According to the 1990 Energy Act, the hydro power based Norwegian electricity supply industry was deregulated. The main aim of the act was to promote efficient utilisation of resources through introduction of competition. The act introduced open access for everyone to the network and fair and non-discriminatory pricing for network services. The consumers have now a free choice of suppliers. The Norwegian Water Resources and Energy Administration, NVE, has the responsibility for regulating the monopolized parts of the industry - the network - As well as supervising the competitive parts - production and trading. The Norwegian transmission grid has several connections with the neighbouring countries. Connections to Germany and the Netherlands are planned. The foreign power exchange is primarily based on exploiting the specific properties of the hydro based system by exporting peak power at high prices and import base load in off peak periods. (author).