Europe: 'new factors' will increase support for liberalisation

The privatisation of British Gas is discussed and it is argued that liberalisation of the industry should have preceded privatisation. The European Commission's intention to complete the internal market in energy is discussed, and the transit directive which allows gas and electricity to flow in both directions between member states, the price transparency directive, and the identification of cross subsidies are considered. The manipulation of gas prices, the security of supply, the disintegration of the USSR, the increasing demand for gas, the European Energy Charter, and the response of politicians to signals from the gas market are contemplated. (UK)