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Power market reforms and privatization of the electricity industry in the Iranian energy sector; an uphill struggle?

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  • Nasrollahi Shahri, Nima

Abstract

Following the successful experience of some developed counties in Power market restructuring and reforms, many developing countries have followed suit. Iran has for the last thirty years, since its Islamic revolution of 1979, had an economy dominated by the state, but has been pushed to take some legal steps towards private participation in the electricity sector so as to meet the rapidly rising electricity demand. This paper aims to appraise the stressfulness of Power market restructuring and privatization of electricity industry in Iran. A few years from the commencement of the reforms, the program can be assessed as realistically successful. However, there are plentiful challenges which need to be addressed through legislation. In this study, challenges to competition and Pitfalls of the reforms in the Iranian restructured electricity market will be reviewed. as well as this, a number of recommendations will be offered.

Suggested Citation

  • Nasrollahi Shahri, Nima, 2011. "Power market reforms and privatization of the electricity industry in the Iranian energy sector; an uphill struggle?," MPRA Paper 28047, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:28047
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    References listed on IDEAS

    as
    1. Yin-Fang Zhang & David Parker & Colin Kirkpatrick, 2008. "Electricity sector reform in developing countries: an econometric assessment of the effects of privatization, competition and regulation," Journal of Regulatory Economics, Springer, vol. 33(2), pages 159-178, April.
    2. 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.
    3. Enrico Perotti & Bernardo Bortolotti, 2005. "From Government to Regulatory Governance: Privatization and the Residual Role of the State," Working Papers 2005.151, Fondazione Eni Enrico Mattei.
    4. Nagayama, Hiroaki, 2007. "Effects of regulatory reforms in the electricity supply industry on electricity prices in developing countries," Energy Policy, Elsevier, vol. 35(6), pages 3440-3462, June.
    5. Newbery, David M., 2004. "Regulation and competition policy: longer-term boundaries," Utilities Policy, Elsevier, vol. 12(2), pages 93-95, June.
    6. Haas, R. & Auer, H., 2006. "The prerequisites for effective competition in restructured wholesale electricity markets," Energy, Elsevier, vol. 31(6), pages 857-864.
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    Cited by:

    1. Yucekaya, Ahmet, 2013. "Bidding of price taker power generators in the deregulated Turkish power market," Renewable and Sustainable Energy Reviews, Elsevier, vol. 22(C), pages 506-514.

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    More about this item

    Keywords

    Power market restructuring; privatization; Islamic Republic of Iran;
    All these keywords.

    JEL classification:

    • N70 - Economic History - - Economic History: Transport, International and Domestic Trade, Energy, and Other Services - - - General, International, or Comparative
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • Q4 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy

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