Implementing Energy Subsidy Reforms : Evidence from Developing Countries

Poorly implemented energy subsidies are economically costly to taxpayers and damage the environment through increased emissions of greenhouse gases and other air pollutants. Energy subsidies also create distortive price signals and result in higher...

Full description

Bibliographic Details
Main Author: Vagliasindi, Maria
Format: Publication
Language:English
en_US
Published: Washington, DC: World Bank 2012
Subjects:
ESP
OIL
Online Access:http://documents.worldbank.org/curated/en/2012/10/16928994/implementing-energy-subsidy-reforms-evidence-developing-countries
http://hdl.handle.net/10986/11965
id okr-10986-11965
recordtype oai_dc
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
en_US
topic AIR CONDITIONING
ANECDOTAL EVIDENCE
APPROACH
AVAILABILITY
BALANCE
BARRIERS TO ENERGY EFFICIENCY
BUILDING CODES
CARBON DIOXIDE
CARBON FINANCE
CARBON FINANCE OPERATIONS
CARBON FINANCING
CERTIFICATION CENTER
CERTIFIED EMISSION REDUCTION
CLEAN ENERGY
CLIMATE
CLIMATE CHANGE
CLIMATE CHANGE MITIGATION
COAL
COGENERATION
COMMERCIAL ENERGY
COMMERCIAL EQUIPMENT
COMMITMENT TO ENERGY EFFICIENCY
COOLING
DISTRICT HEATING
DISTRICT HEATING SYSTEMS
ECONOMIC ACTIVITY
ECONOMIC GROWTH
EFFICIENCY GAINS
EFFICIENCY IMPROVEMENT
EFFICIENCY IMPROVEMENTS
EFFICIENCY POTENTIAL
EFFICIENT EQUIPMENT
ELECTRIC POWER
ELECTRICITY
ELECTRICITY CONSUMPTION
EMISSION
EMISSION REDUCTIONS
END USE
END USER
END USERS
END USES
END-USE
END-USE CONSUMPTION
ENERGY AUDIT
ENERGY AUDITING
ENERGY AUDITS
ENERGY BILL
ENERGY BILLS
ENERGY CONSERVATION
ENERGY CONSERVATION PRODUCTS
ENERGY CONSUMERS
ENERGY CONSUMPTION
ENERGY COST SAVINGS
ENERGY COSTS
ENERGY CRISIS
ENERGY DEMAND
ENERGY EFFICIENCY
ENERGY EFFICIENCY FINANCE
ENERGY EFFICIENCY IMPROVEMENT
ENERGY EFFICIENCY IMPROVEMENTS
ENERGY EFFICIENCY INVESTMENTS
ENERGY EFFICIENCY MARKET
ENERGY EFFICIENCY MEASURES
ENERGY EFFICIENCY PROGRAMS
ENERGY EFFICIENT EQUIPMENT
ENERGY MANAGEMENT
ENERGY NEEDS
ENERGY OUTLOOK
ENERGY OUTSOURCING
ENERGY PERFORMANCE
ENERGY PERFORMANCE CONTRACTING
ENERGY PRICES
ENERGY PRICING
ENERGY PRODUCTION
ENERGY REDUCTION
ENERGY RESEARCH
ENERGY SAVINGS
ENERGY SAVINGS PERFORMANCE
ENERGY SAVINGS PROJECTS
ENERGY SECURITY
ENERGY SERVICE
ENERGY SERVICE COMPANIES
ENERGY SERVICE COMPANY
ENERGY SERVICE PROVIDERS
ENERGY SERVICES
ENERGY SUPPLIERS
ENERGY SUPPLY
ENERGY SYSTEMS
ENERGY USE
ENVIRONMENTAL IMPACTS
ENVIRONMENTAL PROTECTION
ESP
FINANCIAL PERFORMANCE
FINANCIAL RETURNS
FINANCIAL SERVICES
FOSSIL
FOSSIL FUELS
FREE ENERGY
FUEL
GLOBAL ENVIRONMENT
GREENHOUSE
GREENHOUSE GAS
GREENHOUSE GAS EMISSIONS
GROSS DOMESTIC PRODUCT
GROWTH IN ENERGY DEMAND
HEAT
HEAT RECOVERY
IMPROVING ENERGY EFFICIENCY
INCOME
INFRASTRUCTURE INVESTMENT
INTERNATIONAL ENERGY AGENCY
INVESTMENTS IN ENERGY
INVESTMENTS IN ENERGY EFFICIENCY
