Balancing Act : Cutting Energy Subsidies While Protecting Affordability
The cost of energy in Eastern Europe and Central Asia, as elsewhere, is an important policy issue, as shown by the concerns for energy affordability during the past harsh winter. Governments try to moderate the burden of energy expenditures that is...
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| Format: | Publication |
| Language: | English en_US |
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Washington, DC: World Bank
2013
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| Online Access: | http://documents.worldbank.org/curated/en/2013/01/17181718/balancing-act-cutting-energy-subsidies-protecting-affordability http://hdl.handle.net/10986/12296 |
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okr-10986-12296 |
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| 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 |
AFFORDABLE ENERGY ALTERNATIVE ENERGY AVAILABILITY BALANCE CALCULATION CARBON CARBON ECONOMY CARBON EMISSIONS CLIMATE COAL COLORS CONSUMER SURPLUS CONSUMPTION PATTERNS COST OF ELECTRICITY COST OF ENERGY COST OF GAS COST SAVINGS COSTS OF ENERGY PRODUCTION DEBT DEMAND FOR ENERGY DEMAND MANAGEMENT DISTRIBUTION OF ENERGY DISTRIBUTION OF GAS DISTRICT HEATING DRILLING ECONOMIC GROWTH EFFICIENT EQUIPMENT ELECTRIC APPLIANCES ELECTRIC POWER ELECTRICITY ELECTRICITY CONSUMPTION ELECTRICITY GENERATION ELECTRICITY PRICE ELECTRICITY PRICES ELECTRICITY PRODUCTION ELECTRICITY SECTOR ELECTRICITY TARIFF ELECTRICITY TARIFFS EMISSIONS EMPIRICAL ANALYSIS ENERGY BILLS ENERGY CONSUMPTION ENERGY COSTS ENERGY DEMAND ENERGY EFFICIENCY ENERGY EFFICIENCY MEASURES ENERGY EXPENDITURE ENERGY EXPENDITURES ENERGY GENERATION ENERGY INTENSITY ENERGY MARKETS ENERGY NEEDS ENERGY POLICIES ENERGY PRICE ENERGY PRICES ENERGY PRICING ENERGY PRODUCTS ENERGY RESOURCES ENERGY SOURCE ENERGY SOURCES ENERGY SUPPLY ENERGY USAGE ENERGY USE ENERGY_EFFICIENCY ENVIRONMENTAL ENVIRONMENTAL COSTS ENVIRONMENTAL IMPLICATIONS ENVIRONMENTS EXPENDITURES EXPLOITATION FUEL GAS GAS CONSUMPTION GAS PRICE GAS PRICES GAS SECTOR GROSS DOMESTIC PRODUCT HEAT HIGHER ENERGY PRICES HOT WATER HOUSEHOLD ENERGY HOUSEHOLD SECTOR HYDROPOWER IMPROVEMENTS IN ENERGY EFFICIENCY IMPROVING ENERGY EFFICIENCY INCOME INVESTMENT IN ENERGY EFFICIENCY INVESTMENTS IN ENERGY LIQUEFIED NATURAL GAS LIVING STANDARDS LOW-CARBON MARGINAL COST MARKET PRICES MEMBER STATES NATURAL GAS NATURAL MONOPOLIES NEGATIVE EXTERNALITIES OIL OIL MARKETS OIL PRICES PERVERSE INCENTIVES PETROLEUM PIPELINE POLICY MAKERS POLITICAL ECONOMY POWER POWER GENERATION POWER GENERATION CAPACITY POWER PLANT POWER SECTOR PRESENT VALUE PRICE CHANGES PRICE OF ELECTRICITY PRICE OF GAS PRIMARY ENERGY PRODUCTION COSTS PRODUCTIVITY GROWTH PURCHASING POWER QUALITY OF ENERGY RENEWABLE SOURCES RESIDENTIAL ENERGY RETROFITTING SOCIAL COSTS SPACE HEATING SUSTAINABLE DEVELOPMENT TARIFF LEVELS TARIFF STRUCTURE TARIFF STRUCTURES UTILITIES WELFARE LOSS WORLD OIL WORLD OIL PRODUCTION |
| spellingShingle |
