Unbundling in Electricity Distribution Networks

Rahmatallah Poudineh (), Christine Brandstätt () and Farhad Billimoria ()
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Rahmatallah Poudineh: Oxford Institute for Energy Studies
Christine Brandstätt: Oxford Institute for Energy Studies
Farhad Billimoria: Oxford Institute for Energy Studies

Chapter Chapter 8 in Electricity Distribution Networks in the Decentralisation Era, 2022, pp 101-115 from Springer

Abstract: Abstract The liberalisation of the electricity sector has resulted in structural changes to the industry, one of the most important of which was the separation of network-related businesses from competitive functions such as generation and retail supply. The main motivation for unbundling of electricity supply chain was to encourage competition, prevent cross subsidies between regulated and non-regulated activities, and encourage focused managerial effort among network companies to improve their cost efficiency and their quality of network service. Although these points are well established for transmission networks, the issue at the distribution network level is not straightforward due to its complexity. Thus, unbundling of distribution networks can take a different path although useful lessons can be drawn from experiences at the bulk power system.

Keywords: Ownership unbundling; Legal unbundling; Independent system operator; Competition and coordination (search for similar items in EconPapers)
Date: 2022
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Persistent link: https://EconPapers.repec.org/RePEc:spr:sprchp:978-3-030-98069-6_8

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DOI: 10.1007/978-3-030-98069-6_8

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