Subsidies in Chilean Public Utilities
This paper makes an analysis of subsidies in Chile's public utilities. Rates rebalancing have practically eliminated cross subsidies, and current subsidy programs are funded from the national budget. Over the last decade in particular, significant efforts have been made to extend public services to rural populations, and a consumption subsidy for potable water currently benefits 17% of the population. The Chilean experience shows it is possible to design subsidies targeted to the poor that do not cause deadweight losses, and at relatively low cost to the State. The elimination of cross subsidies has facilitated competition in some public services. Moreover, putting rural infrastructure projects out to public tender, whenever possible, has made it possible to substantially reduce government expenditure.
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Andres Gomez-Lobo, 1996. "The welfare consequences of tariff rebalancing in the domestic gas market," Fiscal Studies, Institute for Fiscal Studies, vol. 17(4), pages 49-65, November.
When requesting a correction, please mention this item's handle: RePEc:edj:ceauch:70. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ()
If references are entirely missing, you can add them using this form.