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Electricity reform in Romania

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  • Diaconu, Oana
  • Oprescu, Gheorghe
  • Pittman, Russell

Abstract

Romania is a net exporter of electricity to the SE Europe region. Its performance of this role will increase in importance with (a) the completion of another nuclear generator and (b) improvement in capacity for international transmission. Romania has committed itself to an electricity restructuring plan that includes vertical separation, but plans remain uncertain regarding the horizontal restructuring of generation. Among the more important issues yet to be decided are (a) how hydro capacity will be allocated - it has more than 1/4 of capacity and enjoys low costs - and (b) how many thermal generation enterprises will be created, and with what assets. With more than 1/2 of the thermal capacity accounted for by CHP plants and with a winter demand peak for the foreseeable future, there is a real danger of inflexibility and a lack of competitiveness in a liberalized wholesale electricity market.

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Bibliographic Info

Article provided by Elsevier in its journal Utilities Policy.

Volume (Year): 17 (2009)
Issue (Month): 1 (March)
Pages: 114-124

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Handle: RePEc:eee:juipol:v:17:y:2009:i:1:p:114-124

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Web page: http://www.elsevier.com/locate/inca/30478

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Keywords: Electricity Restructuring Competition Romania;

References

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  1. Hogan, William W, 2002. "Electricity Market Restructuring: Reforms of Reforms," Journal of Regulatory Economics, Springer, vol. 21(1), pages 103-32, January.
  2. Russell Pittman, 2003. "Vertical Restructuring (or Not) of the Infrastructure Sectors of Transition Economies," Journal of Industry, Competition and Trade, Springer, vol. 3(1), pages 5-26, March.
  3. Severin Borenstein & James Bushnell, 1998. "An Empirical Analysis of the Potential for Market Power in California's Electricity Industry," NBER Working Papers 6463, National Bureau of Economic Research, Inc.
  4. Scott Atkinson & Claudia HalabĂ­, 2005. "Economic Efficiency and Productivity Growth in the Post-Privatization Chilean Hydroelectric Industry," Journal of Productivity Analysis, Springer, vol. 23(2), pages 245-273, 05.
  5. Newbery, David M., 2004. "Regulation and competition policy: longer-term boundaries," Utilities Policy, Elsevier, vol. 12(2), pages 93-95, June.
  6. Carl Blumstein & Lee Friedman & Richard Green, 2002. "The History of Electricity Restructuring in California," Journal of Industry, Competition and Trade, Springer, vol. 2(1), pages 9-38, June.
  7. Pittman, Russell, 2007. "Restructuring the Russian electricity sector: Re-creating California?," Energy Policy, Elsevier, vol. 35(3), pages 1872-1883, March.
  8. Paul L. Joskow, 2001. "California's Electricity Crisis," NBER Working Papers 8442, National Bureau of Economic Research, Inc.
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Citations

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Cited by:
  1. Erdogdu, Erkan, 2010. "Electricity Market Reform: Lessons for developing countries," MPRA Paper 27317, University Library of Munich, Germany.
  2. Erdogdu, Erkan, 2013. "Essays on Electricity Market Reforms: A Cross-Country Applied Approach," MPRA Paper 47139, University Library of Munich, Germany.
  3. Bianco, Vincenzo & Manca, Oronzio & Nardini, Sergio & Minea, Alina A., 2010. "Analysis and forecasting of nonresidential electricity consumption in Romania," Applied Energy, Elsevier, vol. 87(11), pages 3584-3590, November.
  4. Haar, Laura N. & Marinescu, Nicolae, 2011. "Energy policy and European utilities' strategy: Lessons from the liberalisation and privatisation of the energy sector in Romania," Energy Policy, Elsevier, vol. 39(5), pages 2245-2255, May.

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