This paper explores the concept of financial sustainability and proposes a framework to analyze electricity sectors based on this concept. Financial sustainability, as defined here, includes assessment of factors that directly present a cost—such as pricing electricity below the cost of production—in addition to those which may lead to additional costs in the future, such as an inability to make investments to respond to changes in demand.

This paper seeks, where possible, to quantify the costs of subsidies and external costs so that the impact of these policies can be understood. By way of comparison, the costs are presented alongside analysis of the costs and impacts of solar and wind energy.

In their closing statement at the UNFCCC COP 23 in 2017, the world’s 47 least developed countries requested that the Talanoa Dialogue include “managing a phaseout of fossil fuels”. The 2018 Talanoa Dialogue is a crucial opportunity to increase climate mitigation ambition and effectiveness by putting fossil fuel phase-out on the international climate agenda.

Indonesia’s Ministry of Energy and Mineral Resources Ignasius Jonan recently announced that there would be no new coal plants in Java. The announcement heralds, at last, a step away from the coal-dominated future that had been proposed. Why has this decision been taken? And how should Indonesia seek to power its economy with coal now taken off the menu?

This policy brief examines the current system of kerosene subsidies in India, looking at key issues and the impact subsidies have on the distribution of clean, off-grid solar lighting solutions.

The IISD Global Subsidies Initiative worked with UNDP-Viet Nam to lead a process of policy analysis and engagement on fossil fuel subsidy reform in Viet Nam since 2012.

This policy brief analyzes the current policy environment governing kerosene and off-grid solar use. It sets out a suite of detailed policy interventions that can be implemented to achieve a systemic transition from kerosene to solar for lighting in rural India.

The boom and eventual bust of resource-dependent regions has played out across the world many times over the last 50 years. As extractive industries go into decline due to resource exhaustion, competition from elsewhere or changing consumption of energy, demands are made for subsidies to revive the industry and maintain jobs. Concurrently, policy-makers, realizing that the decline of a resource extraction industry will cause social and economic hardship, begin the search for new industries to replace lost jobs and maintain economic development.