Competition perspective of electricity sector reforms An overview of electricity sector reforms

Over the last decades, different countries have reformed utility sectors, with particular emphasis to the electricity. These reforms have been conceived and implemented within different contexts although adopting similar mechanisms. Motives for electricity sector reforms and respective consequences differ from country to country. This paper assesses reforms in the electricity sector in order to find their motivations in the perspective of market and competition. Additionally the paper analyses the lessons learned from reforming the electricity sector and the current tendencies. It is concluded that “reforming electricity sector to promote competition” has been a politically correct approach which unlikely reflects the reality. Reforms have somehow promoted competition in some countries but to do so different designs would have been followed according to the peculiarities of each reformer.