Impact Analysis of Two-Part Tariff Policy Executive Mode on Market Resource Allocation Efficiency

In recent years, China has perfected the executive mode of two-part electricity price policy by increasing users’ options. This paper uses the social welfare model to analyze the impact of the implementation of the national adjustment two-part electricity price system on the efficiency of market res...

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Main Authors: Jun YAO, Yongfei WU, Yali WANG, Jiao HE, Shuangfeng DAI
Format: Article
Language:zho
Published: State Grid Energy Research Institute 2023-03-01
Series:Zhongguo dianli
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Online Access:https://www.electricpower.com.cn/CN/10.11930/j.issn.1004-9649.202103096
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author Jun YAO
Yongfei WU
Yali WANG
Jiao HE
Shuangfeng DAI
author_facet Jun YAO
Yongfei WU
Yali WANG
Jiao HE
Shuangfeng DAI
author_sort Jun YAO
collection DOAJ
description In recent years, China has perfected the executive mode of two-part electricity price policy by increasing users’ options. This paper uses the social welfare model to analyze the impact of the implementation of the national adjustment two-part electricity price system on the efficiency of market resource allocation in the year of 2016. Results show that the relaxation of the change cycle of the two-part pricing system can reduce the basic electricity price burden of enterprises, who have stopped production or half stopped production. However, it is not beneficial to the efficient production enterprises, which is not conducive to promoting the survival of the fittest in enterprises as a whole, and reduces the long-term utility of the whole society. The empirical results also show that The change of the two-part electricity price policy led to the decline of the total social welfare, which was reflected in the drop of the load rate by 7%. Meanwhile, it also reduces the fairness among users, which is reflected in the capacity utilization rate dropping by 30.6%. We believe that simply adjusting the executive mode of the electricity price policy is not conducive to the optimal allocation of power resources, and all enterprises should adopt the fair electricity price policy at the same time.
format Article
id doaj-art-177ed7b64f6d4588bdf1d8fed2ca94a2
institution DOAJ
issn 1004-9649
language zho
publishDate 2023-03-01
publisher State Grid Energy Research Institute
record_format Article
series Zhongguo dianli
spelling doaj-art-177ed7b64f6d4588bdf1d8fed2ca94a22025-08-20T02:47:52ZzhoState Grid Energy Research InstituteZhongguo dianli1004-96492023-03-0156315416110.11930/j.issn.1004-9649.202103096zgdl-56-03-yaojunImpact Analysis of Two-Part Tariff Policy Executive Mode on Market Resource Allocation EfficiencyJun YAO0Yongfei WU1Yali WANG2Jiao HE3Shuangfeng DAI4School of Economics & Management, Changsha University of Science & Technology, Changsha 410004, ChinaSchool of Economics & Management, Changsha University of Science & Technology, Changsha 410004, ChinaSchool of Economics & Management, Changsha University of Science & Technology, Changsha 410004, ChinaSchool of Economics & Management, Hunan Institute of Science and Technology, Yueyang 414006, ChinaSchool of Economics & Management, Changsha University of Science & Technology, Changsha 410004, ChinaIn recent years, China has perfected the executive mode of two-part electricity price policy by increasing users’ options. This paper uses the social welfare model to analyze the impact of the implementation of the national adjustment two-part electricity price system on the efficiency of market resource allocation in the year of 2016. Results show that the relaxation of the change cycle of the two-part pricing system can reduce the basic electricity price burden of enterprises, who have stopped production or half stopped production. However, it is not beneficial to the efficient production enterprises, which is not conducive to promoting the survival of the fittest in enterprises as a whole, and reduces the long-term utility of the whole society. The empirical results also show that The change of the two-part electricity price policy led to the decline of the total social welfare, which was reflected in the drop of the load rate by 7%. Meanwhile, it also reduces the fairness among users, which is reflected in the capacity utilization rate dropping by 30.6%. We believe that simply adjusting the executive mode of the electricity price policy is not conducive to the optimal allocation of power resources, and all enterprises should adopt the fair electricity price policy at the same time.https://www.electricpower.com.cn/CN/10.11930/j.issn.1004-9649.202103096two-part tariffexecutive moderesource allocation efficiencysocial welfarefairness between users
spellingShingle Jun YAO
Yongfei WU
Yali WANG
Jiao HE
Shuangfeng DAI
Impact Analysis of Two-Part Tariff Policy Executive Mode on Market Resource Allocation Efficiency
Zhongguo dianli
two-part tariff
executive mode
resource allocation efficiency
social welfare
fairness between users
title Impact Analysis of Two-Part Tariff Policy Executive Mode on Market Resource Allocation Efficiency
title_full Impact Analysis of Two-Part Tariff Policy Executive Mode on Market Resource Allocation Efficiency
title_fullStr Impact Analysis of Two-Part Tariff Policy Executive Mode on Market Resource Allocation Efficiency
title_full_unstemmed Impact Analysis of Two-Part Tariff Policy Executive Mode on Market Resource Allocation Efficiency
title_short Impact Analysis of Two-Part Tariff Policy Executive Mode on Market Resource Allocation Efficiency
title_sort impact analysis of two part tariff policy executive mode on market resource allocation efficiency
topic two-part tariff
executive mode
resource allocation efficiency
social welfare
fairness between users
url https://www.electricpower.com.cn/CN/10.11930/j.issn.1004-9649.202103096
work_keys_str_mv AT junyao impactanalysisoftwoparttariffpolicyexecutivemodeonmarketresourceallocationefficiency
AT yongfeiwu impactanalysisoftwoparttariffpolicyexecutivemodeonmarketresourceallocationefficiency
AT yaliwang impactanalysisoftwoparttariffpolicyexecutivemodeonmarketresourceallocationefficiency
AT jiaohe impactanalysisoftwoparttariffpolicyexecutivemodeonmarketresourceallocationefficiency
AT shuangfengdai impactanalysisoftwoparttariffpolicyexecutivemodeonmarketresourceallocationefficiency