Economice Assignment Example | Topics and Well Written Essays - 500 words

Economice - As contractment Example on the European shores there are ten countries that will sign a pact to start working on an underwater electrical grid to link up disparate projects (The Economist, 2010). Norway has hydroelectric stations that can facilitate as giant batteries that store energy. Spain can take advantage of solar and wind renewable energies, while the Sahara desert has the potential to be a racy region for the implementation of solar technology.Europe would benefit tremendously if the producers of energy could trade energy over the grid in a single market. The estimated make by European officials established that energy savings of between 20%-25% could be possible. In Europe energy is being generated through multiple technologies including wind, sun, gas, and atomic power. The European commission established that the government has to invest nearly $1.4 trillion over the next decade in its energy infrastructure. The event that utilities are a public monopoly en ables this intentness to receive governmental assistance. Creating a single energy market in Europe will be difficult due to the fact that electricity and gas networks are treated as natural monopolies.Currently the only countries that are sharing their energy resources are Spain and Portugal. The fragmentation for the gas industry is even worse than the one for electricity in Europe. New regulations such as EUs 20/20/20 which seeks a 20% greenhouse gas, a 20% reduction in energy, and a 20% increase in renewable energy should help increase cooperation. Another exchange in the industry that will help form a single market is the fact that companies must now either sell their distribution networks or run them as a separate business. A single energy market in Europe would represent the biggest utility monopoly market in the world. oil colour and gas are being drained from under the North Sea. But its time as Europes energy reservoir is not over. Along its shores and on its waters, tho usands of