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Scale properties and efficient network structures in the Swedish electricity distribution market

Magnus Söderberg & Mattias Vesterberg

Journal of Regulatory Economics2025https://doi.org/10.1007/s11149-025-09488-7article
AJG 2ABDC A
Weight
0.37

Abstract

This paper examines the Swedish electricity distribution sector to highlight three key findings. First, we identify significant economies of scale among electricity distribution firms, indicating that larger firms operate more efficiently. Second, we explore alternative market structures and demonstrate that these can substantially reduce the aggregated costs of electricity distribution. Third, we use novel survey data to show that firms perceive the economic incentives for mergers to be insufficient. These findings suggest that policymakers should consider creating a regulatory environment that encourages consolidation and enhance efficiency in the sector.

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https://doi.org/https://doi.org/10.1007/s11149-025-09488-7

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@article{magnus2025,
  title        = {{Scale properties and efficient network structures in the Swedish electricity distribution market}},
  author       = {Magnus Söderberg & Mattias Vesterberg},
  journal      = {Journal of Regulatory Economics},
  year         = {2025},
  doi          = {https://doi.org/https://doi.org/10.1007/s11149-025-09488-7},
}

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Evidence weight

0.37

Balanced mode · F 0.40 / M 0.15 / V 0.05 / R 0.40

F · citation impact0.16 × 0.4 = 0.06
M · momentum0.53 × 0.15 = 0.08
V · venue signal0.50 × 0.05 = 0.03
R · text relevance †0.50 × 0.4 = 0.20

† Text relevance is estimated at 0.50 on the detail page — for your query’s actual relevance score, open this paper from a search result.