ENGLISH

Energy Subsidy Reform: Lessons and Implications

By Benedict J. Clements; Christian Josz; David Coady; Stefania Fabrizio; Stefania Fabrizio; Baoping Sha

Book information

Publisher
International Monetary Fund
Year
2013
ISBN
9781484393796, 9781475558111
LCC
HD9502 -- .E54 2013eb
Language
english
Format
EPUB
Filesize
7 MB (7431108 bytes)
Edition
1
Pages
197\0
Time added
2023-08-25 22:36:10
Electric utilities -- Government policy. ; Energy

Description

Energy subsidies have wide-ranging economic consequences. Although they are aimed at protecting consumers, subsidies aggravate fiscal imbalances, crowd out priority public spending, and depress private investment, including in the energy sector. Subsidies also distort resource allocation by encouraging excessive energy consumption, artificially promoting capital-intensive industries, reducing incentives for investment in renewable energy, and accelerating the depletion of natural resources. Most subsidy benefits are captured by higher-income households, reinforcing inequality. Even future generations are affected through the damaging effects of increased energy consumption on global warming. This book provides (1) the most comprehensive estimates of energy subsidies currently available for 176 countries and (2) an analysis of “how to do” energy subsidy reform, drawing on insights from 22 country case studies undertaken by the IMF staff and analyses carried out by other institutions.

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