Most OECD countries, and many countries outside the OECD, are now deeply engaged in a reform of their electricity markets to stimulate competition and improve efficiency. This book considers the key elements of effective reform based on a review of experiences to date. A converging trend emerges, that emphasises competition in the generation, supply and trade of electricity, aimed at maximising consumer choice. It also highlights the development of new approaches to regulation of the transmission system, which remains monopolistic. This book is an invaluable guide and reference for energy policy makers. It examines the many issues and functions that define a modern, liberalised electricity supply industry, and the challenges posed by regulatory reform. It updates the 1999 IEA publication Electricity Market Reform – an IEA Handbook, and is the latest in a series of IEA publications on energy market reforms.