Equity and the willingness to pay for green electricity in Germany

Abstract

Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. AbstractThe production of electricity on the basis of renewable energy technologies is a classic example of an impure public good. It is often discriminatively financed by industrial and household consumers, such as in Germany, where the energy-intensive sector benefits from a far-reaching exemption rule, while all other electricity consumers are forced to bear a higher burden. Based on randomized information treatments in a stated-choice experiment among about 11,000 German households, we explore whether this coercive payment rule affects households' willingness-to-pay (WTP) for green electricity. Our central result is that reducing inequity by abolishing the exemption for the energyintensive industry raises households' WTP substantially. JEL Classification: D03, D12, H41, Q20, Q50

Carbon pricing in Germany's road transport and housing sector: Options for reimbursing carbon revenues

“…These technologies are currently financed by consumers via a surcharge on the electricity price, the so-called EEG levy, but firms in energy-intensive industries are allowed to pay just a small fraction of this levy, which in 2020 amounts to 6.76 cents per kWh. As a result of the industry exemptions, all other consumers have to pay a higher levy, frequently leading to claims of unfairness in the distribution of the costs of Germany's energy transition (Andor, Frondel, Sommer 2018). In 2018, 2,156 German firms benefitted from these exemption rules, while the remaining consumers had to bear a higher burden of about 5.5 bn euros in total (BAFA, BMWi 2019: 15).…”

Kostenloser ÖPNV: Akzeptanz in der Bevölkerung und mögliche Auswirkungen auf das Mobilitätsverhalten

“…Unterschiede zur Bevölkerung gibt es auch in Bezug auf andere Merkmale: Ähnlich wie in anderen Studien sind höher Gebildete bei den teilnehmenden Haushalten überrepräsentiert (siehe Andor et al 2014Andor et al , 2017a2017b, 2018a, 2018b. So besitzen 44,3 % der befragten Haushaltsvorstände die (Fach-)Hochschulreife, während dieser Anteil in der Bevölkerung laut Mikrozensus bei lediglich 34,9 % liegt (Tab.…”

Energy transition and social justice: Do renewable energy levies have an impact on income distribution and energy poverty?

“…Andor et al 10 have demonstrated that social justice in terms of burden-sharing for RES support cost is fundamental for the social acceptance of transitions towards more sustainable energy systems. However, we have demonstrated that lower-income households are most affected by electricity price increases including those caused by the introduction of RES levies.…”

“…In consequence, if increases in electricity prices are extreme, income inequality, as well as energy poverty and, with them, (perceived) social injustice, might eventually reach levels that are unacceptable for society. In case increases in electricity prices are primarily due to the support of RES, such as in Germany, and the distribution of the costs for RES support is perceived as unfair, societal support for the transition from fossil to renewable energy systems will eventually be at risk, as demonstrated by Andor et al 10 .…”