Regulatory environments in relation to the obligations and rights of electricity distribution companies — Examples of Nordic experiences

This paper describes the electricity distribution business regulation in the Nordic countries — Norway, Sweden and Finland and the measures taken to comply with the new electricity market directive (2003/54/EC). The different characteristics of the regulation are outlined and compared — especially focusing on the efficiency requirements, power quality regulation and the role of benchmarking. The differences in capital base assessment and allowed profit are also discussed. The purpose is to determine how the measures taken in each country reflect to the obligations and rights assigned in the directive to the networks companies.