Unlike creation of regulatory authority or privatization, unbundling (verticle or horizontal ) failed to bring positive effects on electricity sector in case of developing countries, why?
This is most of the time so because of lack of sincerity of purpose and procedure of unbundling in power sector of developing countries.
The institutional framework is fragile. The intent to privatize does not seem true.
The exercise is earnestly misconstrued and in some cases, personal interest triples the general interest.
The developing countries have poor quality institutions such as the prevalence of bureaucratic corruption.
The unbundling claims have been failing because the putative unbundling exercises have all been akin to building something on nothing. What was there to unbundle? Nothing.
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