Since its conception, the EU has been aware of the importance of energy issues. The European Coal and Steel Community (ECSC), formally established in 1951 by the Treaty of Paris, served as the European Atomic Energy Community (EURATOM) as the foundation for the modern-day European Union. EU aims to be a zone which provides free movement of goods, freedom to provide services and freedom of establishment. This can only be achieved with an open market where EU citizens can choose their energy suppliers freely and energy suppliers freely deliver to their customers. Achieving such a system means the creation of an internal Energy market, EU has adopted many directives. These rules has been establish to ensure efficiency gains, price reductions, higher standards of service and increased competitiveness. This study, which will be more analytical than descriptive, aims to show how the EU regulations, policies and institutions has affected and may affect the French energy market.
First we will examine the impact of the EU (1) and then dissect the competitive environment for new entrant.
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