Policymakers wishing to introduce wholesale competition into the electricity industry must often reconcile existing independent power producer contracts with new market structures and trading arrangements. For the new market arrangements to bring the benefits of competition to consumers, enough participants must be willing to take market risk. A combination of measures (adaptation of specific market rule, contractual alternatives for enhancing market liquidity, contract buyout provisions, transitional mechanisms) offer promise for reconciling existing contracts with new market structures and reducing the magnitude of above-market costs associated with the contracts.
CITATION STYLE
Woolf, F., Halpern, J., World Bank. Energy and Water Dept. Water Sanitation Unit., & World Bank. Latin America and the Caribbean Regional Office. Finance Private Sector and Infrastructure Sector Unit. (2001). Integrating independent power producers into emerging wholesale power markets. Policy Research Working Paper, (2703), 37 p. Retrieved from http://econ.worldbank.org/resource.php?type=5
Mendeley helps you to discover research relevant for your work.