An efficient market economy needs effective and independent regulators, speedy justice and mechanisms to enact laws to protect the investors and citizens. These are the lessons we in India need to learn from the US response to the collapse of Enron. It soon became the world's largest electricity and natural gas trading company.

One sector, the management of which will make or mar India’s economic future is electricity. For over a decade we have been incessantly talking of power sector reform, and yet the results, so far at least, have been disheartening. We focused on the one area which has been our strong point – generation, and ignored distribution which is our weakest link. As a result, hardly any private investment – domestic or foreign – materialized. Only about 6700 MW private generation capacity came up – a third of the expected investment.