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Power utility re-regulation in East European and CIS transformation countries (1990 - 1999): An institutional interpretation

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  • von Hirschhausen, Christian R.
  • Opitz, Petra

Abstract

This paper analyzes the process of power utility re-regulation in Eastern Europe and the CIS during the decade of systemic transformation (1990-1999); in particular, it explores reasons why early attempts to introduce competition-oriented reform models have not succeeded. We discuss advantages and disadvantages of various reform models from an institutional economic perspective. The approaches to and results of power sector reform in Eastern Europe are assessed; quantitative indicators are wholesale and retail prices, cost coverage ratios, investment levels, and the degree of unbundling and privatization. The paper concludes that a gradual approach to reforms may have been appropriate for the first years of systemic transformation, but that today, ten years later, there is no reason to delay market-oriented reforms any longer.

Suggested Citation

  • von Hirschhausen, Christian R. & Opitz, Petra, 2001. "Power utility re-regulation in East European and CIS transformation countries (1990 - 1999): An institutional interpretation," Discussion Papers 2001/7, Technische Universität Berlin, School of Economics and Management.
    • Handle: RePEc:zbw:tubsem:20017
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    References listed on IDEAS

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    Cited by:

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    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. Zhang, Yinfang & Parker, David & Kirkpatrick, Colin, 2005. "Competition, regulation and privatisation of electricity generation in developing countries: does the sequencing of the reforms matter?," The Quarterly Review of Economics and Finance, Elsevier, vol. 45(2-3), pages 358-379, May.
    4. Janos Szlavik & Maria Csete, 2012. "Climate and Energy Policy in Hungary," Energies, MDPI, vol. 5(2), pages 1-24, February.
    5. Boute, Anatole, 2020. "Regulatory stability and renewable energy investment: The case of Kazakhstan," Renewable and Sustainable Energy Reviews, Elsevier, vol. 121(C).
    6. Nataliia Ostapenko, 2014. "Features Of Small Business Development In The Cis Countries: Does Institutional Environment Affect," Studies and Scientific Researches. Economics Edition, "Vasile Alecsandri" University of Bacau, Faculty of Economic Sciences, issue 19.

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