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Energy subsidies, international aid, and the politics of reform

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  • Neil McCulloch

Abstract

Energy subsidy reform is critical to achieving the Sustainable Development Goals and tackling climate change. This paper sets out the evidence on the scale of subsidies and their impact. It then reviews the actions of donors in encouraging and supporting energy subsidy reforms. I find that, outside of analytical work in support of international diplomatic efforts, the donor community has devoted remarkably few resources to supporting developing countries to remove energy subsidies. This is despite the fact that energy subsidies exceed all bilateral aid in 59 per cent of recipient countries.

Suggested Citation

  • Neil McCulloch, 2017. "Energy subsidies, international aid, and the politics of reform," WIDER Working Paper Series wp-2017-174, World Institute for Development Economic Research (UNU-WIDER).
    • Handle: RePEc:unu:wpaper:wp-2017-174
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    References listed on IDEAS

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