AFFORDABLE ENERGY ALTERNATIVE ENERGY AVAILABILITY BALANCE CALCULATION CARBON CARBON ECONOMY CARBON EMISSIONS CLIMATE COAL COLORS CONSUMER SURPLUS CONSUMPTION PATTERNS COST OF ELECTRICITY COST OF ENERGY COST OF GAS COST SAVINGS COSTS OF ENERGY PRODUCTION DEBT DEMAND FOR ENERGY DEMAND MANAGEMENT DISTRIBUTION OF ENERGY DISTRIBUTION OF GAS DISTRICT HEATING DRILLING ECONOMIC GROWTH EFFICIENT EQUIPMENT ELECTRIC APPLIANCES ELECTRIC POWER ELECTRICITY ELECTRICITY CONSUMPTION ELECTRICITY GENERATION ELECTRICITY PRICE ELECTRICITY PRICES ELECTRICITY PRODUCTION ELECTRICITY SECTOR ELECTRICITY TARIFF ELECTRICITY TARIFFS EMISSIONS EMPIRICAL ANALYSIS ENERGY BILLS ENERGY CONSUMPTION ENERGY COSTS ENERGY DEMAND ENERGY EFFICIENCY ENERGY EFFICIENCY MEASURES ENERGY EXPENDITURE ENERGY EXPENDITURES ENERGY GENERATION ENERGY INTENSITY ENERGY MARKETS ENERGY NEEDS ENERGY POLICIES ENERGY PRICE ENERGY PRICES ENERGY PRICING ENERGY PRODUCTS ENERGY RESOURCES ENERGY SOURCE ENERGY SOURCES ENERGY SUPPLY ENERGY USAGE ENERGY USE ENERGY_EFFICIENCY ENVIRONMENTAL ENVIRONMENTAL COSTS ENVIRONMENTAL IMPLICATIONS ENVIRONMENTS EXPENDITURES EXPLOITATION FUEL GAS GAS CONSUMPTION GAS PRICE GAS PRICES GAS SECTOR GROSS DOMESTIC PRODUCT HEAT HIGHER ENERGY PRICES HOT WATER HOUSEHOLD ENERGY HOUSEHOLD SECTOR HYDROPOWER IMPROVEMENTS IN ENERGY EFFICIENCY IMPROVING ENERGY EFFICIENCY INCOME INVESTMENT IN ENERGY EFFICIENCY INVESTMENTS IN ENERGY LIQUEFIED NATURAL GAS LIVING STANDARDS LOW-CARBON MARGINAL COST MARKET PRICES MEMBER STATES NATURAL GAS NATURAL MONOPOLIES NEGATIVE EXTERNALITIES OIL OIL MARKETS OIL PRICES PERVERSE INCENTIVES PETROLEUM PIPELINE POLICY MAKERS POLITICAL ECONOMY POWER POWER GENERATION POWER GENERATION CAPACITY POWER PLANT POWER SECTOR PRESENT VALUE PRICE CHANGES PRICE OF ELECTRICITY PRICE OF GAS PRIMARY ENERGY PRODUCTION COSTS PRODUCTIVITY GROWTH PURCHASING POWER QUALITY OF ENERGY RENEWABLE SOURCES RESIDENTIAL ENERGY RETROFITTING SOCIAL COSTS SPACE HEATING SUSTAINABLE DEVELOPMENT TARIFF LEVELS TARIFF STRUCTURE TARIFF STRUCTURES UTILITIES WELFARE LOSS WORLD OIL WORLD OIL PRODUCTION Laderchi, Caterina Ruggeri Olivier, Anne Trimble, Chris Balancing Act : Cutting Energy Subsidies While Protecting Affordability |
| geographic_facet |
Europe and Central Asia |
| relation |
Eastern Europe and Central Asia Reports; |
| description |
The cost of energy in Eastern Europe and
Central Asia, as elsewhere, is an important policy issue, as
shown by the concerns for energy affordability during the
past harsh winter. Governments try to moderate the burden of
energy expenditures that is experienced by households
through subsidies to the energy providers, so that
households pay tariffs below the cost recovery level for the
energy they use. These subsidies result in significant
pressures on government budgets when international prices
rise. They also provide perverse incentives for the
overconsumption of energy as households do not pay the true
cost of energy, and therefore, have fewer incentives to save
or to invest in energy efficiency. Balancing competing
claims-fiscal and environmental concerns which would push
for raising energy tariffs on the one hand, and
affordability and political economy concerns which push for
keeping tariffs artificially low on the other-is a task that
policy makers in the region are increasingly unable to put
off. Addressing this issue is all the more pressing as the
ongoing crisis continues to add stress to government
budgets, and that international energy prices remain high.
