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Fossil fuel subsidy reform, rent management and political fragmentation in developing countries

journal contribution
posted on 2023-06-09, 16:47 authored by Matthew LockwoodMatthew Lockwood
Over the last decade, pressure to reduce subsidies for energy (especially fossil fuels) in developing countries has mounted, but reform is politically controversial. The debate on reform is dominated by a liberal narrative that employs an understanding of energy subsidies as political rent, based on public choice theory. Here, it is argued that this approach takes too static and limited a view of rent, and that engagement with theories of the state in the development process suggests a more dynamic view. The degree of centralisation of political power is also argued to be a key factor in the use and reform of subsidy. This application of the framework is then illustrated in the case of Indonesia. Finally, implications for reform strategies are drawn out.

History

Publication status

  • Published

File Version

  • Published version

Journal

New Political Economy

ISSN

1356-3467

Publisher

Taylor & Francis

Issue

4

Volume

20

Page range

475-494

Department affiliated with

  • SPRU - Science Policy Research Unit Publications

Full text available

  • No

Peer reviewed?

  • Yes

Legacy Posted Date

2019-02-11

First Compliant Deposit (FCD) Date

2019-02-07

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