Although restructuring of the electric industry has successfully created more competitive markets in some cases, widespread development of competitive and robust markets continues to be problematic. One crucial reason for this is the lack of more effective market power mitigation. When designing or restructuring markets, regulators and potential market participants need to assess whether the markets they are creating will be truly competitive or will be subject market power abuses. In all cases, it is important to develop appropriate mitigation measures—effective, but not onerous. Our professionals combine extensive expertise in energy market power issues with state-of-the-art quantitative analysis to assess whether structural and behavioral market conditions facilitate the exercise of horizontal and/or vertical market power.
