Discussion on the deregulation of electricity markets
June 6th, 2010The past two decades have witnessed efforts throughout the world to deregulate electricity markets. The world´s main economies have carried out schemes to put in place efficient and competitive wholesale markets for electricity within the framework of globalization and liberalization. Yet the physical peculiarities of electricity make it a rather complex commodity, and frequent inefficiencies and position abuses by major market players have clearly established that completely free electricity markets are simply not possible. Electricity deregulation instead requires careful monitoring by ad hoc authorities and, rather paradoxically, a whole new regulatory framework.
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