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Equal access to the energy infrastructure as a precondition to promote competition in the energy market. The case of European Union

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  • Nowak, Bartlomiej

Abstract

In many EU countries, the infrastructures for supplying electricity and gas (electricity networks, gas pipelines, and storage facilities) are still properties of the so-called vertically integrated undertakings (VIU) responsible for the extraction or generation, supply, and transmission and distribution of the energy. While competition can be promoted in the generation/production and supply side of the vertical integration, transmission and distribution segments remain natural monopolies that hinder market mechanisms. Vertical integration simply raises the possibility for incumbents to favor their own divisions and to block new entrants. As a result, non-discriminatory and equal access to the electricity and gas transmission and distribution networks, also LNG and storage facilities, is crucial to foster competition in politically delicate structures of the electricity and gas markets.

Suggested Citation

  • Nowak, Bartlomiej, 2010. "Equal access to the energy infrastructure as a precondition to promote competition in the energy market. The case of European Union," Energy Policy, Elsevier, vol. 38(7), pages 3691-3700, July.
    • Handle: RePEc:eee:enepol:v:38:y:2010:i:7:p:3691-3700
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    References listed on IDEAS

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    2. Tsatsos, Aristidis, 2012. "Die Liberalisierung des russischen Gassektors: 3 Szenarios? [The liberalisation of the Russian gas sector: 3 scenarios?]," MPRA Paper 44623, University Library of Munich, Germany.
    3. Halkos, George, 2020. "Examining the level of competition in the energy sector," MPRA Paper 98343, University Library of Munich, Germany.
    4. Wainer, A. & Petrovics, D. & van der Grijp, N., 2022. "The grid access of energy communities a comparison of power grid governance in France and Germany," Energy Policy, Elsevier, vol. 170(C).
    5. Bai, Wuliyasu & Zhang, Long & Lu, Shengfang & Ren, Jingzheng & Zhou, Zhiqiao, 2023. "Sustainable energy transition in Southeast Asia: Energy status analysis, comprehensive evaluation and influential factor identification," Energy, Elsevier, vol. 284(C).
    6. Suleman, Shafic, 2020. "Natural Gas Industry Restructuring for Value Optimisation: A Case Study of Ghana," MPRA Paper 99155, University Library of Munich, Germany.
    7. Tsatsos, Aristidis, 2011. "Gazprom und der russische Gassektor − Zwischen Integration und Entflechtung [Gazprom and the Russian gas sector − Between Integration and Separation]," MPRA Paper 98606, University Library of Munich, Germany, revised 07 Jan 2011.

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