Review of Industrial Organization

, Volume 18, Issue 4, pp 379–396 | Cite as

Strategic Responses to Regulatory Policies: What Lessons Can Be Learned from the U.K. Contract Gas Market?

  • Huw Dixon
  • Joshy Easaw


The gas industry was first privatisedin 1986, and the regulator, Ofgas, identified thecontract gas market as a possibility for introducinginitial competition into the industry. Nevertheless,competing shippers were slow in entering the market.Subsequently, Ofgas introduced a series ofpro-competitive policies. It, however, invoked aseries of strategic behaviour by the incumbentshipper, British Gas. The effectiveness of thesemeasures are analysed here with respect to theevolving competitive process. The issues it raised,especially when formulating future regulatory policiesand theories, are also considered.

Gas supply network access regulation and competition policy strategic behaviour 


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Copyright information

© Kluwer Academic Publishers 2001

Authors and Affiliations

  • Huw Dixon
    • 1
    • 2
  • Joshy Easaw
    • 3
  1. 1.Department of EconomicsUniversity of YorkYork
  2. 2.Centre for Economic Policy Research (CEPR)LondonU.K
  3. 3.Economics DepartmentMiddlesex University Business SchoolThe Burroughs, LondonU.K

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