Navajas, Fernando H. (2008): Infrastructure integration and incomplete contracts: natural gas in the Southern Cone. Published in: Integration and Trade No. No. 28 (February 2008): pp. 25-48.
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This paper uses evidence on policies, markets and private transactions to discuss the experience of natural gas infrastructure integration in the Southern Cone of Latin America. The argument is that contracts on international exchanges supported by infrastructure may become incomplete due to contingencies related to policy-induced price distortions not anticipated at the moment of writing. Beyond regulatory risk mitigation, it calls for back-up contract provisions designed to cope with aggregate imbalances and for some supranational coordination related to information about market conditions and on energy planning dialogues that test consistency and stress situations in markets where exports originate
|Item Type:||MPRA Paper|
|Original Title:||Infrastructure integration and incomplete contracts: natural gas in the Southern Cone|
|Keywords:||Natural gas; integration; long-term contracts|
|Subjects:||K - Law and Economics > K1 - Basic Areas of Law > K12 - Contract Law
Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q4 - Energy > Q40 - General
|Depositing User:||Fernando H. Navajas|
|Date Deposited:||23 May 2011 19:16|
|Last Modified:||30 Apr 2016 15:42|
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