Electricity markets [The Business Scene]

Many countries are restructuring their electric power industries (EPIs) from regulated monopolies to a competitive market. Competition is expected to increase productivity and decrease production costs and the price of electricity. Countries are at different stages of the restructuring process, and the process is not finished. In spite of a wide variety of possible structures, four main electricity market models can be distinguished. The variations of electricity market are not perfect and differ from other markets. This is as a result of the fact that EPI is a complicated technologically unified electric power system (EPS). The main properties of an EPS and its influence on electricity markets are considered in this article.