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The Law NOME: Some Implications for the French Electricity Markets

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  • Pouyet, Jérôme
  • Sanin, Maria Eugenia
  • Creti, Anna
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    Abstract

    The French law `Nouvelle Organisation du March e de l'Electricit e' makes available, at a regulated price, withdrawal rights to source low-cost electricity production from nuclear plants owned by the incumbent. Downstream market retailers bene t from such a measure, up to a given amount xed by the law, to compete on a level playing eld with the historical supplier. Our analysis assesses whether this production release pro- gramme is likely to result in a lower retail price. We show that whether pro-competitive e ects arise depends not only on the amount of the preassigned capacity but also on the rules used to allocate it to retailers.

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    File URL: http://basepub.dauphine.fr/xmlui/bitstream/123456789/12068/1/docweb1102.pdf
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    Bibliographic Info

    Paper provided by Paris Dauphine University in its series Economics Papers from University Paris Dauphine with number 123456789/12068.

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    Date of creation: Apr 2013
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    Publication status: Published in Journal of Regulatory Economics, 2013, Vol. 43, no. 2. pp. 196-213.Length: 17 pages
    Handle: RePEc:dau:papers:123456789/12068

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    Related research

    Keywords: Nome law; Retail competition; Electricity markets; France;

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    References

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    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. Weigt, Hannes & Neumann, Anne & von Hirschhausen, Christian, 2009. "Divestitures in the Electricity Sector: Conceptual Issues and Lessons from International Experiences," The Electricity Journal, Elsevier, vol. 22(3), pages 57-69, April.
    3. Defeuilley, Christophe, 2009. "Retail competition in electricity markets," Energy Policy, Elsevier, vol. 37(2), pages 377-386, February.
    4. Dixit, Avinash K, 1986. "Comparative Statics for Oligopoly," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 27(1), pages 107-22, February.
    5. Mansur, Erin T, 2007. "Upstream Competition and Vertical Integration in Electricity Markets," Journal of Law and Economics, University of Chicago Press, vol. 50(1), pages 125-56, February.
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    Cited by:
    1. Silvia Concettini & Anna Créti, 2013. "Liberalization of electricity retailing in Europe: coming back or going forth?," Working Papers hal-00915924, HAL.

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