Regulation of Network Utilities

Propelled by deep technical, economic, and cultural changes, network utilities have, since the 1980s, entered a new era. Since competition has been widely introduced and promoted, we have experienced a radical change in the structure of the industries and the role of the state authorities. Their role in managing monopolies has evolved into regulating new forms of markets, which has resulted in the creation of independent regulatory authorities. These new public bodies work with governments to try and reconcile the needs of competition and public service missions. This suggests the use of recent developments in economic theory to handle complex problems This volume offers an exploration by scholars and regulators of the new regulatory regimes across Europe. The first part presents the pioneering experiences of the United Kingdom and Sweden. The United Kingdom has quickly chosen to establish powerful and independent individual regulators. Reforms in Sweden have been more gradual and regulators have, in the first instance, acted mainly as mediators. Part two is devoted to second wave developments that took place in various European countries.

This book provides a wealth of information and argumentation. No economist with an interest in utility regulation should neglect to read it, The real value of this book is the light it casts on the different approaches to privatisation and liberalisation of network utilities within Europe

Claude Henry is Director of Research, CNRS and Ecole polytechnique, Paris.Michel Matheu is head of the Energy, Environment, Agriculture and Services department, Commissariat général du Plan, Paris.Alain Jeunemaitre is Director of Research, Nuffield College, Oxford and the Maison Française d'Oxford.