JOBS
LIGHTING
LOAD MANAGEMENT
LOWER COSTS
MARKET FOR ENERGY
MARKET FOR ENERGY EFFICIENCY
METHANE
MUNICIPAL WATER SUPPLY
NATURAL RESOURCES
OIL
OIL COMPANY
OIL EQUIVALENT
OIL PRICES
PENALTIES
PERFORMANCE STANDARDS
PIPELINE
POLLUTION
PORTFOLIO
POWER
POWER GENERATION
PRESENT VALUE
PRIMARY ENERGY
PRINCIPAL-AGENT
PROMOTING ENERGY EFFICIENCY
QUALITY ENERGY
RENEWABLE ENERGIES
RENEWABLE ENERGY
RENEWABLE ENERGY DEVELOPMENT
RISK MANAGEMENT
SUSTAINABLE DEVELOPMENT
TONS OF CARBON
TOTAL ELECTRICITY CONSUMPTION
TOTAL ENERGY CONSUMPTION
TRANSACTION COSTS
TRANSACTIONS COSTS
TYPES OF ENERGY
UTILITIES
UTILITY BILLS
UTILITY DEMAND-SIDE MANAGEMENT
VEHICLES
VENTILATION
WASTE
WASTE RECYCLING
WASTEWATER TREATMENT
WORLD ENERGY
WORLD ENERGY OUTLOOK
spellingShingle AIR CONDITIONING
ANECDOTAL EVIDENCE
APPROACH
AVAILABILITY
BALANCE
BARRIERS TO ENERGY EFFICIENCY
BUILDING CODES
CARBON DIOXIDE
CARBON FINANCE
CARBON FINANCE OPERATIONS
CARBON FINANCING
CERTIFICATION CENTER
CERTIFIED EMISSION REDUCTION
CLEAN ENERGY
CLIMATE
CLIMATE CHANGE
CLIMATE CHANGE MITIGATION
COAL
COGENERATION
COMMERCIAL ENERGY
COMMERCIAL EQUIPMENT
COMMITMENT TO ENERGY EFFICIENCY
COOLING
DISTRICT HEATING
DISTRICT HEATING SYSTEMS
ECONOMIC ACTIVITY
ECONOMIC GROWTH
EFFICIENCY GAINS
EFFICIENCY IMPROVEMENT
EFFICIENCY IMPROVEMENTS
EFFICIENCY POTENTIAL
EFFICIENT EQUIPMENT
ELECTRIC POWER
ELECTRICITY
ELECTRICITY CONSUMPTION
EMISSION
EMISSION REDUCTIONS
END USE
END USER
END USERS
END USES
END-USE
END-USE CONSUMPTION
ENERGY AUDIT
ENERGY AUDITING
ENERGY AUDITS
ENERGY BILL
ENERGY BILLS
ENERGY CONSERVATION
ENERGY CONSERVATION PRODUCTS
ENERGY CONSUMERS
ENERGY CONSUMPTION
ENERGY COST SAVINGS
ENERGY COSTS
ENERGY CRISIS
ENERGY DEMAND
ENERGY EFFICIENCY
ENERGY EFFICIENCY FINANCE
ENERGY EFFICIENCY IMPROVEMENT
ENERGY EFFICIENCY IMPROVEMENTS
ENERGY EFFICIENCY INVESTMENTS
ENERGY EFFICIENCY MARKET
ENERGY EFFICIENCY MEASURES
ENERGY EFFICIENCY PROGRAMS
ENERGY EFFICIENT EQUIPMENT
ENERGY MANAGEMENT
ENERGY NEEDS
ENERGY OUTLOOK
ENERGY OUTSOURCING
ENERGY PERFORMANCE
ENERGY PERFORMANCE CONTRACTING
ENERGY PRICES
ENERGY PRICING
ENERGY PRODUCTION
ENERGY REDUCTION
ENERGY RESEARCH
ENERGY SAVINGS
ENERGY SAVINGS PERFORMANCE
ENERGY SAVINGS PROJECTS
ENERGY SECURITY
ENERGY SERVICE
ENERGY SERVICE COMPANIES
ENERGY SERVICE COMPANY
ENERGY SERVICE PROVIDERS
ENERGY SERVICES
ENERGY SUPPLIERS
ENERGY SUPPLY
ENERGY SYSTEMS
ENERGY USE
ENVIRONMENTAL IMPACTS
ENVIRONMENTAL PROTECTION
ESP
FINANCIAL PERFORMANCE
FINANCIAL RETURNS
FINANCIAL SERVICES
FOSSIL
FOSSIL FUELS
FREE ENERGY
FUEL
GLOBAL ENVIRONMENT
GREENHOUSE
GREENHOUSE GAS
GREENHOUSE GAS EMISSIONS
GROSS DOMESTIC PRODUCT
GROWTH IN ENERGY DEMAND
HEAT
HEAT RECOVERY
IMPROVING ENERGY EFFICIENCY
INCOME
INFRASTRUCTURE INVESTMENT
INTERNATIONAL ENERGY AGENCY
INVESTMENTS IN ENERGY
INVESTMENTS IN ENERGY EFFICIENCY
JOBS
LIGHTING
LOAD MANAGEMENT
