Regulation of transmission expansion in Argentina Part II: Developments since the Fourth Line

Stephen Littlechild and Carlos J Skerk

Cambridge Working Papers in Economics from Faculty of Economics, University of Cambridge

Abstract: Argentina’s 1992 transmission expansion policy was subsequently modified by, for example, including provision for transmission companies and proposing quality and substation expansions. There have been several such expansions, and no lack of investment in quality and reliability of supply. In 1999, reflecting a decision to give greater weight to political considerations, a Federal Transmission Plan was introduced to build lines designated by the federal and provincial governments. The original reform led to less investment in major transmission lines but more intensive use of existing lines. Competition to construct expansions developed, leading to lower construction costs. Thus the Argentine transmission expansion mechanism was a considerable success in terms of meeting the requirements of users efficiently. This experience suggests that involving users in the regulation of monopoly networks is feasible, and the scope for it may be greater than generally appreciated. However, the reconciliation of economic and political considerations needs further consideration.

Keywords: Argentina; electricity; transmission; regulation (search for similar items in EconPapers)
JEL-codes: L33 L51 L94 L98 (search for similar items in EconPapers)
Pages: 75
Date: 2004-11
New Economics Papers: this item is included in nep-com
Note: CMI,IO
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (12)

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Working Paper: Regulation of Transmission Expansion in Argentina: Part II – Developments Since the Fourth Line (2004)
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