How Much Cost Plus is in German Network Charges

C. Müller and H. Weight

Competition and Regulation in Network Industries, 2006, vol. 7, issue 1, 49-63

Abstract: The 1998 Energy Act liberalised the German Electricity Supply Industry. Unlike all other EU Member states, Germany opted for negotiated network access, which was manifested in the so called Verbändevereinbarungen. According to these rules, German network charges should be cost plus calculated and subject to ex post control by the Cartel Office, which is hardly enforced in practice. In the paper three basic tests are applied to find out whether German network charges follow a cost plus principle or whether strategic concerns of incumbents dominate the network charge calculation. Although the results are not unambiguous, it seems that ‘‘cost plus’’ is only a label and not the true nature of German network charges.

Date: 2006
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:sen:journl:v:7:i:1:y:2006:p:49-63

Access Statistics for this article

Competition and Regulation in Network Industries is currently edited by Hans Kluwer

More articles in Competition and Regulation in Network Industries from Intersentia
Bibliographic data for series maintained by Petra Van den Bempt ( this e-mail address is bad, please contact ).