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Theoretical Framework for Industrial Electricity Consumption Revisited

Author

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  • Fakhri Hasanov

    (King Abdullah Petroleum Studies and Research Center)

Abstract

Policymakers should expect that the energy price reform in Saudi Arabia will reduce industrial electricity consumption. However, this reduction will be slight as the price effect is found to be very small. At the same time, policymakers should be aware that the increasing population aged 15-64, and all those over 15, will lead to an increase in industrial electricity consumption. Lastly, the estimations show that industrial electricity consumption will fully absorb shocks including policy interventions in less than a year.

Suggested Citation

  • Fakhri Hasanov, 2019. "Theoretical Framework for Industrial Electricity Consumption Revisited," Discussion Papers ks--2019-dp66, King Abdullah Petroleum Studies and Research Center.
    • Handle: RePEc:prc:dpaper:ks--2019-dp66
    DOI: 10.30573/KS-2019-DP66
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    File URL: https://www.kapsarc.org/research/publications/theoretical-framework-for-industrial-electricity-consumption-revisited/
    File Function: First version, 2019
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    File URL: https://libkey.io/10.30573/KS-2019-DP66?utm_source=ideas
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    Cited by:

    1. Fakhri J. Hasanov & Noha Razek, 2023. "Oil and Non-Oil Determinants of Saudi Arabia’s International Competitiveness: Historical Analysis and Policy Simulations," Sustainability, MDPI, vol. 15(11), pages 1-39, June.
    2. Fakhri J. Hasanov & Muhammad Javid & Frederick L. Joutz, 2022. "Saudi Non-Oil Exports before and after COVID-19: Historical Impacts of Determinants and Scenario Analysis," Sustainability, MDPI, vol. 14(4), pages 1-38, February.
    3. Hassan B. Ghassan & Hassan R. Alhajhoj & Faruk Balli, 2022. "Bi-demographic and current account dynamics using SVAR model: evidence from Saudi Arabia," Economic Change and Restructuring, Springer, vol. 55(3), pages 1327-1363, August.
    4. Hasanov, Fakhri J. & Shannak, Sa'd, 2020. "Electricity incentives for agriculture in Saudi Arabia. Is that relevant to remove them?," Energy Policy, Elsevier, vol. 144(C).
    5. Salaheddine Soummane & F. Ghersi, 2022. "Projecting Saudi sectoral electricity demand in 2030 using a computable general equilibrium model," Post-Print hal-03500916, HAL.
    6. Brantley Liddle & Fakhri Hasanov, 2022. "Industry electricity price and output elasticities for high-income and middle-income countries," Empirical Economics, Springer, vol. 62(3), pages 1293-1319, March.

    More about this item

    Keywords

    Cointegration; Demography; Electricity consumption; Electricity demand; Equillibrium correction;
    All these keywords.

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