Energy Subsidy Reform and Delivery Technical Assistance Facility
Global spending on fossil fuel consumption subsidies totaled $325 billion in 2015, draining public resources and reducing prospects for sustainable development and the transition to renewables. Energy subsidies distort incentives for energy efficiency and for private investments in the sector. Despite being regressive and inefficient, energy subsidies are popular across all income groups. Reforming them requires political resolve as well as careful attention to the immediate impact on the poor and on industry competitiveness, and strategic efforts to communicate the benefits of reform.
THE ENERGY SUBSIDY REFORM TECHNICAL ASSISTANCE FACILITY (ESRF)
A standardized framework for assessment of energy subsidies and the reform environment is also being developed to outline a comprehensive approach to reforming energy subsidies in a politically feasible and socially responsible way. This framework will also include a series of pilots, and a rapid diagnostic tool.
The work of ESMAP’s Energy Subsidy Reform is made possible in part by funding from the European Commission.
THE ENERGY SUBSIDY-REFORM ONLINE-COMMUNITY PLATFORM (ESROC)
Through its knowledge program, the Energy Subsidy Reform Online Community, ESROC has provided a space for governments to hear from each other’s experiences, and to encourage reform where governments may be uncertain about the likelihood of success. These knowledge events, as well as regional workshops, will continue in order to deepen dialog among governments, both on a regional and global level.
ENEGY SUBSIDY REFORM PRACTITIONER EXCHANGE SERIES
In an effort to further disseminate the valuable knowledge exchange created within ESROC, ESMAP is launching the Practitioner Exchange Series.
The series includes a set of six case studies, each discussing important aspects of subsidy reform from practitioners and experts around the world. Read more.
COLLABORATION WITH OTHER ORGANIZATIONS
ESMAP collaborates with other organizations that produce important analysis and research on subsidy reforms, such as the IMF, OECD, the Global Subsidies Initiative (GSI), and the International Energy Agency (IEA). Through country engagements and events, the Facility is also connecting with global experts and former politicians with a track record of reforming subsidies in their country. This network is being consolidated into a Panel of Experts and Peers who will help with country engagements and speak at future events.
The work of ESMAP’s Energy Subsidy Reform and Delivery Technical Assistance Facility is made possible in part by funding from the European Commission.