Quantifying the impacts of energy price reform on living expenses in Saudi Arabia
As part of ‘Vision 2030’, Saudi Arabia has initiated a broad-based energy reform programme aimed at gradually reducing its dependence on oil. This paper assesses the impacts of energy price reforms on living expenses of various household groups in Saudi Arabia. For this purpose, the input-output tab...
| Main Authors: | , |
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| Format: | Article |
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Elsevier
2020
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| Online Access: | http://psasir.upm.edu.my/id/eprint/87380/ |
| _version_ | 1848860430000193536 |
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| author | Bah, Muhammad Maladoh Saari, M. Yusof |
| author_facet | Bah, Muhammad Maladoh Saari, M. Yusof |
| author_sort | Bah, Muhammad Maladoh |
| building | UPM Institutional Repository |
| collection | Online Access |
| description | As part of ‘Vision 2030’, Saudi Arabia has initiated a broad-based energy reform programme aimed at gradually reducing its dependence on oil. This paper assesses the impacts of energy price reforms on living expenses of various household groups in Saudi Arabia. For this purpose, the input-output table combined with household expenditure data are used to model the impacts. Results show that the distributional impacts of energy price reforms are regressive, with low-income households experiencing a higher increase in living expenses compared to high-income households. The impacts are primarily instigated by rising prices of energy-intensive products. After decomposing the impacts into direct and indirect effects, it was found that indirect effect is not only responsible for a considerable rise in household expenditure on energy-intensive products, but it is also distributionally regressive. It is therefore vital for policymakers to review and fine-tune the social protection system to protect poor households against reforms. |
| first_indexed | 2025-11-15T12:45:06Z |
| format | Article |
| id | upm-87380 |
| institution | Universiti Putra Malaysia |
| institution_category | Local University |
| last_indexed | 2025-11-15T12:45:06Z |
| publishDate | 2020 |
| publisher | Elsevier |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | upm-873802024-05-27T07:47:57Z http://psasir.upm.edu.my/id/eprint/87380/ Quantifying the impacts of energy price reform on living expenses in Saudi Arabia Bah, Muhammad Maladoh Saari, M. Yusof As part of ‘Vision 2030’, Saudi Arabia has initiated a broad-based energy reform programme aimed at gradually reducing its dependence on oil. This paper assesses the impacts of energy price reforms on living expenses of various household groups in Saudi Arabia. For this purpose, the input-output table combined with household expenditure data are used to model the impacts. Results show that the distributional impacts of energy price reforms are regressive, with low-income households experiencing a higher increase in living expenses compared to high-income households. The impacts are primarily instigated by rising prices of energy-intensive products. After decomposing the impacts into direct and indirect effects, it was found that indirect effect is not only responsible for a considerable rise in household expenditure on energy-intensive products, but it is also distributionally regressive. It is therefore vital for policymakers to review and fine-tune the social protection system to protect poor households against reforms. Elsevier 2020 Article PeerReviewed Bah, Muhammad Maladoh and Saari, M. Yusof (2020) Quantifying the impacts of energy price reform on living expenses in Saudi Arabia. Energy Policy, 139. art. no. 111352. pp. 1-13. ISSN 0301-4215 https://linkinghub.elsevier.com/retrieve/pii/S0301421520301099 10.1016/j.enpol.2020.111352 |
| spellingShingle | Bah, Muhammad Maladoh Saari, M. Yusof Quantifying the impacts of energy price reform on living expenses in Saudi Arabia |
| title | Quantifying the impacts of energy price reform on living expenses in Saudi Arabia |
| title_full | Quantifying the impacts of energy price reform on living expenses in Saudi Arabia |
| title_fullStr | Quantifying the impacts of energy price reform on living expenses in Saudi Arabia |
| title_full_unstemmed | Quantifying the impacts of energy price reform on living expenses in Saudi Arabia |
| title_short | Quantifying the impacts of energy price reform on living expenses in Saudi Arabia |
| title_sort | quantifying the impacts of energy price reform on living expenses in saudi arabia |
| url | http://psasir.upm.edu.my/id/eprint/87380/ http://psasir.upm.edu.my/id/eprint/87380/ http://psasir.upm.edu.my/id/eprint/87380/ |