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Unbundling in Electricity Distribution Networks

In: Electricity Distribution Networks in the Decentralisation Era

Author

Listed:
  • Rahmatallah Poudineh

    (Oxford Institute for Energy Studies)

  • Christine Brandstätt

    (Oxford Institute for Energy Studies
    Copenhagen Business School)

  • Farhad Billimoria

    (Oxford Institute for Energy Studies
    University of Oxford)

Abstract

The liberalisation of the electricity sector has resulted in structural changes to the industry, one of the most important of which was the separation of network-related businesses from competitive functions such as generation and retail supply. The main motivation for unbundling of electricity supply chain was to encourage competition, prevent cross subsidies between regulated and non-regulated activities, and encourage focused managerial effort among network companies to improve their cost efficiency and their quality of network service. Although these points are well established for transmission networks, the issue at the distribution network level is not straightforward due to its complexity. Thus, unbundling of distribution networks can take a different path although useful lessons can be drawn from experiences at the bulk power system.

Suggested Citation

  • Rahmatallah Poudineh & Christine Brandstätt & Farhad Billimoria, 2022. "Unbundling in Electricity Distribution Networks," Springer Books, in: Electricity Distribution Networks in the Decentralisation Era, chapter 0, pages 101-115, Springer.
    • Handle: RePEc:spr:sprchp:978-3-030-98069-6_8
    DOI: 10.1007/978-3-030-98069-6_8
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