The NOME Law: Implications for the French Electricity Market
The French law "Nouvelle Organisation du Marché de l'Electricité" makes available, at a regulated price, withdrawal rights to source low-cost electricity production from nuclear plants owned by the incumbent. Downstream market retailers benefit from such a measure, up to a given amount fixed by the law, to compete on a level playing field with the historical supplier. Our analysis assesses whether this production release programme is likely to result in a lower retail price. We show that whether pro-competitive effects arise depends not only on the amount of the preassigned capacity but also on the rules used to allocate it to retailers.
|Date of creation:||Apr 2013|
|Date of revision:|
|Publication status:||Published in Journal of Regulatory Economics, 2013, Vol. 43, no. 2. pp. 196-213.Length: 17 pages|
|Contact details of provider:|| Web page: http://www.dauphine.fr/en/welcome.html|
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