Rosellón, Juan; Neumann, Anne; Weigt, Hannes - Centro de Investigación y Docencia Económicas (CIDE) - 2011
We propose a merchant-regulatory framework to promote investment in the European natural-gas network infrastructure based on a price cap over two-part tariffs. As suggested by Vogelsang (2001) and Hogan et al., (2010), a profit maximizing network operator (NO) facing this regulatory constraint...