Regulation in Central America: Will Structural Adjushnent Work for the Oil Industry?

Abstract

In an international context in which the effective management of hydrocarbon supplies is viewed as depending on liberalized energy markets and in which governments act as regulators rather than entrepreneurs, Central American countries are in the process of restructuring their energy sectors. This paper sets out the issues that should be considered in order to analyze the scope for and long-term consequences of structural reform in the oil industry of Central America.