Industry Restructuring and Privatization

Industry Restructuring and Privatization

NERA's Energy Group has applied its economic and regulatory expertise to energy sector restructurings and privatizations around the world. We have advised governments, regulatory authorities and enterprises on the economic policy questions raised by virtually every aspect of the energy industries, as well as on the creation of new regulatory and organizational structures, commercial relationships and market mechanisms.

We consistently promote the development of energy markets and attempt to minimize the role of regulation by structuring markets in a way that inherently requires less regulation. On the financial side, NERA has wide experience in issues of financing and the determination of the appropriate cost of capital for regulated utilities. These issues are fundamental in determining the market value of a firm and represent the first step in privatizing a company in a deregulated market. In addition to our regulatory work on industry reform, we have produced many cost-of-capital, market valuation, and financing studies for energy sector companies throughout the world.

NERA has assisted utilities, governments, the World Bank, European Bank of Reconstruction and Development, Asian Development Bank and other major development agencies in their efforts to further the development of energy industry restructuring, including privatizing and restructuring vertically-integrated state-owned monopoly enterprises into separate production, transportation, distribution and retailing/marketing companies. NERA has addressed the issues of industry structure, economic regulation, production, transport and distribution pricing. NERA has also conducted long-term studies for the state-owned companies in many sectors and have advised independent power producers promoting competitive conditions and the establishment of stable and well structured regulatory frameworks in those markets where restructuring is in a developing stage.

NERA has participated in nearly all of the energy market restructurings that have taken place around the world in the last two decades. We have been involved in many privatizations, working for both the sellers and the buyers, and we are often hired by governments and regulated companies to consult on regulatory issues post-restructuring.

Name Title Location Phone Email
Richard Druce Managing Director London +44 20 7659 8540
Sean Gammons Managing Director London
+44 20 7659 8564
+49 30 700 1506 01
Dr. Jeff D. Makholm Managing Director Boston +1 617 927 4540
Dr. Ramsey Shehadeh Managing Director Washington, DC +1 212 345 6089
Kurt G. Strunk Managing Director New York City +1 212 345 5035
Vakhtang Kvekvetsia Director London +44 20 7659 8746
Willis Geffert Associate Director Washington, DC +1 202 466 9293
Dr. Juan Carlos Ortigas Associate Director Madrid +34 91 521 0020
Jonathan Falk Affiliated Consultant New York City +1 212 345 5315
Mike King Affiliated Consultant Denver
San Francisco
Washington, DC
+1 303 357 4781
+1 303 618 4915
+1 303 618 4915
Dr. Chantale LaCasse Affiliated Consultant Washington, DC
+1 202 466 9218
+1 416 868 7314
Dr. Hethie Parmesano Affiliated Consultant Los Angeles +1 213 346 3000
Dr. Michael Rosenzweig Affiliated Consultant Washington, DC +1 202 466 9231
Title Type Author
The Road to Mexico’s Self-Sufficient Energy Reforms Published Article Dr. Jeff D. Makholm, Dr. José Antonio Peñuelas, and Hamish Fraser
Fixing Local vs. National Public Interest Contests Requires a Full-Court Press in Con... Published Article Dr. Laura T. W. Olive
Why Publitize? Part II: When Public Ownership Gained Ground in the US Electricity Ind... Published Article By Dr. Jeff D. Makholm
Why Publitize? Prospects for Undoing Investor-Ownership of Electric Utilities Published Article Dr. Jeff D. Makholm
Pipeline Capacity Rights to Support a Competitive Gas Market:Theory and Applications Report By Dr. Jeff D. Makholm and Nina Hitchins
Effective Use of Demand Side Resources: The Continued Need for Availability Payments White Paper By Jonathan Falk and Stephen Buryk (with Dr. Noah Kaufman)
Power Sector Reform: Experiences from the Road Published Article By Dr. Michael Rosenzweig, et al.
Hedge Markets and Vertical Integration in the New Zealand Electricity Sector: A Repor... Report By Graham Shuttleworth and former NERA Consultant Tim Sturm
Costs and Benefits for Northern Ireland of an Integrated Irish Electricity Market Report By Graham Shuttleworth and Sean Gammons
Review of GB-Wide Transmission Pricing: A Report for ScottishPower UK Division Report By Graham Shuttleworth and Sean Gammons