A course on energy subsidies, their costs, and the design of a successful reform based on country case studies.
Energy subsidies are an issue in practically every country in the world. Pre-tax subsidies, which arise when energy consumers pay less than the supply cost of energy, are high in many emerging and developing economies, and have risen in recent years. Although pre-tax subsidies are not a large enough problem in advanced economies to cause fiscal difficulties, these countries have tax subsidies, where the taxes imposed on energy are not high enough to account for all of the adverse effects of excessive energy consumption, including on the environment. The issue of energy subsidy reform is not new. Despite widespread recognition of their adverse consequences, energy subsidies have proven difficult to reform.
This course builds an extensive cross-country analysis, which is reported in the recently published IMF book “Energy Subsidy Reform: Lessons and Implications,” to make recommendations on how to best implement reforms aimed at reducing state subsidies on energy.
In the first part of the course, economists from the IMF will introduce the definition and measurement of subsidies, and then describe the economic, social, and environmental implications of subsidies. The second part of the course has two principal purposes: first, to review what works best in energy subsidy reform, in light of country experiences globally; and second, to illustrate successes and failures in particular country contexts by summarizing some case studies.
Whether you are a civil servant working on economic issues for your country or simply interested in better understanding issues related to energy subsidies, this course will provide hands-on training on the design of successful reforms of energy subsidies.
You are welcome to join us in this exciting course!
Energy Subsidy Reform is offered by the IMF with financial support from the Government of Belgium.
What you'll learn:
- How to measure energy subsidies
- Economic, social and environmental implications of energy subsidies
- Successful energy subsidy reform measures
- Rules that allow countries to phase out subsidies over time
- How to measure the impact of energy subsidies in your own country