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Implicit CO2 prices of fossil fuel use in Switzerland

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  • Schleiniger, Reto

Abstract

This study aims to assess the efficiency of the fossil fuel taxation scheme currently in effect in Switzerland. To this end, the concept of implicit CO2 prices is introduced, based on which prices for different fossil fuel uses are derived. Implicit CO2 prices are defined as the difference between actual prices paid by consumers and efficient domestic fuel prices. Efficient domestic fuel prices, in turn, consist of private production costs, a uniform value added tax and only local external costs, not including external costs due to CO2 emissions and global climate change.

Suggested Citation

  • Schleiniger, Reto, 2016. "Implicit CO2 prices of fossil fuel use in Switzerland," Energy Policy, Elsevier, vol. 96(C), pages 411-420.
  • Handle: RePEc:eee:enepol:v:96:y:2016:i:c:p:411-420
    DOI: 10.1016/j.enpol.2016.06.022
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    Keywords

    Global warming; Fossil fuel use; External costs; CO2 price;
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