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Competition in Retail Electricity Supply

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  • Littlechild Stephen C.

    (University of Birmingham, University of Cambridge & George Mason University)

Abstract

This paper presents an analysis and defense of competition in retail electricity supply. It includes some account of its development in the UK over the last dozen years, to the point where all retail price controls have now been removed. The development of this competition illustrates a number of the themes in Israel M. Kirzner’s writing – for example, the nature of competition as a process over time, the entrepreneurial and learning nature of this process, the role of marketing in alerting customers, the role of competition in establishing price and in discovering the services and suppliers that customers prefer, and the advantages of competition over regulation.Cet article propose une analyse et une défense de la concurrence de l’offre de détail d’électricité. Il comporte quelques résultats de son évolution au Royaume-Uni durant les douze dernières années, jusqu’au moment où tous les contrôles de prix au détail ont été abolis. L’évolution de cette concurrence illustre quelquesuns des thèmes des écrits d’Israel Kirzner — par exemple, la nature de la concurrence en tant que processus à travers le temps, la nature entrepreneuriale et cognitive de ce processus, le rôle du marketing dans l’information des consommateurs, le rôle de la concurrence dans la fixation des prix et dans la découverte des services et des offreurs que les consommateurs préfèrent, et les avantages de la concurrence par rapport la réglementation.

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Bibliographic Info

Article provided by De Gruyter in its journal Journal des Economistes et des Etudes Humaines.

Volume (Year): 12 (2002)
Issue (Month): 2 (June)
Pages: 1-26

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Handle: RePEc:bpj:jeehcn:v:12:y:2002:i:2:n:12

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References

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  1. Littlechild, Stephen C, 2003. "Wholesale Spot Price Pass-Through," Journal of Regulatory Economics, Springer, vol. 23(1), pages 61-91, January.
  2. Richard Green & Tanga McDaniel, 1998. "Competition in electricity supply: will ‘1998’ Be worth it?," Fiscal Studies, Institute for Fiscal Studies, vol. 19(3), pages 273-293, August.
  3. Goulding, A. J. & Rufin, Carlos & Swinand, Gregory, 1999. "The Role of Vibrant Retail Electricity Markets in Assuring that Wholesale Power Markets Operate Effectively," The Electricity Journal, Elsevier, vol. 12(10), pages 61-73, December.
  4. Paul L. Joskow, 2001. "California's Electricity Crisis," Oxford Review of Economic Policy, Oxford University Press, vol. 17(3), pages 365-388.
  5. SC Littlechild, 2001. "Ludwig Lachmann Memorial Lecture," South African Journal of Economics, Economic Society of South Africa, vol. 69(4), pages 583-613, December.
  6. Fortin, Pierre & Keil, Manfred & Symons, James, 2001. "The Sources of Unemployment in Canada, 1967-91: Evidence from a Panel of Regions and Demographic Groups," Oxford Economic Papers, Oxford University Press, vol. 53(1), pages 67-93, January.
  7. Watts, Price C., 2001. "Heresy? The Case Against Deregulation of Electricity Generation," The Electricity Journal, Elsevier, vol. 14(4), pages 19-24, May.
  8. Littlechild, S.C., 2000. "Why We Need Electricity Retailers: A Reply to Joskow on Wholesale Spot Price pass-through," Cambridge Working Papers in Economics 0008, Faculty of Economics, University of Cambridge.
  9. Demsetz, Harold, 1969. "Information and Efficiency: Another Viewpoint," Journal of Law and Economics, University of Chicago Press, vol. 12(1), pages 1-22, April.
  10. Stephen C. Littlechild, 2001. "Competition And Regulation In The U.K. Electricity Industry (With A Brief Look At California)," Journal of Applied Corporate Finance, Morgan Stanley, vol. 13(4), pages 21-38.
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Cited by:
  1. Nils-Henrik M. von der Fehr & Petter Vegard Hansen, 2010. "Electricity Retailing in Norway," The Energy Journal, International Association for Energy Economics, vol. 0(Number 1), pages 25-46.
  2. Yuanjing Li, 2014. "Vertical Structure and Forward Contract in Electricity Market," Working Papers 2014-117, Department of Research, Ipag Business School.
  3. Defeuilley, Christophe, 2009. "Retail competition in electricity markets," Energy Policy, Elsevier, vol. 37(2), pages 377-386, February.
  4. Danias, Nikolaos & Kim Swales, John & McGregor, Peter, 2013. "The Greek Electricity Market Reforms: Political and Regulatory Considerations," Energy Policy, Elsevier, vol. 62(C), pages 1040-1047.
  5. Littlechild, S., 2005. "Competition and contracts in the Nordic Residential Electricity Markets," Cambridge Working Papers in Economics 0550, Faculty of Economics, University of Cambridge.
  6. Galetovic, Alexander & Muñoz, Cristián M., 2011. "Regulated electricity retailing in Chile," Energy Policy, Elsevier, vol. 39(10), pages 6453-6465, October.

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