Poorly implemented energy subsidies are economically costly to taxpayers and damage the environment. This report aims at providing the emerging lessons form a representative sample of case studies in ...20 developing countries that could help policy makers to address implementation challenges, including overcoming political economy and affordability constraints. The sample has selected on the basis of a number of criteria, including the countrys level of development (and consumption), developing country region, energy security and the fuel it subsidies (petroleum fuel, electricity, natural gas). The case studies were supported by data collection related to direct budgetary subsidies, fuel and electricity tariffs, and household survey data.The analysis provides strong evidence of the success of reforms in reducing the associated fiscal burden. For the sample of countries, the average energy subsidy recorded in the budget was reduced from 1.8% in 2004 to 1.3%GDP in 2010. The reduction of subsidies is particularly remarkable for net energy importers. Pass-through of international fuel prices was also notable in the case of electricity generated by fossil fuel. For the sample of countries, the average end-user electricity tariff increased by 50%, from USD 6 cents in 2002 to USD 9 cents per kWh in 2010.In spite of the relatively price inelastic demand for gasoline and diesel, fossil fuel consumption in the road sector (per unit of GDP) declined in the 20 countries examined from 53 (44) in 2002 to about 23 kt oil equivalent per million of GDP in 2008 in the case of gasoline (Diesel). The most notable decline in consumption was recorded in the low and lower middle income countries. This reflects the much higher rate of growth in GDP in this group of countries and underlines the opportunities to influence future consumption behavior rather than modifying
the existing consumption patterns, overcoming inertia and vested interests. Similar trends are recorded for power consumption.While there is no one-size-fits-all model for subsidy reform, implementation of compensatory social policies and an effective communication strategy, before the changes are introduced, reduces helped with the implementation of reforms.
Financing Energy Efficiency Taylor, Robert P; Govindarajalu, Chandrasekar; Levin, Jeremy ...
2006, 02-14-2008, 2008, 20080101
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Open access
While energy efficiency projects could partly meet new energy demand more cheaply than new supplies, weak economic institutions in developing and transitional economies impede developing and ...financing energy efficiency retrofits. This book analyzes these difficulties, suggests a 3-part model for projectizing and financing energy efficiency retrofits, and presents thirteen case studies to illustrate the issues and principles involved.
This book explores energy savings performance contracts (ESPCs) as a means of overcoming some of the more difficult hurdles in promoting energy efficiency in public facilities. ESPCs represent a very ...attractive solution to many of the problems that are unique to public agencies, since they involve outsourcing a full project cycle to a service provider. From the detailed audit through implementation and savings verification, ESPCs can relieve public agencies of bureaucratic hassles, while service providers can secure the off-budget project financing and be paid from the actual energy savings, thus internalizing project performance risks. ESPC bidding also allows public agencies to select from a range of technical solutions, maximizing the benefit to the agency. Global experience suggests that ESPCs have been more effective at realizing efficiency gains than many other policy measures and programs, since the service providers have a vested interest in ensuring that a project is actually implemented. Many of the country governments interviewed for the study also saw enormous potential in bundling, financing, and implementing energy efficiency projects on a larger scale in the public sector, a method that increases the rate of efficiency gains and creates further benefits through economies of scale.
This Intergovernmental Panel on Climate Change Special Report (IPCC-SRREN) assesses the potential role of renewable energy in the mitigation of climate change. It covers the six most important ...renewable energy sources – bioenergy, solar, geothermal, hydropower, ocean and wind energy – as well as their integration into present and future energy systems. It considers the environmental and social consequences associated with the deployment of these technologies and presents strategies to overcome technical as well as non-technical obstacles to their application and diffusion. SRREN brings a broad spectrum of technology-specific experts together with scientists studying energy systems as a whole. Prepared following strict IPCC procedures, it presents an impartial assessment of the current state of knowledge: it is policy relevant but not policy prescriptive. SRREN is an invaluable assessment of the potential role of renewable energy for the mitigation of climate change for policymakers, the private sector and academic researchers.
Power to the people Kander, Astrid; Malanima, Paolo; Warde, Paul
2014., 20140105, 2014, 2014-01-05, 20130101, 2013, Volume:
46
eBook, Book
Power to the Peopleexamines the varied but interconnected relationships between energy consumption and economic development in Europe over the last five centuries. It describes how the traditional ...energy economy of medieval and early modern Europe was marked by stable or falling per capita energy consumption, and how the First Industrial Revolution in the eighteenth century--fueled by coal and steam engines--redrew the economic, social, and geopolitical map of Europe and the world. The Second Industrial Revolution continued this energy expansion and social transformation through the use of oil and electricity, but after 1970 Europe entered a new stage in which energy consumption has stabilized. This book challenges the view that the outsourcing of heavy industry overseas is the cause, arguing that a Third Industrial Revolution driven by new information and communication technologies has played a major stabilizing role.
Power to the Peopleoffers new perspectives on the challenges posed today by climate change and peak oil, demonstrating that although the path of modern economic development has vastly increased our energy use, it has not been a story of ever-rising and continuous consumption. The book sheds light on the often lengthy and complex changes needed for new energy systems to emerge, the role of energy resources in economic growth, and the importance of energy efficiency in promoting growth and reducing future energy demand.
