Abstract:
The Energy sector plays a crucial role in promoting
economic development and sustainability, and energy reforms are
vital for achieving a sustainable economic growth. Within the
energy sector, the electricity sector holds significant importance,
and reforms in this sector can have considerable impacts on
the broader economy of a country. This research paper aims
to evaluate the impact of energy reforms on the electricity
sector, specifically focusing on policies that promote competition,
innovation, and technological advancements. Through a comparative
analysis of international and local case studies from
the USA, Ethiopia, Nigeria, India, Singapore, and Sri Lanka,
this paper assesses the micro and macroeconomic effects of
energy reforms on power pricing, power markets, electricity
accessibility, innovation, and competitiveness. The historical development
of state-owned electricity monopolies and their impact
on competition, innovation, technological advancements, pricing,
and service quality in the electricity sector is also examined.
Furthermore, the study analyzes the role of government oversight
and regulations in managing state-owned monopolies to
ensure fair market practices. This research paper contributes
to a more nuanced understanding of the complex relationship
between state ownership and market competition in the energy
sector. The findings of this study can inform policymakers and
stakeholders in Sri Lanka and other developing countries on
the potential benefits and drawbacks of expanding state-owned
electricity monopolies in the context of ongoing energy sector
reforms. Overall, this study provides insights for designing and
implementing effective energy policies that promote sustainable
economic growth and development.