While challenging, the reforms needed for this balancing act
can build on much that has been learned in the last decade
about improving the effectiveness of social assistance
systems and increasing energy efficiency. This is the first
report to assess, at the micro level for the whole region,
the distributional impact of raising energy tariffs to cost
recovery levels and to simulate policy options to cushion
these impacts. In conclusion, this report highlights that
countries face a difficult balancing act between fiscal and
environmental concerns that call for raising energy tariffs
to lower fiscal burdens and curb household consumption and
concerns for the affordability of energy and the political
economy of unpopular reforms. |
| format |
Publications & Research :: Publication |
| author |
Laderchi, Caterina Ruggeri Olivier, Anne Trimble, Chris |
| author_facet |
Laderchi, Caterina Ruggeri Olivier, Anne Trimble, Chris |
| author_sort |
Laderchi, Caterina Ruggeri |
| title |
Balancing Act : Cutting Energy Subsidies While Protecting Affordability |
| title_short |
Balancing Act : Cutting Energy Subsidies While Protecting Affordability |
| title_full |
Balancing Act : Cutting Energy Subsidies While Protecting Affordability |
| title_fullStr |
Balancing Act : Cutting Energy Subsidies While Protecting Affordability |
| title_full_unstemmed |
Balancing Act : Cutting Energy Subsidies While Protecting Affordability |
| title_sort |
balancing act : cutting energy subsidies while protecting affordability |
| publisher |
Washington, DC: World Bank |
| publishDate |
2013 |
| url |
http://documents.worldbank.org/curated/en/2013/01/17181718/balancing-act-cutting-energy-subsidies-protecting-affordability http://hdl.handle.net/10986/12296 |
| _version_ |
1764419437211942912 |
| spelling |
okr-10986-122962021-04-23T14:03:00Z Balancing Act : Cutting Energy Subsidies While Protecting Affordability Laderchi, Caterina Ruggeri Olivier, Anne Trimble, Chris AFFORDABLE ENERGY ALTERNATIVE ENERGY AVAILABILITY BALANCE CALCULATION CARBON CARBON ECONOMY CARBON EMISSIONS CLIMATE COAL COLORS CONSUMER SURPLUS CONSUMPTION PATTERNS COST OF ELECTRICITY COST OF ENERGY COST OF GAS COST SAVINGS COSTS OF ENERGY PRODUCTION DEBT DEMAND FOR ENERGY DEMAND MANAGEMENT DISTRIBUTION OF ENERGY DISTRIBUTION OF GAS DISTRICT HEATING DRILLING ECONOMIC GROWTH EFFICIENT EQUIPMENT ELECTRIC APPLIANCES ELECTRIC POWER ELECTRICITY ELECTRICITY CONSUMPTION ELECTRICITY GENERATION ELECTRICITY PRICE ELECTRICITY PRICES ELECTRICITY PRODUCTION ELECTRICITY SECTOR ELECTRICITY TARIFF ELECTRICITY TARIFFS EMISSIONS EMPIRICAL ANALYSIS ENERGY BILLS ENERGY CONSUMPTION ENERGY COSTS ENERGY DEMAND ENERGY EFFICIENCY ENERGY EFFICIENCY MEASURES ENERGY EXPENDITURE ENERGY EXPENDITURES ENERGY GENERATION ENERGY INTENSITY ENERGY MARKETS ENERGY NEEDS ENERGY POLICIES ENERGY PRICE ENERGY PRICES ENERGY PRICING ENERGY PRODUCTS ENERGY RESOURCES ENERGY SOURCE ENERGY SOURCES ENERGY SUPPLY ENERGY USAGE ENERGY USE ENERGY_EFFICIENCY ENVIRONMENTAL ENVIRONMENTAL COSTS ENVIRONMENTAL IMPLICATIONS ENVIRONMENTS EXPENDITURES EXPLOITATION FUEL GAS GAS CONSUMPTION GAS PRICE GAS PRICES GAS SECTOR GROSS DOMESTIC PRODUCT HEAT HIGHER ENERGY PRICES HOT