Public utility companies in liberalized markets - The impact of management models on local and regional sustainability

This article analyzes how publicly-owned utility companies can remain competitive in liberalized markets. We study EPM, a utility company from Medellin, Colombia. We discuss the company's management model, local laws and regulations affecting it, direct and indirect benefits for the city, and risks resulting from the power it has acquired. It is claimed that early decisions to maintain public ownership of key assets and provide the company with administrative autonomy helped it remain competitive, despite the liberalization of the market. This has allowed the city to increase its revenue and, as a result, its spending on social and environmental projects. (C) 2017 Elsevier Ltd. All rights reserved.