This report presents the results of surveying on European economic regulations to check whether those regulations encourage or hamper smart gird investment. According to this report, the regulations are hindering smart grid implementation. It also emphasizes the added values brought by smart grid technologies and suggest that the regulation should consider these values along with cos-efficiency. It also makes some recommendations to achieve favorable regulations for smart grid. There are general recommendations, recommendations to national energy regulators, European member states and ACER; and recommendations to the European Union.