The energy challenge

Abstract

The electric utility industry is undergoing a time of uncertainty as the deregulation process develops. This phenomenon not only applies to the United States but to the entire world. After more than a decade, questionable restructuring results in countries such as the United Kingdom, New Zealand or Argentina (to name some of the pioneering cases), give a clear indication of the difficulties and risks involved in the process. Moreover some serious events have taken place in this country since the inception of the energy reform; notably the California crises in the Summer of 2000, which included the bankruptcy of major traditional utilities, followed by the Enron debacle a year later with its very unfavorable impact on the rest of the industry.