Impact of Removal of City Gas Subsidies on Chinese Urban Residents.pdfVIP

Impact of Removal of City Gas Subsidies on Chinese Urban Residents.pdf

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Impact of Removal of City Gas Subsidies on Chinese Urban Residents.pdf

Trans.TianjinUniv.2012.18:309—314 DOI1O.1O07/s12209—012—1944一x ImpactofRemovalofCityGasSubsidies onChineseUrbanResidents LIAOHua(廖 华),2 ZHUZhishuan9(朱治双)一,WANGku (王 璐)1 (1.SchoolofManagementandEconomics,BeijingInstituteofTechnology,Beijing100081,China; 2.CenterforEnergynadEnvironmentalPolicyResearch,BeijingInstiutteofTechnology,Beijing100081,China) ◎TianjinUniversityandSpringer—VerlagBerlinHeidelberg2012 Abstract:Thecurrentcost.plusnaturalgaspricingmechanism makesthegaspricetoolow,resultinginalotofcon- sumer—side subsidiesandover—consumednaturalgas.Thispaperappliestheprice—gap approach and input—outFIut analysistechnologytoquantitativelyanalyzeboththedirectandindirecteffectsonurbanresidentsunderthecondition thatnaturalgassubsidiesarecancelledinChinain2007.Itisshownthatthegaspricewillincreaseby33.3%一41.6%, andtheresidentialconsumptionexpenditurebv0.26%一 0.33%.Thelow—incomegroupsaremostlyaffected,sodiffer— entsubsidiesshouldbeimplementedtomakesubsidiesmoreem cient. Keywords.pricesubsidies;price--gapapproach;input·o·utputanalysistechnology Sincethe1990s,naturalgasmarketinChinahasen— istenceofinstitutionalbarriers,energy subsidiesusually teredaperiod ofrapid development.Consumption of cannotachievetheirdeclaredobjectives.Withthedevel— naturalgasgrew from 15.25billionm in1990to 109.04 opmentofenergyindustry,thedrawbacksofenergysub— billionm in2010.Duringthesameperiod,naturalgas sidieshavegraduallyemerged.Firstofall,manyofthem productionincreasedfrom 15.30billionm to96.76bil— haveincreasedthegovernment’sfinancia1burden.IEA J lionm Illandthenaturalgassubsidyincreasedsignifi— estimatedthattheaverageenergy subsidyrateinChina , cantly. wasl0.9%.andthetota1welfareIOSSwasequivalentto AccordingtotheOrganizationforEconomicCoop— 0-36% OfGD

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