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Role of regulators and regulation in a (typical) restructured electricity industry - page 11 / 21

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The Italian Authority for Electricity and Gas – September 200311

Conclusions/1

Legislation of advanced countries encourage or even require creation of national and regional competitive power markets as one of the effective instruments for the enhancements of power generation efficiency and attraction of private investments in the power sector of such countries.

Creation of competitive power markets are frequently accompanied by changes in the institutional framework that regulates the power sector.

Changes in regulatory institutions are generating increased transparency and independence but also complexity

There is a need to ensure that the policies of the various regulatory institutions are mutually consistent so as to minimise the cost of regulation and risks related to transition toward full competitive power market.

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