Infrastructure Investment Challenges: reconciling Competition, Decarbonisation and Digitalisation

Investment has always been a challenge in the network industries. Since the 1990s liberalisation has exacerbated this challenge, owing to the different time horizons between the interests of the private sector, the long-term nature of the infrastructure assets and their public service nature. Climate change and the need to decarbonise the infrastructures, as well as the recent focus on digitalisation have only added to the investment challenges in the different network industries.

How can we ensure investments in the context of competition, decarbonisation and digitalisation? What should be the role of governments and that of the private sector? How should the right incentives be set?

This special issue of the Network Industries Quarterly is dedicated to some of the best papers that were presented at the 10th FSR Annual Conference on the Regulation of Infrastructures “Infrastructure Investment Challenges: reconciling Competition, Decarbonisation and Digitalisation’, which took place on June 10 and 11.

The first contribution, authored by Hernandez and Gençer, performs a flexible optimisation model that yields a large-scale hydrogen transmission network in the United States.

Bartlett Castellà, Gimeno de la Fuente and Majó Casas analyse the European and Spanish electricity regulatory framework to remunerate distribution system operators for the costs incurred to build and operate the grid, and make recommendations for improvement.

Gundes and Atakul explore the use of  Build-Operate-Transfer model in infrastructure investments through an assessment of the organisational and financial structure of the Eurasia Tunnel Project in order to draw lessons for future public-private partnerships in infrastructure.

Separate articles can be downloaded from the links below:

Infrastructure Planning in the Energy Sector

Drake D. Hernandez, Emre Gençer

A fit for purpose Distribution System Operators regulation to support the energy transition

Enric R. Bartlett Castellà, Carmen Gimeno de la Fuente, Carles Majó Casas

The Eurasia Tunnel Project

Selin Gundes , Nur Atakul

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