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The New Industry Structure
Figure 2.1
New Industry Structure
Independent
Generator
Independent
Generator
PPC
Generators
H.T.S.O
Independent
Supply Co
Eligible
Customers
Eligible
Customers
PPC
Transmission
Distribution System Operator
PPC Distribution and Supply
Non-Eligible Customers
Eligible
Customers
Eligible
Customers
Electricity Flow
Commercial transaction
The key feature of this new structure is the distinction that is created between the different
sectors of the electricity industry:
•
generation, where competition is permitted between different generators.
•
transmission (wires), where there remains a natural monopoly in the ownership of
PPC.
•
distribution (wires) where there remains a natural monopoly in the ownership of
PPC
•
supply (sales to customers) which is opened to competition, initially to a limited
category of “Eligible” Customers.
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