LOWER COSTS
MARKET FOR ENERGY
MARKET FOR ENERGY EFFICIENCY
METHANE
MUNICIPAL WATER SUPPLY
NATURAL RESOURCES
OIL
OIL COMPANY
OIL EQUIVALENT
OIL PRICES
PENALTIES
PERFORMANCE STANDARDS
PIPELINE
POLLUTION
PORTFOLIO
POWER
POWER GENERATION
PRESENT VALUE
PRIMARY ENERGY
PRINCIPAL-AGENT
PROMOTING ENERGY EFFICIENCY
QUALITY ENERGY
RENEWABLE ENERGIES
RENEWABLE ENERGY
RENEWABLE ENERGY DEVELOPMENT
RISK MANAGEMENT
SUSTAINABLE DEVELOPMENT
TONS OF CARBON
TOTAL ELECTRICITY CONSUMPTION
TOTAL ENERGY CONSUMPTION
TRANSACTION COSTS
TRANSACTIONS COSTS
TYPES OF ENERGY
UTILITIES
UTILITY BILLS
UTILITY DEMAND-SIDE MANAGEMENT
VEHICLES
VENTILATION
WASTE
WASTE RECYCLING
WASTEWATER TREATMENT
WORLD ENERGY
WORLD ENERGY OUTLOOK
Vagliasindi, Maria
Implementing Energy Subsidy Reforms : Evidence from Developing Countries
relation Directions in development;energy and mining
description Poorly implemented energy subsidies are economically costly to taxpayers and damage the environment through increased emissions of greenhouse gases and other air pollutants. Energy subsidies also create distortive price signals and result in higher energy consumption or production as well as barriers to entry for cleaner energy services. Subsidies to consumption, by lowering end-use prices, can encourage increased energy use and reduce incentives to conserve energy efficiently. Universal energy-price subsidies tend to be regressive because benefits are conditional upon the purchase of subsidized goods and increase with expenditure. This report selected a representative sample of case studies in 20 developing countries, based on a number of criteria, including the countries' level of development (and consumption) and energy dependency (distinguishing between net energy exporters and importers). The case studies have been selected on the hypothesis that energy dependence and per capita income appear to be the key drivers of subsidy reforms in developing countries. Of the two criteria, energy dependence is expected to be the most powerful determinant of the choice to engage in energy reforms, whereas the level of per capita income may pose different challenges in relation to the distributional impact of such reforms on the poor. Energy net importers are expected to have more incentives to undertake energy subsidy reforms when the fiscal burden of such subsidies reaches a significant percentage of Gross Domestic Product (GDP), particularly when there are already macro unbalances related to high thresholds of public budget and debt. Low- and middle-income countries are expected to display a larger impact of energy subsidy reforms on consumption. This impact reflects the opportunities to influence future behavior rather than current consumption trends because of inertia, vested interests, and the presence of affordability issues.
