Changes of industry structure in the liberalized environment of electric power industry: world experience
Keywords:
changes, industry structure, liberalization of the power industry, industry regulation, regulatorAbstract
Liberalization of the electric-power market is not an event, but a long process based (for the need to improve and attract a steady stream of investment) on a strong and sustained political support, thorough preparation and continuous development. The paper examines an experience of countries that were pioneers in conducting a structural change in the electric-power industry and as the result got real economic benefits and identified key success factors in the process of transition to a liberalized power market. In a competitive environment assets existing in the electric-power industry are used most effectively and it brings the real long-term benefits to the consumers. Liberalization in order to create competition requires constant readiness of the government to solve problems associated with the termination of vested interests and cross-subsidization. The system of industry regulation is aimed at ensuring non-discriminatory and "transparency" for participants of liberalized markets and plays a special role in such a market. The tasks of reforming the energy-power markets in different countries being solved by them with their own methodsReferences
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