Market Competitive Intensity (MCI): France

Datamonitor's Market Competitive Intensity Index (MCI) is a robust framework for measuring and benchmarking the development of competitiveness and market conditions in a range of gas and electricty markets. The MCI assessment draws on nine underlying metrics grouped into three broad clusters: Market framework; Supplier Push and Customer Pull.

Report Highlights
Datamonitor's MCI Index offers a robust framework for measuring the development of utility Market Competitive Intensity. MCI scores are calculated using two different methods. The first, the simple weighted average (additive) measure shows overall competitive intensity. The second, the multipliative method, is more complex. It prevents markets with an overly wide spread of underlying raw scores from exerting undue influence over, or skewing, the final result.
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DATAMONITOR VIEW 1
CATALYST 1
SUMMARY 1
ANALYSIS 2
Introduction: Datamonitor's MCI Index offers a robust framework for measuring the development of energy Market Competitive Intensity 2
The MCI Index shows how attractive a particular market is to new entrants in terms of the competitive environment 2
The MCI assessment draws on nine underlying metrics grouped into three broad clusters: Market framework; Supplier Push; Customer Pull. 3
The MCI Index measures competitive intensity in the EU 27 and 6 related markets 4
The MCI Index assesses markets as they stood in early 2008 and forecasts conditions likely to be prevailing three years after full market opening 5
Each of the nine pillars has an assessment scale to allow for the comparison of diverse markets (see appendix for more details) 5
Two differing overall MCI scores are calculated to ensure full clarity of results 5
A simple weighted average (additive) measure shows overall competitive intensity 5
A weighted multiple (multiplicative) measure shows overall competitive intensity 6
The MCI framework has a number of applications for your organization 6
Context: A lack of political willingness to embrace market opening has lead to France's gas and power metrics remaining relatively weak 7
France's power market competitive intensity is the lowest of Europe's developed economies 7
In common with its position power, France's gas competitive intensity lags behind that of economies at similar stages of economic development 8
Power MCI: France's Supplier Push metrics show particular weakness, though will be driven forward by an increase in Powernext liquidity 9
Increased pro-action and momentum from the Regulator are likely to strengthen the Market Framework by 2010 9
Effectiveness of Regulator [2008: 5/10 2010: 7/10] 9
Ease of Third Party Access [2008: 4.5/10 2010: 7/10] 10
Effectiveness of Balancing and Data Transfer [2008: 4.5/10 2010: 7.5/10] 10
Growth in the Supplier Push metrics will improve by 2010 10
Wholesale Market Fragmentation [2008: 1/10 2010: 4/10] 10
Retail Market Fragmentation [2008: 1.5/10 2010: 2.5/10] 10
Traded Market Maturity [2008: 3.5/10 2010: 7/10] 10
Improved market information is expected to improve the overall Customer Pull 11
Access to Market Information and Assistance [2008: 6.5/10 2010: 8/10] 11
Consumer Representation [2008: 2/10 2010: 4/10] 11
Propensity to Switch [2008: 2/10 2010: 3/10] 11
Gas MCI: A minor fillip in the Market Framework factors is the only element supporting the French gas metrics 12
Regulatory effectiveness is the key driver of the Market Framework scores 12
Effectiveness of Regulator [2008: 4/10 2010: 4.5/10] 12
Ease of Third Party Access [2008: 5/10 2010: 6.5/10] 13
Effectiveness of Balancing and Data Transfer [2008: 6/10 2010: 8/10] 13
Supplier Push factors in France are influenced by the reduction in wholesale fragmentation that is expected to improve further by 2010 13
Wholesale Market Fragmentation [2008: 2/10 2010: 4.5/10] 13
Retail Market Fragmentation [2008: 3.5/10 2010: 4.5/10] 14
Traded Market Maturity [2008: 3.5/10 2010: 4/10] 14
Customer Pull metrics all score low marks and are not expected to reflect any major changes by 2010 14
Access to Market Information and Assistance [2008: 2.5/10 2010: 4/10] 14
Consumer Representation [2008: 4/10 2010: 5/10] 14
Propensity to Switch [2008: 2.5/10 2010: 4/10] 15
Outlook: Exploiting commercial opportunities in France will be heavily influenced by a need to mitigate the role of established players 16
France's current levels of competitive intensity are low, though some degree of improvement can be expected 16
Power scores 16
Gas scores 16
The dominance and formidable challenge represented by EDF means that new entrants need to aggressively build market share at the lowest possible cost 17
New Market Entrant Opportunities, Power 17
New Market Entrant Threats, Power 17
New gas market entrants will need to overcome a series of threats in the short term, though by 2010 significant commercial opportunities will exist, particularly in the south of the country 17
New Market Entrant Opportunities, Gas 17
New Market Entrant Threats, Gas 18
MCI Scores 19
APPENDIX 22
Definitions 22
Ask the analyst 27
[Inhaltsverzeichnis ausblenden]

Table 1: Market Competitive Intensity, France 2008-10 19
Table 2: MCI Additive, Europe 2008-2010 20
Table 3: MCI Multiplicative, Europe 2008-2010 21
Figure 1: MCI Assessment Scale 2
Figure 2: MCI Assessment Framework 3
Figure 3: MCI Market Coverage 4
Figure 4: MCI Scales 5
Figure 5: MCI Applications 6
Figure 6: European Power Market Competitive Intensity, 2008-10 7
Figure 7: European Gas Market Competitive Intensity, 2008-10 8
Figure 8: Power Market Competitive Intensity, France 9
Figure 9: Gas Market Competitive Intensity, France 12
Figure 10: Market Competitive Intensity, France 16
Figure 11: Scale for MCI Assessment, Effectiveness of Regulator 22
Figure 12: Scale for MCI Assessment, Ease of Third Party Access 23
Figure 13: Scale for MCI Assessment, Effectiveness of Balancing and Data Transfer 23
Figure 14: Scale for MCI Assessment, Wholesale Market Fragmentation 24
Figure 15: Scale for MCI Assessment, Retail Market Fragmentation 24
Figure 16: Scale for MCI Assessment, Traded Market Maturity 25
Figure 17: Scale for MCI Assessment, Access to Market Information and Assistance 25
Figure 18: Scale for MCI Assessment, Consumer Representation 26
Figure 19: Scale for MCI Assessment, Propensity to Switch 26
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