Case | HBS Case Collection | November 1995 (Revised November 1999)

National Power and the Privatization of the British Power Generation Industry

by Willis M. Emmons III and Ed Simnett

Abstract

The British government privatized the nation's electric utility sector in 1991 through a complex process involving the restructuring of the industry as well as the creation of a new regulatory oversight body. National Power plc, the largest of the privatized power generators, has emerged as highly profitable under private ownership, yet faces challenges with respect to an increasingly hostile regulatory environment. In addition, the firm, under chairman John Baker, is debating whether to explore opportunities for expansion and diversification in foreign markets.

Keywords: Restructuring; Trade; Energy Generation; Governing Rules, Regulations, and Reforms; Markets; Monopoly; Privatization; Opportunities; Diversification; Expansion; Energy Industry; Utilities Industry;

Citation:

Emmons, Willis M., III, and Ed Simnett. "National Power and the Privatization of the British Power Generation Industry." Harvard Business School Case 796-066, November 1995. (Revised November 1999.)