Energy Subsidies: Lessons Learned in Assessing their Impact - UNEP

Energy Subsidies: Lessons Learned in Assessing their Impact and Designing Policy Reforms
Figure 4.5: Average Electricity Prices by Sector in the Slovak Republic, 1988 – 2000 (SKK/kWh)
Source: Krivosik (2001).
Figure 4.6: Electricity Cross-Subsidies in the Czech and Slovak Republics, 1993 – 2000 ($ million)
Source: Krivosik (2001) and Koneko (2001).
Because of these cross-subsidies, household electricity consumption in both countries
increased steadily in the 1990s, driven largely by heating demand (Figures 4.6. and 4.7).
Direct electric heating represented only 1.5% of total household electricity consumption in
the Slovak Republic in 1993. By 1996, this share had soared to almost one quarter. Household
electric heating accounted for over one third of the total growth of electricity consumption
between 1992 and 2000. A similar development occurred in the Czech Republic (Figure 4.6).
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