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Electricity Liberalisation in the European Union: A Progress Report

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  • Pollitt, M.G.

Abstract

It is around 5 years since my colleague, Tooraj Jamasb, and I reviewed the EU’s progress with electricity reform (Jamasb and Pollitt, 2005). At that time many countries were still struggling to implement elements of the EU wide policy on electricity sector liberalisation that they had signed up to. In this short update paper we review the latest evidence on progress with electricity liberalisation in the EU. We begin with a short review of the legislative background. We continue with a look at the evolution of markets and trading in electricity across the EU. Next we outline progress with the key reform elements and their impact on market structure issues within the EU. We look at the performance of the whole sector and company level performance. We proceed to discuss progress in reducing emissions and promoting renewables. In closing we note recent developments in electricity reform.

Suggested Citation

  • Pollitt, M.G., 2009. "Electricity Liberalisation in the European Union: A Progress Report," Cambridge Working Papers in Economics 0953, Faculty of Economics, University of Cambridge.
    • Handle: RePEc:cam:camdae:0953
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    Keywords

    Single European Electricity Market; Electricity Directive;

    JEL classification:

    • L11 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Production, Pricing, and Market Structure; Size Distribution of Firms
    • L22 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Organization and Market Structure
    • L - Industrial Organization
    • Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy

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