We build a simple model to study service fee competition between an incumbent and an independent ATM deployer, and its optimal regulation. We use the model to analyze an actual regulation of such a market by competition authorities in Finland. We find that socially optimal first-best fees would...

This study investigates how renewable targets for the Nordic power market might be achieved at the lowest costs. The instruments investigated are fixed Feed-In Tariff, economically sound premium based Feed-In Tariff and shadow-prices for CO<Subscript>2</Subscript> emissions. We utilize a Real-Time Price based...</subscript>

The main motivation to deregulate Finnish electricity markets and introduce competition to the industry was to improve efficiency and obtain lower prices. In this paper we use a numerical simulation model in order to analyse the impact of market structure to the wholesale price of electricity....

We compare the welfare effects of different regulation schemes of electricity distribution utilities. The compared regulation schemes are fixed price regulation, cost of service regulation, menu of cost-contingent contracts and simple menus of contracts. In our calculations we utilize the...

In this study we combine different possibilities to model firm level heterogeneity in Stochastic Frontier Analysis. We show that both observed and unobserved heterogeneity cause serious biases in inefficiency results if left unmodelled. Modelling observed and unobserved heterogeneity treats...

This research evaluates the effects of benchmarking technique by using Australian experience, providing empirical support to the significance of mechanism design in implementing revenue cap regulation. We estimate efficiency and productivity of Australian distribution electricity network service...