NEW MANAGEMENT PRACTICES OF ENERGY UTILITIES IN NORTHERN RURAL AREAS

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Nail R. Ismailov1, Irina O. Volkova2

1, 2Institute of Economics and Utility Regulation, HSE University, Moscow, Russia

1nrismailov@hse.ru, ORCID 0000-0001-9541-2144

2iovolkova@hse.ru, ORCID 0000-0002-7184-3756

 

Abstract. This study examines the managerial practices of energy utilities operating in northern remote areas and their relationship with institutional mechanisms of national and regional support. The objective is to identify and compare corporate practices across northern contexts and to demonstrate how differences in support instruments influence managerial decision-making in response to global trends. Methodologically, the paper employs a descriptive multiple-case study design following the approach proposed by Yin. The cases examined include the Chukotka Autonomous Okrug (Russia), Yukon (Canada), and Alaska (USA). The empirical base draws on publicly available reports from companies and regulators, strategic policy documents, and peer-reviewed publications. The findings indicate that forms of government support act as a key mediator between external trends and managerial decisions. In Alaska, the cooperative model and incentive programs support the development of microgrids, energy storage systems, digital services, and customer-oriented practices. In Yukon, targeted measures for households and municipalities translate broad energy-sector trends into demand-side solutions. In Chukotka, the predominance of subsidies and tariff equalization mechanisms ensures system reliability but limits the scope for managerial innovation. The practical contribution of the study lies in identifying potential directions for adaptation in the Russian Arctic, including the strengthening of demand-side measures, the expansion of digital services, and the enhancement of mechanisms for community engagement while maintaining baseline reliability. The study also contributes to the literature by highlighting the critical role of support design in shaping managerial practices and by providing a foundation for future research on the typology of power-supply models and the evaluation of policy instruments.

Keywords: managerial practices, electric power industry, northern remote territories, global trends, government support

For citation: Ismailov N. R., Volkova I. O. New management practices of energy utilities in northern rural areas.  Sever i rynok: formirovanie ekonomicheskogo poryadka [The North and the Market: Forming the Economic Order], 2026,  no. 1, pp. 80-92. doi:10.37614/2220-802X.1.2026.91.006.

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