D'Sa (2005) states that the power sector reforms initiated in developing countries during the 90s were driven by the shortage of generating capacity, together with insufficient funds for new investments. Attention to social and environmental welfare was much less important. In addition, problems have occurred even in some developed markets that have suggested that regulation is necessary for the effective functioning of the electricity system. The expected reduction of subsidies has also contributed, and one reason for privatization was the need to reduce government subsidies to public utilities. Ideological changes are also required for private property as part of a broader restructuring.