Reflections on the role of energy network companies in the energy transition

Abstract

Energy network companies are commonly attributed the public task to help society in becoming greener in the domain of energy. This extra public task has high costs and comes with high uncertainties. It may also compete with existing public tasks of network companies. When network companies are involved in local green initiatives, they encounter dilemmas and need to arrange trade-offs among multiple public values. It may also compete with existing tasks of network companies. Therefore, these network companies can face dilemmas when involved in local green initiatives. The aim of this paper is to reflect on the role of energy network companies in the face of these dilemmas. What is the role of energy network companies in coping with conflicting public values when helping local initiatives that create a greener energy system? We answer this question via an essay that reflects on existing research in the Dutch energy sector. Our answer is derived from the fields of law, politics, policy, economics and engineering about the role of network companies. We argue that these five perspectives leave the role of energy network companies in the energy transition under-articulated. Our additional answer is based on our own empirical research that focuses on how network companies currently deal with dilemmas between multiple public tasks. We provide an analytical framework that enables a way of understanding the role of network companies in the struggle with dilemmas and raise several points of discussion to that might refocus efforts of researchers and practitioners to elucidate the role of network companies.

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