The distributional impacts of removing energy subsidies in China

Jiang, Zhujun; Ouyang, Xiaoling; Huang, Guangxiao

doi:10.1016/j.chieco.2015.01.012

“…This "win-win exchange" regulation failure can be seen as a sign of grid market power. Thus, the phenomenon of cross-subsidy is very serious, not only industry subsidizing residents, but also small and medium-sized consumer subsidizing large industry (Jiang et al, 2015). To some extent, the electricity retailing price for large enterprises can be taken as marginal cost (mc) and the price for general industrial and commercial users could be taken as the price (p).…”

Section: Data and Measures Of Grid Market Powermentioning

confidence: 99%

Assessing the Effects of Market Power on Electricity Reliability in China: Toward a Green and Reliable Market

Ming-hui

¹

,

Ju

²

,

Huang

³

2022

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The transition to a low-carbon power system is among the measures to forge green energy transition and carbon neutrality, where grid firms have a crucial role. In this context, this paper uses the provincial data from 2004 to 2017 to evaluate the impact of market power of grid companies on service quality in China. Panel dynamic ordinary least square (DOLS) and fully modified ordinary least square (FMOLS) models are employed. The findings indicate that higher market power has indeed reduced reliability measured by average outage duration. Renewable energy integration also has negative effects and reduces electricity reliability. Finally, the effects are also heterogeneous across the different regions. The results may also provide useful lessons for other developing countries aiming to improve the electricity supply chain.

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“…the wealthy. In China, the poorest spend a larger share of income on coal-powered electricity whereas the wealthy spend more on fuel (Jiang, Ouyang, and Huang 2015). In Ghana, those in the poorest quintile spend a larger share of their income on kerosene than on gasoline, diesel, or liquid propane (Cooke et al 2016).…”

Section: Box 13mentioning

confidence: 99%

Fiscal Policies for Development and Climate Action

Pigato¹

2018

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Books in this series are published to communicate the results of Bank research, analysis, and operational experience with the least possible delay. The extent of language editing varies from book to book.This work is a product of the staff of The World Bank with external contributions. The findings, interpretations, and conclusions expressed in this work do not necessarily reflect the views of The World Bank, its Board of Executive Directors, or the governments they represent. The World Bank does not guarantee the accuracy of the data included in this work. The boundaries, colors, denominations, and other information shown on any map in this work do not imply any judgment on the part of The World Bank concerning the legal status of any territory or the endorsement or acceptance of such boundaries.Nothing herein shall constitute or be considered to be a limitation upon or waiver of the privileges and immunities of The World Bank, all of which are specifically reserved.

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“…BOX 1.3 the wealthy. In China, the poorest spend a larger share of income on coal-powered electricity whereas the wealthy spend more on fuel (Jiang, Ouyang, and Huang 2015). In Ghana, those in the poorest quintile spend a larger share of their income on kerosene than on gasoline, diesel, or liquid propane (Cooke et al 2016).…”

Section: Factors Determining the Distributional Effects Of Etrmentioning

confidence: 99%

Increasing Resilience: Fiscal Policy for Climate Adaptation

Forni¹,

Catalano²,

Pezzolla³

2018

Fiscal Policies for Development and Climate Action

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Books in this series are published to communicate the results of Bank research, analysis, and operational experience with the least possible delay. The extent of language editing varies from book to book.This work is a product of the staff of The World Bank with external contributions. The findings, interpretations, and conclusions expressed in this work do not necessarily reflect the views of The World Bank, its Board of Executive Directors, or the governments they represent. The World Bank does not guarantee the accuracy of the data included in this work. The boundaries, colors, denominations, and other information shown on any map in this work do not imply any judgment on the part of The World Bank concerning the legal status of any territory or the endorsement or acceptance of such boundaries.Nothing herein shall constitute or be considered to be a limitation upon or waiver of the privileges and immunities of The World Bank, all of which are specifically reserved.

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The distributional impacts of removing energy subsidies in China

Cited by 44 publications

References 22 publications

Assessing the Effects of Market Power on Electricity Reliability in China: Toward a Green and Reliable Market

Assessing the Effects of Market Power on Electricity Reliability in China: Toward a Green and Reliable Market

Fiscal Policies for Development and Climate Action

Increasing Resilience: Fiscal Policy for Climate Adaptation

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