There is an intense debate regarding the best way to attract investment for the long-term expansion of an electricity transmission network. We study three hypotheses: the long-term financial-transmission-right hypothesis; the incentive-regulation hypothesis; and the market-power hypothesis. The...

Electricity Power sector around the world is witnessed reforms from traditional regulated regime to a deregulated system. Under such environment electricity transmission sector is separated from Generation and Distribution. This natural monopoly further allow public and private sector to use...