What is structural unbundling?
Structural unbundling is the effective separation of ownership between the monopoly electricity and gas networks on the one hand and commercial activities elsewhere in the value chain. Remember that in the electricity and gas sector, some parts of the industry are subject to competition whereas others are not. The gas and electricity networks that transport electricity and gas between producers and customers may be considered in a number of cases to be natural monopolies and continue to be regulated. However, many networks are still owned and operated by companies that are now also active in the liberalised parts of the sector.
