1. CENTRALIZED HEAT MARKET LIBERALIZATION MISSION (IM)POSSIBLE?
- Author
-
Pažėraitė, Aušra and Krakauskas, Mindaugas
- Subjects
FINANCIAL liberalization ,MARKETS ,BUSINESS enterprises ,ECONOMIC competition ,DATA analysis - Abstract
The article deals with the Lithuanian district heating sector which is currently highly integrated, local, naturally monopolistic and often municipality owned. The main problem of the sector is lack of competition leading to the high prices of the heat. Authors suggest an implementation of market liberalization as an overall recognized way to run the energy market effectively. The literature review identifies the lack of theoretical approaches addressed precisely to the district heating sector. A practical survey is made using the data from the National Control Commission for Prices and Energy and the district heating company Kauno energija. The literature review and the analysis of the current situation in the district heating sector identifies competition driving forces and gives the proper background of the market liberalisation. The article ends with the conclusions. [ABSTRACT FROM AUTHOR]
- Published
- 2012