format Publications & Research :: Publication
author Vagliasindi, Maria
author_facet Vagliasindi, Maria
author_sort Vagliasindi, Maria
title Implementing Energy Subsidy Reforms : Evidence from Developing Countries
title_short Implementing Energy Subsidy Reforms : Evidence from Developing Countries
title_full Implementing Energy Subsidy Reforms : Evidence from Developing Countries
title_fullStr Implementing Energy Subsidy Reforms : Evidence from Developing Countries
title_full_unstemmed Implementing Energy Subsidy Reforms : Evidence from Developing Countries
title_sort implementing energy subsidy reforms : evidence from developing countries
publisher Washington, DC: World Bank
publishDate 2012
url http://documents.worldbank.org/curated/en/2012/10/16928994/implementing-energy-subsidy-reforms-evidence-developing-countries
http://hdl.handle.net/10986/11965
_version_ 1764418363515207680
spelling okr-10986-119652021-04-23T14:02:58Z Implementing Energy Subsidy Reforms : Evidence from Developing Countries Vagliasindi, Maria AIR CONDITIONING ANECDOTAL EVIDENCE APPROACH AVAILABILITY BALANCE BARRIERS TO ENERGY EFFICIENCY BUILDING CODES CARBON DIOXIDE CARBON FINANCE CARBON FINANCE OPERATIONS CARBON FINANCING CERTIFICATION CENTER CERTIFIED EMISSION REDUCTION CLEAN ENERGY CLIMATE CLIMATE CHANGE CLIMATE CHANGE MITIGATION COAL COGENERATION COMMERCIAL ENERGY COMMERCIAL EQUIPMENT COMMITMENT TO ENERGY EFFICIENCY COOLING DISTRICT HEATING DISTRICT HEATING SYSTEMS ECONOMIC ACTIVITY ECONOMIC GROWTH EFFICIENCY GAINS EFFICIENCY IMPROVEMENT EFFICIENCY IMPROVEMENTS EFFICIENCY POTENTIAL EFFICIENT EQUIPMENT ELECTRIC POWER ELECTRICITY ELECTRICITY CONSUMPTION EMISSION EMISSION REDUCTIONS END USE END USER END USERS END USES END-USE END-USE CONSUMPTION ENERGY AUDIT ENERGY AUDITING ENERGY AUDITS ENERGY BILL ENERGY BILLS ENERGY CONSERVATION ENERGY CONSERVATION PRODUCTS ENERGY CONSUMERS ENERGY CONSUMPTION ENERGY COST SAVINGS ENERGY COSTS ENERGY CRISIS ENERGY DEMAND ENERGY EFFICIENCY ENERGY EFFICIENCY FINANCE ENERGY EFFICIENCY IMPROVEMENT ENERGY EFFICIENCY IMPROVEMENTS ENERGY EFFICIENCY INVESTMENTS ENERGY EFFICIENCY MARKET ENERGY EFFICIENCY MEASURES ENERGY EFFICIENCY PROGRAMS ENERGY EFFICIENT EQUIPMENT ENERGY MANAGEMENT ENERGY NEEDS ENERGY OUTLOOK ENERGY OUTSOURCING ENERGY PERFORMANCE ENERGY PERFORMANCE CONTRACTING ENERGY PRICES ENERGY PRICING ENERGY PRODUCTION ENERGY REDUCTION ENERGY RESEARCH ENERGY SAVINGS ENERGY SAVINGS PERFORMANCE ENERGY SAVINGS PROJECTS ENERGY SECURITY ENERGY SERVICE ENERGY SERVICE COMPANIES ENERGY SERVICE COMPANY ENERGY SERVICE PROVIDERS ENERGY SERVICES ENERGY SUPPLIERS ENERGY SUPPLY ENERGY SYSTEMS ENERGY USE ENVIRONMENTAL IMPACTS ENVIRONMENTAL PROTECTION ESP FINANCIAL PERFORMANCE FINANCIAL RETURNS FINANCIAL SERVICES FOSSIL FOSSIL FUELS FREE ENERGY FUEL GLOBAL ENVIRONMENT GREENHOUSE GREENHOUSE GAS GREENHOUSE GAS EMISSIONS GROSS DOMESTIC PRODUCT GROWTH IN ENERGY DEMAND HEAT HEAT RECOVERY IMPROVING ENERGY EFFICIENCY INCOME INFRASTRUCTURE INVESTMENT INTERNATIONAL ENERGY AGENCY INVESTMENTS IN ENERGY INVESTMENTS IN ENERGY EFFICIENCY JOBS LIGHTING LOAD MANAGEMENT