ABSTRACT. It is now generally accepted that the quality of the regulatory arrangements should be appraised not only by looking at the institutional design, but also by evaluating the factual enforcement and implementation of regulations. It is therefore advised that national governments take a more active stance in supervising the regulatory enforcement by different regulatory agencies. However, in some cases, government’s activism might be an impeding factor in regulatory enforcement. That this is not so crazy idea shows the analysis of the regulatory enforcement by Lithuanian Competition Authority in the area of competition policy during the years of integration to the European Union. For example, not only political and financial independence of the Competition Authority was difficult to establish, but also functions and competences of the regulatory agency were changed a number of times, which hampered the effectiveness of the agency’s performance while enforcing the competition law. In addition to often changes of functions, also the scope of competences was changing. As a result, the variety of tasks attributed to the Lithuanian Competition Authority caused the growing overload of work, which further hindered its regulatory practice. The question is who can be blamed for that? Was it just the inexperience of the government who was seeking for the best institutional design and could not stop with redesigning the regulatory agency or was it the intentional behaviour guided by some concrete interests as a result of a regulatory capture? The analysis of the regulatory enforcement during the period of 15 years does not allow for disregarding of the second possibility.
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The rise of financial technology (fintech) driven business models in banking poses a challenge for financial regulators. While the positive effects on the banking sector in terms of greater diversity and competition are generally recognized and encouraged by regulators, the nature of fintech business models may increase the risk of financial instability. Regulators are exploring ways to resolve this dilemma. The paper in hand makes a contribution to the literature by providing a framework for resolving the dilemma that is evaluated in the context of the regulatory response to the rise of fintech credit in the Netherlands. The semi-structured interviews which we conducted with four senior Dutch regulators resulted in three areas that–from their perspective–required urgent action: fintech credit companies need to lower the risk of overlending, increase pricing transparency, and improve lending standards. These findings were confirmed by the results of they survey among fintech credit clients. The current regulatory response to the rise of fintech in banking in the Netherlands provides an interesting case study that delineates the features of the future regulation of fintech in banking.
To facilitate energy transition, in several countries regulators have devised ‘regulatory sandboxes’ to create a participatory experimentation environment for exploring revision of energy law. These sandboxes allow for a two-way regulatory dialogue between an experimenter and an approachable regulator to innovate regulation and enable new socio-technical arrangements. However, these experiments do not take place in a vacuum but need to be formulated and implemented in a multi-actor, polycentric decision-making system through collaboration with the regulator but also energy sector incumbents such as the distribution system operator. We are, therefore, exploring new roles and power division changes in the energy sector as a result of such a regulatory sandbox. We research the Dutch Energy Experimentation Decree (EED) that invites homeowners’ associations and energy cooperatives to propose projects prohibited by extant regulation. In order to localize, democratize and decentralize energy provision, local experimenters can, for instance, organise peer-to-peer supply and determine their own tariffs for energy transport. Theoretically, we rely on Ostrom’s concept of polycentricity to study the dynamics between actors involved in and engaging with the participatory experiments. Empirically, we examine 4 approved EED experiments through interviews and document analysis. Our conclusions focus on the potential and limitations of bottom-up, participatory innovation in a polycentric system. The most important lessons are that a more holistic approach to experimentation, inter-actor alignment, providing more incentives, and expert and financial support would benefit bottom-up participatory innovation.
