An Analysis of Electricity Market structure and its Implications for Energy Sector Reforms and Management in Nigeria

Global Advanced Research Journal of Management and Business Studies (GARJMBS) ISSN: 2315-5086 June 2012 Vol. 1(5), pp 141-149

Original Research Articles

An Analysis of Electricity Market structure and its Implications for Energy Sector Reforms and Management in Nigeria

Wakeel A. Isola

Economics Department, University Lagos, Lagos, Nigeria

Email: isolawak@yahoo.com

Accepted 01 June 2012

Abstract

The paper examines the challenges and prospects of power sector reform in Nigeria by employing a purely descriptive analysis. The focus of exposition is on the market structure, market design and supply gap in the electricity generation within the context of power reform. The paper adopts oligopolistic game theory based models of Cournot, Betrand and Supply Function Equilibrium to explain the complex interest groups in Nigeria energy sector and relate them to experiences in other countries. The paper concludes with a number of suggestions that can move the power sector forward from its lack luster performance of the years.

Keywords: Electricity, Game theory, Nigeria.

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