IDEAS home Printed from https://ideas.repec.org/p/hal/wpaper/halshs-00960681.html
   My bibliography  Save this paper

Opening the upstream oil industry to private companies

Author

Listed:
  • Sylvain Rossiaud

    () (équipe EDDEN - Pacte, Laboratoire de sciences sociales - UPMF - Université Pierre Mendès France - Grenoble 2 - UJF - Université Joseph Fourier - Grenoble 1 - IEPG - Sciences Po Grenoble - Institut d'études politiques de Grenoble - CNRS - Centre National de la Recherche Scientifique - UGA - Université Grenoble Alpes)

Abstract

Oil nationalism cycle reflects the difficulties encountered by oil states, international oil companies (IOCs) and national oil companies (NOCs) in establishing order over and above the conflicts in upstream oil transaction. By drawing on transaction cost theory, this article identifies the coordination problems and contractual hazards resulting from transaction and contributes to a better understanding of the different roles of an NOC in the governance of transaction. An NOC can complement or replace coordination through contractual arrangements. We therefore propose and discuss the hypothesis that the functional effectiveness of an oil governance structure depends on the consistency between the role of the NOC in this structure and the state's capacity to ensure effective regulation through contracts.

Suggested Citation

  • Sylvain Rossiaud, 2014. "Opening the upstream oil industry to private companies," Working Papers halshs-00960681, HAL.
  • Handle: RePEc:hal:wpaper:halshs-00960681
    Note: View the original document on HAL open archive server: https://halshs.archives-ouvertes.fr/halshs-00960681
    as

    Download full text from publisher

    File URL: https://halshs.archives-ouvertes.fr/halshs-00960681/document
    Download Restriction: no

    References listed on IDEAS

    as
    1. Bajari, Patrick & Tadelis, Steven, 2001. "Incentives versus Transaction Costs: A Theory of Procurement Contracts," RAND Journal of Economics, The RAND Corporation, vol. 32(3), pages 387-407, Autumn.
    2. Sergei Guriev & Anton Kolotilin & Konstantin Sonin, 2011. "Determinants of Nationalization in the Oil Sector: A Theory and Evidence from Panel Data," Journal of Law, Economics, and Organization, Oxford University Press, vol. 27(2), pages 301-323.
    3. Oliver E. Williamson, 2010. "Transaction Cost Economics: The Natural Progression," American Economic Review, American Economic Association, vol. 100(3), pages 673-690, June.
    4. Spiller, Pablo T., 2013. "Transaction cost regulation," Journal of Economic Behavior & Organization, Elsevier, vol. 89(C), pages 232-242.
    5. repec:hrv:faseco:30728046 is not listed on IDEAS
    6. repec:dau:papers:123456789/12342 is not listed on IDEAS
    7. Edella Schlager & Elinor Ostrom, 1992. "Property-Rights Regimes and Natural Resources: A Conceptual Analysis," Land Economics, University of Wisconsin Press, vol. 68(3), pages 249-262.
    8. Oliver E. Williamson, 2005. "The Economics of Governance," American Economic Review, American Economic Association, vol. 95(2), pages 1-18, May.
    9. Heaps, Terry & Helliwell, John F., 1985. "The taxation of natural resources," Handbook of Public Economics,in: A. J. Auerbach & M. Feldstein (ed.), Handbook of Public Economics, edition 1, volume 1, chapter 8, pages 421-472 Elsevier.
    10. Abdo, Hafez, 2010. "The taxation of UK oil and gas production: Why the windfalls got away," Energy Policy, Elsevier, vol. 38(10), pages 5625-5635, October.
    11. Sylvain Chassang, 2010. "Building Routines: Learning, Cooperation, and the Dynamics of Incomplete Relational Contracts," American Economic Review, American Economic Association, vol. 100(1), pages 448-465, March.
    12. Robert Mabro, 2008. "On the security of oil supplies, oil weapons, oil nationalism and all that," OPEC Energy Review, Organization of the Petroleum Exporting Countries, vol. 32(1), pages 1-12, March.
    13. Robert Gibbons, 2010. "Transaction-Cost Economics: Past, Present, and Future?," Scandinavian Journal of Economics, Wiley Blackwell, vol. 112(2), pages 263-288, June.
    14. Oliver E. Williamson, 2000. "The New Institutional Economics: Taking Stock, Looking Ahead," Journal of Economic Literature, American Economic Association, vol. 38(3), pages 595-613, September.
    15. Shleifer, Andrei & Vishny, Robert W, 1997. " A Survey of Corporate Governance," Journal of Finance, American Finance Association, vol. 52(2), pages 737-783, June.
    16. Barzel,Yoram, 1997. "Economic Analysis of Property Rights," Cambridge Books, Cambridge University Press, number 9780521597135.
    17. Douglass C. North, 2005. "Introduction to Understanding the Process of Economic Change," Introductory Chapters,in: Understanding the Process of Economic Change Princeton University Press.
    18. Toft, Peter & Duero, Arash, 2011. "Reliable in the long run? Petroleum policy and long-term oil supplier reliability," Energy Policy, Elsevier, vol. 39(10), pages 6583-6594, October.
    19. Garnaut, Ross & Clunies Ross, Anthony, 1975. "Uncertainty, Risk Aversion and the Taxing of Natural Resource Projects," Economic Journal, Royal Economic Society, vol. 85(338), pages 272-287, June.
    20. repec:mes:jeciss:v:30:y:1996:i:4:p:1212-1216 is not listed on IDEAS
    21. Furubotn, Eirik G & Pejovich, Svetozar, 1972. "Property Rights and Economic Theory: A Survey of Recent Literature," Journal of Economic Literature, American Economic Association, vol. 10(4), pages 1137-1162, December.
    22. Hernandez-Perez, Adriana, 2011. "Economics of oil regulation and the Brazilian reform: Some issues," Energy Policy, Elsevier, vol. 39(1), pages 57-65, January.
    23. Besley, Timothy, 1995. "Property Rights and Investment Incentives: Theory and Evidence from Ghana," Journal of Political Economy, University of Chicago Press, vol. 103(5), pages 903-937, October.
    24. Avery W. Katz, 2008. "Contractual Enforcement Institutions and the Structure of Information," Journal of Institutional and Theoretical Economics (JITE), Mohr Siebeck, Tübingen, vol. 164(1), pages 134-154, March.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Transaction Costs; Regulation; Oil Governance Structure; National Oil Companies;

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:hal:wpaper:halshs-00960681. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (CCSD). General contact details of provider: https://hal.archives-ouvertes.fr/ .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.