Energy Efficiency Stuggins, Gary; Sharabaroff, Alexander; Semikolenova, Yadviga
Washington, DC: World Bank,
2013., 2013, 01-15-2013, 2013-01-05
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This study is designed to analyze the energy efficiency policies in seven countries that were successful in achieving low energy intensities or in reducing their energy intensity considerably. The ...study analyzes the evolution of the energy intensity of these countries from 1990 to 2007, identifying points of inflection in the progress towards improvements. Changes to the policy agenda immediately upstream are explored in an effort to identify cause and affect relationships in energy efficiency improvements. 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.
Restoring Balance Mohammad Asaduzzaman, Douglas F. Barnes, Shahidur R. Khandker
2010, 03-29-2010, 2010-03-01, 20100101, Volume:
181
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Bangladesh is one of the world's poorest countries. Nearly 80 percent of the nation's 140 million people reside in rural areas; of these, 20 percent live in extreme poverty. Geographically, many ...low-lying areas are vulnerable to severe flooding, while other regions are prone to drought, erosion, and soil salinity. Such an unfavorable agricultural landscape, combined with mismanagement of natural resources and increasing population pressure, is pushing many of the rural poor to the brink. Because Bangladesh is such a poor country, it also is one of the world's lowest energy producers. Total annual energy supply is only about 150 liters of oil equivalent per capita (International Energy Agency, or IEA 2003); in rural areas, conditions are even worse. Compared to other developing countries, Bangladesh uses little modern energy. Despite its successful rural electrification program, close to two-thirds of households remain without electricity and, with the exception of kerosene, commercial fuels are beyond reach for many. Moreover, biomass fuels are becoming increasingly scarce. Collected mainly from the local environment as recently as two decades ago, bio-fuels are fast becoming a marketed commodity as access to local biomass continues to shrink. This study, the first to concentrate on Bangladesh's energy systems and their effects on the lives of rural people, drew on these background studies, as well as other World Bank-financed research on indoor air pollution (IAP) and rural infrastructure, to present a rural energy strategy for the country. Much of this study's analytical underpinning was based on several background studies. This study also reanalyzed data from earlier research to better understand the benefits of modern energy use for rural households, farm activities, and small businesses.
Winds of Change Wang, Xiaodong; Berrah, Noureddine; Mathur, Subodh ...
2010, 06-24-2010, 20100101
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This report demonstrates that a "climate-smart" energy strategy is possible for countries in the East Asia region, with support from the international community. In the past three decades, the East ...Asia region has experienced the fastest economic growth in the world, accompanied by rapid urbanization. As a consequence, energy consumption has more than tripled and is expected to further double over the next two decades. This remarkable growth and rapid urbanization have led to twin energy challenges in the region: improving environmental sustainability and enhancing energy security. The region has many of the world's most polluted cities, resulting from fossil fuel combustion. The region also contains some of the largest greenhouse gas emitters in the world, although their per capita and historical emissions are much below the levels of industrialized countries. Concerns with energy security have grown because of increased risks of price volatility and possible disruptions in supplies for oil and gas. To move the region to a sustainable energy path, the commitment of the respective governments and communities is essential. The governments will need energy-pricing reforms that no longer encourage the use of fossil fuels, and put in place regulations and incentives that improve energy efficiency and support low-carbon technologies. The governments also will need to ramp up research and development for new technologies to leapfrog to the clean energy revolution. The countries cannot move to a sustainable energy path alone. They will need the support of the international community. Substantial concessional financing is essential to motivate energy efficiency and low-carbon technology investments. Transfer of low-carbon technologies and institutional strengthening also will be needed.
Throughout the world, the threat of climate change is pressing governments to accelerate the deployment of technologies to generate low carbon electricity or heat. But this is frequently leading to ...controversy, as energy and planning policies are revised to support new energy sources or technologies (e.g. offshore wind, tidal, bioenergy or hydrogen energy) and communities face the prospect of unfamiliar, often large-scale energy technologies being sited near to their homes. Policy makers in many countries face tensions between 'streamlining' planning procedures, engaging with diverse publics to address what is commonly conceived as 'NIMBY' (not in my back yard) opposition, and the need to maintain democratic, participatory values in planning systems.
This volume provides a timely, international review of research on public engagement, in contexts of diverse, innovative energy technologies. Public engagement is conceived broadly - as the interaction between how developers and other key actors engage with publics about energy technologies (including assumptions held about the methods used, such as the provision of financial benefits or the holding of deliberative events), and how individuals and groups engage with energy policies and projects (including indirectly through the media and directly through emotional and behavioural responses).
The book's contributors are leading experts in the UK, Europe, North and South America and Australia drawn from a variety of relevant social science disciplinary perspectives. The book makes a significant contribution to our existing knowledge, as well as providing interested professionals, policymakers and members of the public with a timely overview of the critical issues involved in public engagement with low carbon energy technologies.
