Problems of Creation of Markets in the Energy Sector in European Union

The paper deals with the problem of analyzing the process of creation of markets in the energy sector. Development of energy markers is accompanied by deregulation, that is, the decrease of the degree of state regulation and the development of market mechanisms. Effective competition on the market reduces the need for external regulation, mainly due to the fact that it relies on the self-regulatory mechanism that excludes of surplus income. Competition forces EU companies to reduce costs, stimulates innovation and development. The processes of liberalization and deregulation of energy markets are not the same in different countries. As noted in the European Strategy of Sustainable, Competitive and Safe Energy (2006), Europe has not yet created fully competitive domestic energy markets. We made the conclusion that the effective legislative and regulatory framework should be developed, adopted and implemented in order to create effective energy market