The TA will develop a theoretical and empirical framework to define and measure fossil-fuel subsidies and assess the socioeconomic impact of its elimination in selected ADB developing member countries (DMCs). The first component will constitute a discussion and clarification of suitable definition of fossil-fuel subsidy and its estimation across selected DMCs. Both consumer and producer subsidies will be considered to the extent that relevant data are available. The second component will evaluate household-specific impacts from the elimination of subsidies and the consequent short to medium-term rise in energy prices, and discuss the design of social safety nets to mitigate these impacts on the poor, considering gender equity.
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