Distributive effects of environmental taxes on energy and fuels: Portugal, 2020

• Autor(a) principal: Melo, Joana de Matos Anjinho Fontes de
• Data de Publicação: 2022
• Tipo de documento: Dissertação
• Idioma: eng
• Título da fonte: Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos)
• Texto Completo: http://hdl.handle.net/10362/143291
• topic: Environmental policy; Fuel poverty; Tax progressivity; Climate mitigation policies; Carbon tax; Domínio/Área Científica::Ciências Sociais::Economia e Gestão

Choosing the appropriate policy instruments is important for regulatory success. Price-based economic instruments, such as environmental taxes, have been largely considered to mitigate the adverse effects of climate change, namely, to control for CO2 emissions. There is evidence of significant public opposition to such instruments as they are perceived to put a higher burden on poorer and isolated families. This paper studies the distributional effects of the environmental taxes in Portugal, that is, the carbon tax, and the tax on petroleum products and energy(ISP)in 2020, which were found to be regressive. However, its negative impact on energy poverty was not as severe as expected and its regressivity can be mitigated using redistributive policies.