Electricity and Telecoms Reforms in the EU: Insights from the Economics of Federalism

27 Pages Posted: 21 Jul 2010

See all articles by Francesc Trillas

Francesc Trillas

Autonomous University of Barcelona - Department of Economics; University of Navarra - IESE Business School

Date Written: May 31, 2010

Abstract

The economics of federalism is a broad discipline with more than five decades of experience. It may shed light on how regulatory jurisdiction is allocated in EU electricity and telecommunications markets. Specifically, this paper assesses the evolution of reform up to and including the third EU packages, which continue the liberalization and integration process in these markets. Liberalization has been accompanied by gradual harmonization of national markets to overcome resistance to competitive forces. Less steps than necessary have been undertaken to promote market integration. Positive and normative reasons remain however for the participation of national or even regional/local powers. Vertical institutional cooperation will remain a necessary condition of a sound regulatory framework, but cooperation may sometimes be inhibited by distributive considerations.

Keywords: federalism, regulation, electricity, telecommunications

JEL Classification: L50, L94, L96, L97, K23, H77

Suggested Citation

Trillas Jané, Francesc, Electricity and Telecoms Reforms in the EU: Insights from the Economics of Federalism (May 31, 2010). IESE Business School Working Paper No. 861, Available at SSRN: https://ssrn.com/abstract=1645196 or http://dx.doi.org/10.2139/ssrn.1645196

Francesc Trillas Jané (Contact Author)

Autonomous University of Barcelona - Department of Economics ( email )

Avda. Diagonal 690
Barcelona, 08034
Spain

University of Navarra - IESE Business School

Avenida Pearson 21
Barcelona, 08034
Spain

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