Elite Capture

Unlocking Energy Access: Reforming India's Electricity Subsidies India faces the challenge of providing affordable electricity to all its citizens while ensuring the financial viability of its power sector. This World Bank study, Elite Capture: Residential Tariff Subsidies in India, analyzes the complex issue of residential electricity subsidies through a poverty lens. Discover how inefficient tariff policies lead to subsidy leakage, with 87% of payments benefiting non-poor households. Explore the impact of tariff design, cross-subsidies, and consumption patterns on subsidy incidence. Learn about state-level variations and best practices for better targeting. This study offers valuable insights and policy recommendations for: Improving energy access for the poor Reducing fiscal burdens on state governments Promoting financial sustainability of distribution utilities This insightful analysis is essential for policymakers, energy professionals, and researchers seeking to create a more equitable and efficient energy future for India.