WATER HOUSEHOLD ENERGY HOUSEHOLD SECTOR HYDROPOWER IMPROVEMENTS IN ENERGY EFFICIENCY IMPROVING ENERGY EFFICIENCY INCOME INVESTMENT IN ENERGY EFFICIENCY INVESTMENTS IN ENERGY LIQUEFIED NATURAL GAS LIVING STANDARDS LOW-CARBON MARGINAL COST MARKET PRICES MEMBER STATES NATURAL GAS NATURAL MONOPOLIES NEGATIVE EXTERNALITIES OIL OIL MARKETS OIL PRICES PERVERSE INCENTIVES PETROLEUM PIPELINE POLICY MAKERS POLITICAL ECONOMY POWER POWER GENERATION POWER GENERATION CAPACITY POWER PLANT POWER SECTOR PRESENT VALUE PRICE CHANGES PRICE OF ELECTRICITY PRICE OF GAS PRIMARY ENERGY PRODUCTION COSTS PRODUCTIVITY GROWTH PURCHASING POWER QUALITY OF ENERGY RENEWABLE SOURCES RESIDENTIAL ENERGY RETROFITTING SOCIAL COSTS SPACE HEATING SUSTAINABLE DEVELOPMENT TARIFF LEVELS TARIFF STRUCTURE TARIFF STRUCTURES UTILITIES WELFARE LOSS WORLD OIL WORLD OIL PRODUCTION The cost of energy in Eastern Europe and Central Asia, as elsewhere, is an important policy issue, as shown by the concerns for energy affordability during the past harsh winter. Governments try to moderate the burden of energy expenditures that is experienced by households through subsidies to the energy providers, so that households pay tariffs below the cost recovery level for the energy they use. These subsidies result in significant pressures on government budgets when international prices rise. They also provide perverse incentives for the overconsumption of energy as households do not pay the true cost of energy, and therefore, have fewer incentives to save or to invest in energy efficiency. Balancing competing claims-fiscal and environmental concerns which would push for raising energy tariffs on the one hand, and affordability and political economy concerns which push for keeping tariffs artificially low on the other-is a task that policy makers in the region are increasingly unable to put off. Addressing this issue is all the more pressing as the ongoing crisis continues to add stress to government budgets, and that international energy prices remain high. While challenging, the reforms needed for this balancing act can build on much that has been learned in the last decade about improving the effectiveness of social assistance systems and increasing energy efficiency. This is the first report to assess, at the micro level for the whole region, the distributional impact of raising energy tariffs to cost recovery levels and to simulate policy options to cushion these impacts. In conclusion, this report highlights that countries face a difficult balancing act between fiscal and environmental concerns that call for raising energy tariffs to lower fiscal burdens and curb household consumption and concerns for the affordability of energy and the political economy of unpopular reforms. 2013-02-11T18:00:46Z 2013-02-11T18:00:46Z 2013-01-05 http://documents.worldbank.org/curated/en/2013/01/17181718/balancing-act-cutting-energy-subsidies-protecting-affordability 978-0-8213-9789-3 http://hdl.handle.net/10986/12296 English en_US Eastern Europe and Central Asia Reports; CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank Washington, DC: World Bank Publications & Research :: Publication Europe and Central Asia |