Competitive Mechanisms in Indian Power Sector

Gopal K. Sarangi and Arabinda Mishra
Additional contact information
Gopal K. Sarangi: Research Scholar TERI University, New Delhi, India gopal.sarangi@teri.res.in
Arabinda Mishra: Professor TERI University, New Delhi, India

Journal of Infrastructure Development, 2013, vol. 5, issue 2, 103-120

Abstract: With the enactment of Electricity Act 2003, competition in the Indian power sector received a new nomenclature and is considered instrumental in driving the sector in a sustainable trajectory. An exploratory analysis of the development of the electricity market is carried out to understand the finer nuances of emerging competitive paradigm of the sector, its critical aspects, evolving trends and patterns and future outlooks. The analysis reveals that competition, as it has evolved over last decade or so, manifests a growing trend of an efficient, liquid and complete market phenomenon. The article also identifies key anomalies and distortions inhibiting the seamless growth of competition in the Indian power sector. More action is required in certain directions, such as enhancing liquidity of the market, addressing transmission congestion problems and dealing with open access constraints, controlling market power, giving teeth to the electricity regulatory commissions and importantly, addressing political economy concerns. It concludes that in order to carry forward the momentum, a cautious approach needs to be adopted and necessary ancillary measures are to be undertaken.

Keywords: Reforms and regulation; competition; power sector; India (search for similar items in EconPapers)
JEL-codes: L94 (search for similar items in EconPapers)
Date: 2013
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://journals.sagepub.com/doi/10.1177/0974930614521273 (text/html)

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:sae:jouinf:v:5:y:2013:i:2:p:103-120

DOI: 10.1177/0974930614521273

Access Statistics for this article

More articles in Journal of Infrastructure Development from India Development Foundation
Bibliographic data for series maintained by SAGE Publications ().