Inequalities in Energy Transition: The Case of Network Charges in Germany

Schlesewsky Lisa, Winter Simon


Abstract
The German energy transition and the rising share of renewable energies in electricity generation have led to an increase in network costs and to higher network charges in recent years. We use socioeconomic data in order to investigate distributional effects within the period 2010-2016, and employ three different inequality metrics - the Gini coefficient, the Theil index and the Atkinson index - all of which unambiguously indicate regressive effects of network charges. Most recently, the three metrics show an increase of economic inequality of at least 0.67 % when accounting for network charges. This finding is due to 1. the relative inferiority of electricity, 2. the regressive impact of a fixed component of network charges, 3. considerable regional disparities, and 4. the higher prevalence of prosumers within high-income households.

Keywords
network charges; renewable energies; economic inequality



Publication type
Article in Journal

Peer reviewed
Yes

Publication status
Published

Year
2018

Journal
International Journal of Energy Economics and Policy

Volume
8

Issue
6

Start page
102

End page
113

ISSN
2146-4553

DOI