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Conflict Resolution Mechanism in the Electricity Sector Through the Experts Panel - The Chilean Case

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3 Author(s)
Fischer, R. ; Univ. de Chile, Santiago, Chile ; Behnke, R.P. ; Cedeno, J.Y.G.

One of the main challenges facing the electricity sector worldwide is the design of efficient markets. In particular, the mechanisms used to solve regulatory conflicts are a crucial element of a regulatory regime and a major determinant of the risks borne by private investors. We use the case of the Chilean electricity sector to analyze the evolution of mechanisms for conflict resolution. We propose a conceptual framework based on bargaining theory that explains the behavior of market agents. This methodological approach describes the evolution of conflict resolution following the introduction of the Experts Panel in 2004, in particular, the reduction in the number of conflicts. This interpretation can be extended to other electricity markets in the region.

Published in:

Latin America Transactions, IEEE (Revista IEEE America Latina)  (Volume:10 ,  Issue: 6 )

Date of Publication:

Dec. 2012

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