Regional Economics: Theory and Practice

Implementing the system of multifactorial economic analysis of national power markets in the context of the CIS: Key results

Vol. 16, Iss. 7, JULY 2018

Received: 25 April 2018

Received in revised form: 14 May 2018

Accepted: 21 May 2018

Available online: 17 July 2018


JEL Classification: F42, F47, P11, P27

Pages: 1338–1354

Mustafinov R.K. International Institute of Energy Policy and Diplomacy (MGIMO-University), Moscow, Russian Federation

Importance The article presents principles of development and implementation results of the system of Multifactorial Economic Analysis of National Power Markets.
Objectives The study focuses on development of the system of Multifactorial Economic Analysis of National Power Markets and its further application to the national economies of the CIS.
Methods The paper rests on economic and mathematical methods and analysis of official statistics.
Results The fragmentation of the USSR synchronous zone transformed a number of energy security challenges. The cooperation between countries changed according to capitalist principles. The main imbalances were identified. That revealed a number of differences, like economic situation, level of resource self-sufficiency, and infrastructure. The final results are adjusted based on the criteria of institutional development.
Conclusions The reliability of the energy system is improved through the integration of power sectors that also encourages the development of cross border economic and political cooperation. Furthermore, the supranational and national priorities underpin the intercountry commercial and technological infrastructure development, which is limited by energy security concepts. The common electricity market serves as a basis for interstate commercial infrastructure. Reintegration that relies on principles of parity in the collective decision making process is realized through the creation of the common electricity market. The above mentioned concept provides instruments to monitor and detect local disproportions in order to maximize the profits of the integration.

Keywords: energy security, CIS, integration processes


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