Transverse subsidization is present, if the cost of the range are borne by another range.

Markets of line-bound infrastructure (e.g. Energy, telecommunications, post office, railway) have natural monopolies regarding their transmission and supply networks. The prices for the competition-conditioned net entrance are to be formed cost-oriented.

In the context of the transverse subsidization costs are assigned to the monopoly ranges, which actually develop within the competition ranges of the connected enterprise. The competition ranges attain thus opposite their competitor of market advantages debited to those, which stress the raised the price of achievements of the monopoly range entgeltlich.

Competitors are to be held thereby from the recourse to of the achievements of the monopoly range (net entrance) from economic considerations, while the total result from competition and monopoly ranges remains unchanged in the connected enterprise (neutrally).

Articles in category "Transverse subsidization"

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• FIA European Bureau
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• FIA European Bureau
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• FIA European Bureau
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• FIA Position on Road Pricing
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