliver housing for the low- and moderate-income segments. The main objective is to uncover the state-market relations in order to understand the processes that shape housing outcomes. The thesis begins by describing the current operation of the Saudi housing system using the capital city of Riyadh as a single case study. Relevant literature on housing research was reviewed to build a platform for this investigation and to drill deeply into existing theoretical frameworks. Multiple institutional theoretical concepts drawn from the literature were adopted and synthesised to create a conceptual framework. This was then used to unpack institutional dynamics in the housing system and to illuminate the contemporary network of state-market relations. An exploratory qualitative research design was undertaken to facilitate insights into the institutional arrangements that shape the actual operation of key actors in the housing system. In-depth interviews conducted over two stages allowed this study to closely examine the complexities of Riyadh’s housing system in its distinctive context. The study found that state-market relations were marked by acute tension that seems to be embedded in the broader institutional context of the housing system. By illuminating and analysing the results of the fieldwork, it was revealed that many issues in the housing market are driven by a number of fundamental factors that amplify the tension between actors in the system and cause the many housing challenges in Riyadh. The implications of the findings for future housing policy are also presented

Assessing Resilient Post-Disaster Recovery of A Flash-Flood-Prone Area: A Study of the City of Jeddah, Kingdom of Saudi Arabia

Abstract The increased incidence of natural disasters over recent decades has been accompanied by a corresponding dramatic proliferation of human casualties, economic damage and recovery costs. Post-disaster processes are therefore increasingly becoming the paramount focus of disaster-management stakeholders. Current research has noted the importance of improving community resilience with respect to household capacity, organizational capacity, and social capital, as the three main assessment dimensions to enable communities to recover effectively and efficiently from future disaster events. Community resilience involves proactive preparedness and mitigation initiatives. In the context of the Kingdom of Saudi Arabia, the lack of either precedent research or functioning post-disaster recovery policies made the 2009 and 2011 flash floods in the City of Jeddah extremely serious natural disasters. The principal objective of the research conducted for this thesis was to evaluate the importance and implications of the role of the three main assessment dimensions as well as the effect of religious aspects that characterized Saudi society during and post-disaster with respect to improving flood resilience, speeding recovery, and minimizing the detrimental impact on vulnerable communities. In addition, the optimal utilization of social capital, efficient internal cohesion, and effective resource-sharing within and across any community groups to ensure their advance preparedness and contribution are also fundamental and critical factors that must be addressed if post-disaster recovery is to be sustainable and resilient. The research entailed a literature review, including an examination of the lessons learned from the 2009 and 2011 flash floods in the City of Jeddah. Drawing from the literature, an initial resilient post-disaster assessment framework (RPDR-AF) was developed. The field case study involved three sources of information: secondary data, interviews, and field observations. Interviewees included household members, government officials, community leaders, and participating NGOs and CBOs. The empirical analysis combined qualitative and quantitative techniques focusing on themes derived from the RPDR-AF. The results of the research indicate a strong correlation between the incorporation of all three assessment concepts and the successful planning of a long-term recovery strategy. The research also shows that religious practices and leaders can be strong motivators for the implementation of effective overall post-disaster responses and can also deliver significant spiritual, emotional, and psychological support for alleviating the trauma associated with the recovery process. Based on the empirical analysis of the research results, a refined framework was developed. In addition, general and strategic recommendations were outlined to improve disaster resilience for the City of Jeddah. The framework would be useful for local government, decision-makers, volunteer organizations, local citizens (e.g., for perceiving the relevant tasks during a flash flood and act quickly accordingly), and relevant major stakeholders related to disaster management and recovery. The model was built based on a hypothetical notion that it would suit the study area considering the religious affiliation of the local citizens. However, improvement might be extended considering geographical locations and different socio-economic circumstances. Future avenues of investigation include improving the implementation of recovery planning and management as well as enhancing the knowledge and efficiency associated with the restoration, reconstruction, and rehabilitation of the assets and areas affected. In conclusion, the developed framework will provide Saudi authorities with a strategic tool for assessing and improving flood resilience and recovery and for reducing the multiple effects of a natural disaster, while effectively facilitating an enhanced capacity for resilience in other at-risk Saudi communities