LOWER COSTS MARKET FOR ENERGY MARKET FOR ENERGY EFFICIENCY METHANE MUNICIPAL WATER SUPPLY NATURAL RESOURCES OIL OIL COMPANY OIL EQUIVALENT OIL PRICES PENALTIES PERFORMANCE STANDARDS PIPELINE POLLUTION PORTFOLIO POWER POWER GENERATION PRESENT VALUE PRIMARY ENERGY PRINCIPAL-AGENT PROMOTING ENERGY EFFICIENCY QUALITY ENERGY RENEWABLE ENERGIES RENEWABLE ENERGY RENEWABLE ENERGY DEVELOPMENT RISK MANAGEMENT SUSTAINABLE DEVELOPMENT TONS OF CARBON TOTAL ELECTRICITY CONSUMPTION TOTAL ENERGY CONSUMPTION TRANSACTION COSTS TRANSACTIONS COSTS TYPES OF ENERGY UTILITIES UTILITY BILLS UTILITY DEMAND-SIDE MANAGEMENT VEHICLES VENTILATION WASTE WASTE RECYCLING WASTEWATER TREATMENT WORLD ENERGY WORLD ENERGY OUTLOOK Poorly implemented energy subsidies are economically costly to taxpayers and damage the environment through increased emissions of greenhouse gases and other air pollutants. Energy subsidies also create distortive price signals and result in higher energy consumption or production as well as barriers to entry for cleaner energy services. Subsidies to consumption, by lowering end-use prices, can encourage increased energy use and reduce incentives to conserve energy efficiently. Universal energy-price subsidies tend to be regressive because benefits are conditional upon the purchase of subsidized goods and increase with expenditure. This report selected a representative sample of case studies in 20 developing countries, based on a number of criteria, including the countries' level of development (and consumption) and energy dependency (distinguishing between net energy exporters and importers). The case studies have been selected on the hypothesis that energy dependence and per capita income appear to be the key drivers of subsidy reforms in developing countries. Of the two criteria, energy dependence is expected to be the most powerful determinant of the choice to engage in energy reforms, whereas the level of per capita income may pose different challenges in relation to the distributional impact of such reforms on the poor. Energy net importers are expected to have more incentives to undertake energy subsidy reforms when the fiscal burden of such subsidies reaches a significant percentage of Gross Domestic Product (GDP), particularly when there are already macro unbalances related to high thresholds of public budget and debt. Low- and middle-income countries are expected to display a larger impact of energy subsidy reforms on consumption. This impact reflects the opportunities to influence future behavior rather than current consumption trends because of inertia, vested interests, and the presence of affordability issues. 2012-12-11T21:11:53Z 2012-12-11T21:11:53Z 2013 http://documents.worldbank.org/curated/en/2012/10/16928994/implementing-energy-subsidy-reforms-evidence-developing-countries 978-0-8213-9561-5 http://hdl.handle.net/10986/11965 English en_US Directions in development;energy and mining CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank Washington, DC: World Bank Publications & Research :: Publication Publications & Research :: Publication