The Regulatory Implications of Mobile and Financial Services Convergence

The long awaited integration of mobile telephone and retail financial services is beginning to emerge in developing markets. To enhance the potential benefits from innovations in this domain, governments need to make complementary adjustments to domestic banking regulation and strengthen frameworks for international cooperation. In particular, as a highly regulated activity, deposit taking is insufficiently contestable for mobile operators to break into the market with enough independence from incumbent banks to stimulate valuable competition and innovation in payment networks. The success of mobile banking will also depend on the willingness and capacity of regulators to accommodate increasing international trade in retail financial services, new forms of distribution and customer due diligence rules that are more appropriate to less traditional markets. The paper provides an analysis of the relation between existing regulatory frameworks and the rise of mobile banking. And it outlines policy changes that governments should pursue in order to foster this form of innovation and target the benefits that it can bring, especially to consumers on the margins or excluded from modern financial services.Technology and Industry

Comparing accounting designs for sustainability govenance

A draft proposal for a capital-based framework of sustainable development indicators applicable to all countries, and at all levels of public administration within them, is under consideration by an expert working group convened under the auspices of the UNECE Conference of European Statisticians. Harmonising underlying accounting and information systems should facilitate widespread adoption of a small, universal set of indicators. If implemented, the proposal's communication design could contribute to the vertical and horizontal policy integration essential for effective sustainability governance. Implementing a design that shifts some distance from existing conditions of institutional diversity and autonomy throughout at least a million provincial and local government units is, however, a significant risk. This research-in-progress report identifies one recent case study, and one current, with Australian local authorities. Integrated assessments of change over time in a local community's natural, produced, and human capital stocks have been demonstrated in one case, and of change in a local community's governance capital and social capital in another. Results demonstrate that a common understanding on how assets are distributed over time and space can be achieved without the radical, top-down innovations under consideration through UNECE auspices. The combination of tools and methods used in the case studies also yields significant insights into some of the complexities of wicked policy problems. Clarifying the meaning of 'community engagement' or 'public participation' is advanced in one case study through a relatively new development in social network analysisInternational Research Society for Public Management (IRSPM); Third Sector Study Group of European Group for Public Administration (EGPA

Scenarios for the development of smart grids in the UK: literature review

Smart grids are expected to play a central role in any transition to a low-carbon energy future, and much research is currently underway on practically every area of smart grids. However, it is evident that even basic aspects such as theoretical and operational definitions, are yet to be agreed upon and be clearly defined. Some aspects (efficient management of supply, including intermittent supply, two-way communication between the producer and user of electricity, use of IT technology to respond to and manage demand, and ensuring safe and secure electricity distribution) are more commonly accepted than others (such as smart meters) in defining what comprises a smart grid. It is clear that smart grid developments enjoy political and financial support both at UK and EU levels, and from the majority of related industries. The reasons for this vary and include the hope that smart grids will facilitate the achievement of carbon reduction targets, create new employment opportunities, and reduce costs relevant to energy generation (fewer power stations) and distribution (fewer losses and better stability). However, smart grid development depends on additional factors, beyond the energy industry. These relate to issues of public acceptability of relevant technologies and associated risks (e.g. data safety, privacy, cyber security), pricing, competition, and regulation; implying the involvement of a wide range of players such as the industry, regulators and consumers. The above constitute a complex set of variables and actors, and interactions between them. In order to best explore ways of possible deployment of smart grids, the use of scenarios is most adequate, as they can incorporate several parameters and variables into a coherent storyline. Scenarios have been previously used in the context of smart grids, but have traditionally focused on factors such as economic growth or policy evolution. Important additional socio-technical aspects of smart grids emerge from the literature review in this report and therefore need to be incorporated in our scenarios. These can be grouped into four (interlinked) main categories: supply side aspects, demand side aspects, policy and regulation, and technical aspects.

A Graphical Adversarial Risk Analysis Model for Oil and Gas Drilling Cybersecurity

Oil and gas drilling is based, increasingly, on operational technology, whose cybersecurity is complicated by several challenges. We propose a graphical model for cybersecurity risk assessment based on Adversarial Risk Analysis to face those challenges. We also provide an example of the model in the context of an offshore drilling rig. The proposed model provides a more formal and comprehensive analysis of risks, still using the standard business language based on decisions, risks, and value.Comment: In Proceedings GraMSec 2014, arXiv:1404.163