Assess the Impact of Eu and National Regulations on the Prices of Natural Gas Across the Eu

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“ Investigate the extent of competition in the natural gas industry in the European Union. Assess the impact of EU and national regulations on the prices of natural gas across the EU”.

Abstract:

European natural gas market currently has a decline of indigenous resources that is, at the same time, combined with the growing dependence of gas supplies coming from a few foreign exporters. As a result of this, new EU regulations and polices are proposed. This paper will analyze the past gas reforms and will try to assess the impact of those regulations on prices for natural gas and also investigate the competition of the EU natural gas market. The empirical analysis will focus on reform indicators such as vertical integration and market structure of the natural gas market, in order to show how these indicators are related to prices.

By Kirill Osaulenko

Content

1.0 Introduction ……………………………………………………..3

2.0 Literature Review ……………………………………………….3

2.1 The Structure Of the Gas Market in Europe ………………...3

2.2 How competitive is the natural gas market in Europe ……....4

2.3 Liberalization process across Europe………………………..5

2.4 Existing Empirical Evidence in the Academic Literature …..7

2.5 Summary of the review……………………………………...9

3.0 Competition in the EU gas Market …………………………….10

3.1 Wholesale Market ………………………………………….11

3.2 Production Market …………………………………………12

3.3 Conclusion on the competition in EU………………………12

4.0 EU Gas Industry reforms……………………………………….13

4.1 First Gas Directive …………………………. .…………….13

4.2 Second Gas Directive ………………………. …………….14

4.3 Security of Supply Directive ………………..……………..15

4.4 Third Gas Directive ………………………..………………16

5.0 The Data………………………………………..………………17

6.0 Econometric…...

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