February 28, 2018

Power for All

Utilities 2.0, Energy Policy

Research Summary: Electricity Subsidies Failing Low-Income Households

Subsidies are a common way to support electricity access to poor households. Yet data from the World Bank shows that subsidies are largely failing to help the under-served. In fact, only 10% of electricity subsidies in Sub-Saharan Africa flow to households with the lowest income, while subsidizing residential tariffs accounts for the single largest source of utility deficits. It's time for reform.

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