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Competition in electricity distribution

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  • Saplacan, Roxana

Abstract

The traditional view of electricity distribution is that it is a natural monopoly. Few authors have explored the question as to whether electricity distributors truly are natural monopolies or not, while observation of the current industrial practice tends to suggest that a "market" for distribution activities does actually exist. This is a paradox for a natural monopoly. Our explanation is that monopoly characteristics well characterise the network infrastructure, but not the network operation service.

Suggested Citation

  • Saplacan, Roxana, 2008. "Competition in electricity distribution," Utilities Policy, Elsevier, vol. 16(4), pages 231-237, December.
  • Handle: RePEc:eee:juipol:v:16:y:2008:i:4:p:231-237
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    References listed on IDEAS

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    Cited by:

    1. Del Bo, Chiara F., 2013. "FDI spillovers at different levels of industrial and spatial aggregation: Evidence from the electricity sector," Energy Policy, Elsevier, vol. 61(C), pages 1490-1502.
    2. Shaw, Rita & Attree, Mike & Jackson, Tim, 2010. "Developing electricity distribution networks and their regulation to support sustainable energy," Energy Policy, Elsevier, vol. 38(10), pages 5927-5937, October.
    3. Ohler, Adrienne M., 2014. "Behavior of the firm under rate-of-return regulation with two capital inputs," The Quarterly Review of Economics and Finance, Elsevier, vol. 54(1), pages 61-69.
    4. J-M- Glachant & H. Khalfallah & Y. Perez & V. Rious & M. Saguan, 2013. "Implementing Incentive Regulation and Regulatory Alignment with Resource Bounded Regulators," Competition and Regulation in Network Industries, Intersentia, vol. 14(3), pages 265-291, September.
    5. Tahvanainen, Kaisa & Honkapuro, Samuli & Partanen, Jarmo & Viljainen, Satu, 2012. "Experiences of modern rate of return regulation in Finland," Utilities Policy, Elsevier, vol. 21(C), pages 32-39.
    6. Jamasb, T. & Nepal, R., 2012. "Security of the European Electricity Systems: Conceptualizing the Assessment Criteria and Core Indicators," Cambridge Working Papers in Economics 1251, Faculty of Economics, University of Cambridge.

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