Literature study on the distributional impact of climate policy instruments

This literature study provides an overview of the current scientific debate on the distributional effects of climate and energy policy instruments. Conclusions are drawn from it for measures and instruments that contribute to a socially balanced energy and climate policy in the long term.

In a literature screening, 36 studies from 13 countries and regions were considered to reflect the current state of the scientific debate. Pricing instruments, subsidy instruments, market-regulating instruments and regulatory instruments were considered. The conclusion of the literature and instrument screening is that only partially fundamental, differentiated statements on the distributional effect of the instruments can be made, especially when it comes to focusing on selected vulnerable target groups. Therefore, the measures need to be analysed and oriented towards the specific focus of the target group in order to fulfil climate policy requirements and at the same time create socially just conditions.