A recent study published in the Yearbook of Antitrust and Regulatory Studies has cast a spotlight on the collective dominance doctrine within the electricity market in Ukraine, drawing parallels with European Union law. Authored by Kseniia Smyrnova from the Institute of International Relations at Kyiv National Taras Shevchenko University, the research underscores the critical need for regulatory reform in Ukraine’s electricity sector, which holds significant implications for the construction industry and broader economic landscape.
The paper meticulously examines how the Ukrainian competition authority, the Antimonopoly Committee of Ukraine (AMCU), aligns its analysis of the national electricity market with EU enforcement practices. This analysis is particularly timely, as Ukraine is under international obligations to adhere to EU competition rules, a commitment stemming from the Treaty establishing the Energy Community and the Association Agreement with the EU.
Smyrnova emphasizes the importance of understanding collective dominance, stating, “The scrutiny of collective dominance in the electricity market is not just an academic exercise; it is essential for fostering a competitive environment that can drive investment and innovation.” This sentiment resonates deeply within the construction sector, where reliable and competitively priced electricity is crucial for project viability and operational efficiency.
As Ukraine embarks on its journey toward European integration, the findings of this research are poised to influence how the electricity market is regulated. The study highlights that the current state regulation in the wholesale electricity market requires reform to enhance competition. It also calls for a reevaluation of the tariff and pricing policies enforced by the National Energy and Utilities Regulatory Commission of Ukraine and the Ministry of Energy and Coal-Mining Industry.
The implications of these reforms extend beyond the electricity market itself. A more competitive energy landscape can lead to lower energy costs, improved reliability, and increased investment in construction projects, ultimately contributing to economic growth. The construction sector, which is heavily reliant on stable energy supplies, stands to benefit significantly from these regulatory changes.
Smyrnova’s research serves as a clarion call for stakeholders in both the public and private sectors to engage with the evolving regulatory framework. As the AMCU takes steps toward aligning its practices with EU standards, the potential for a more dynamic and competitive electricity market in Ukraine becomes increasingly tangible.
For those interested in delving deeper into this critical analysis, the full study can be found in the Yearbook of Antitrust and Regulatory Studies, a publication that seeks to address pressing issues in competition law and regulatory practices. More information about the lead author can be accessed through her affiliation at the Institute of International Relations, Kyiv National Taras Shevchenko University.
