AUTHOR=Cai Qiyuan , Chen Han , Xiang Kangli , Lin Changyong , Wu Wei TITLE=Evaluation on the Impact of General Industrial and Commercial Electricity Price Reduction: A Case Study of Fujian Province JOURNAL=Frontiers in Energy Research VOLUME=10 YEAR=2022 URL=https://www.frontiersin.org/journals/energy-research/articles/10.3389/fenrg.2022.871681 DOI=10.3389/fenrg.2022.871681 ISSN=2296-598X ABSTRACT=
The reduction of general industrial and commercial prices is an important measure to further improve the business environment and stimulate market vitality. It is of great significance to study the impact of general industrial and commercial electricity price adjustment on the economy for promoting electricity price reform. Based on the policy of adjusting the general industrial and commercial electricity price issued by relevant national departments and provincial governments, this study takes Fujian province as an example and uses the provincial CGE model to analyze the impact of the reduction of the general industrial and commercial electricity price on the macro economy, the output and producer price of various industries, and the electricity consumption. The simulation results show that the reduction of general industrial and commercial electricity prices has a positive impact on the economy. A 25% cut in electricity prices increases GDP by about 0.0935%. The reduction in electricity prices promoted the growth of output and producer prices of most industries. In addition, the reduction of electricity price has a positive effect on the total social electricity consumption, among which the tertiary industry saw the biggest increase in electricity consumption. Based on the simulation results, the policy suggestions are put forward.