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De technische en economische levensduur van auto’s verschilt. Een goed onderhouden auto met dieselmotor uit het bouwjaar 2000 kan technisch perfect functioneren. De economische levensduur van diezelfde auto is echter beperkt bij introductie van strenge milieuzones. Bij de introductie en verplichtstelling van geavanceerde rijtaakondersteunende systemen (ADAS) zien we iets soortgelijks. Hoewel de auto technisch gezien goed functioneert kunnen verouderde software, algorithmes en sensoren leiden tot een beperkte levensduur van de gehele auto. Voorbeelden: - Jeep gehackt: verouderde veiligheidsprotocollen in de software en hardware beperkten de economische levensduur. - Actieve Cruise Control: sensoren/radars van verouderde systemen leiden tot beperkte functionaliteit en gebruikersacceptatie. - Tesla: bij bestaande auto’s worden verouderde sensoren uitgeschakeld waardoor functies uitvallen. In 2019 heeft de EU een verplichting opgelegd aan automobielfabrikanten om 20 nieuwe ADAS in te bouwen in nieuw te ontwikkelen auto’s, ongeacht prijsklasse. De mate waarin deze ADAS de economische levensduur van de auto beperkt is echter nog onvoldoende onderzocht. In deze KIEM wordt dit onderzocht en wordt tevens de parallel getrokken met de mobiele telefonie; beide maken gebruik van moderne sensoren en software. We vergelijken ontwerpeisen van telefoons (levensduur van gemiddeld 2,5 jaar) met de eisen aan moderne ADAS met dezelfde sensoren (levensduur tot 20 jaar). De centrale vraag luidt daarom: Wat is de mogelijke impact van veroudering van ADAS op de economische levensduur van voertuigen en welke lessen kunnen we leren uit de onderliggende ontwerpprincipes van ADAS en Smartphones? De vraag wordt beantwoord door (i) literatuuronderzoek naar de veroudering van ADAS (ii) Interviews met ontwerpers van ADAS, leveranciers van retro-fit systemen en ontwerpers van mobiele telefoons en (iii) vergelijkend rij-onderzoek naar het functioneren van ADAS in auto’s van verschillende leeftijd en prijsklassen.
Logistics represents around 10-11% of global CO2 emissions, around 75% of which come from road freight transport. ‘The European Green Deal’ is calling for drastic CO2 reduction in this sector. This requires advanced and very expensive technological innovations; i.e. re-design of vehicle units, hybridization of powertrains and automatic vehicle technology. Another promising way to reach these environmental ambitions, without excessive technological investments, is the deployment of SUPER ECO COMBI’s (SEC). SEC is the umbrella name for multiple permutations of 32 meter, 70 tons, road-train combinations that can carry the payload-equivalent of 2 normal tractor-semitrailer combinations and even 3 rigid trucks. To fully deploy a SEC into the transport system the compliance with the existing infrastructure network and safety needs to be guaranteed; i.e. to deploy a specific SEC we should be able to determine which SEC-permutation is most optimal on specific routes with respect to regulations (a.o. damage to the pavement/bridges), the dimensions of specific infrastructures (roundabouts, slopes) and safety. The complexity of a SEC compared to a regular truck (double articulation, length) means that traditional optimisation methods are not applicable. The aim of this project is therefore to develop a first methodology enabling the deployment of the optimal SEC permutation. This will help transport companies (KIEM: Ewals) and trailer manufactures (KIEM: Emons) to invest in the most suitable designs for future SEC use. Additionally the methodology will help governments to be able to admit specific SEC’s to specific routes. The knowledge gained in this project will be combined with the knowledge of the broader project ENVELOPE (NWA-IDG). This will be the start of broader research into an overall methodology of deploying optimal vehicle combinations and a new regulatory framework. The knowledge will be used in master courses on vehicle dynamics.
Within the food industry there is a need to be able to rapidly react to changing regulatory requirements and consumer preferences by adjusting recipes, processes, and products. A good knowledge of the properties of food ingredients is crucial in this process. Currently this knowledge is available in scattered heterogeneous resources such as scientific peer-reviewed articles, databases, recipes, food blogs as well as in the experience of food-experts. This prevents, in practice, the efficient integration and use of this knowledge, leading to inefficiency and missed opportunities. In this project we will build a structured database of properties of food ingredients, focusing in particular on the taste and texture properties. By large-scale collection and text mining on a large number of textual resources, a comprehensive data set on ingredient properties will be created, along with knowledge on the relationships between these ingredients. This database will then be used for to find new potential applications for healthy and taste enhancing ingredient combinations by network-based discovery methods and artificial intelligence algorithms will be used. A concrete focus will be on application questions formulated by the industrial partners. The resulting hypothesis will be validated in a real life setting at the premises of the industrial partners. The deliverables of this project will be: - A reusable open-access ingredient database that is accessible via a user-friendly web portal - A set of state-of-the-art mining algorithms that can address a wide variety of industry driven use cases - Novel product formulations that can be further developed for the consumer and business2business market
