Publication:
Electricity Provision and Tax Mobilization in Africa

Simple item page
dc.contributor.authorMensah, Justice Tei
dc.contributor.authorBlimpo, Moussa
dc.contributor.authorOpalo, K. Ochieng’
dc.contributor.authorShi, Ruifan
dc.date.accessioned2018-04-20T14:12:41Z
dc.date.available2018-04-20T14:12:41Z
dc.date.issued2018-04
dc.description.abstractThis paper provides evidence on how the provision of social infrastructure, such as reliable electricity, can be leveraged to increase taxation in developing countries, particularly in Sub-Saharan Africa. First, using comprehensive data from the latest round of the Afrobarometer survey, the paper uses the instrumental variable approach to estimate the effect of access to and reliability of electricity on the tax compliance attitudes of citizens in 36 countries in Sub-Saharan Africa. The evidence shows a significant positive effect of electrification on tax compliance attitudes, with potentially strong externalities. The analysis also finds that the reliability of supply is crucial in explaining the impact of electricity access on attitudes toward taxes. Second, the paper provides suggestive evidence on national identity as one channel driving this impact. Access to social amenities such as electricity induces a sense of national identity among citizens, thereby incentivizing them to contribute, through taxes, toward the functioning of the state. Third, using data from the most recent World Bank Enterprise Surveys and under conservative assumptions, the paper estimates that countries in the region could in total generate additional tax revenues of more than $9.5 billion (4.3 percent of total tax revenue) per year solely by resolving issues related to electricity shortages. Put together, the paper concludes that the financial returns associated with public investments toward improving access to and reliability of electricity are substantial and could be harnessed to augment the financing gap in the sector.en
dc.identifierhttp://documents.worldbank.org/curated/en/456951523908618247/Electricity-provision-and-tax-mobilization-in-Africa
dc.identifier.doi10.1596/1813-9450-8408
dc.identifier.urihttps://hdl.handle.net/10986/29710
dc.languageEnglish
dc.publisherWorld Bank, Washington, DC
dc.relation.ispartofseriesPolicy Research Working Paper;No. 8408
dc.rightsCC BY 3.0 IGO
dc.rights.holderWorld Bank
dc.rights.urihttp://creativecommons.org/licenses/by/3.0/igo
dc.subjectELECTRICITY
dc.subjectTAXATION
dc.subjectTAX REVENUES
dc.subjectUTILITIES
dc.subjectTAX COMPLIANCE
dc.subjectELECTRICITY ACCESS
dc.subjectNATIONAL IDENTITY
dc.subjectENTERPRISE SURVEY
dc.titleElectricity Provision and Tax Mobilization in Africaen
dc.typeWorking Paperen
dc.typeDocument de travailfr
dc.typeDocumento de trabajoes
dspace.entity.typePublication
okr.crossref.titleElectricity Provision and Tax Mobilization in Africa
okr.date.disclosure2018-04-16
okr.doctypePublications & Research
okr.doctypePublications & Research::Policy Research Working Paper
okr.docurlhttp://documents.worldbank.org/curated/en/456951523908618247/Electricity-provision-and-tax-mobilization-in-Africa
okr.guid456951523908618247
okr.identifier.doi10.1596/1813-9450-8408
okr.identifier.externaldocumentum090224b0858eb45e_1_0
okr.identifier.internaldocumentum29809044
okr.identifier.reportWPS8408
okr.importedtrueen
okr.language.supporteden
okr.pdfurlhttp://documents.worldbank.org/curated/en/456951523908618247/pdf/WPS8408.pdfen
okr.region.administrativeAfrica
okr.region.geographicalSub-Saharan Africa
okr.statistics.combined2982
okr.statistics.dr456951523908618247
okr.statistics.drstats2238
okr.topicEnergy::Electric Power
okr.topicEnergy::Energy Policies & Economics
okr.topicLaw and Development::Tax Law
okr.topicPrivate Sector Development::Civic Participation and Corporate Governance
okr.unitOffice of the Chief Economist, Africa Region
relation.isAuthorOfPublication699b9d13-60fe-5a6f-9aa5-ec84e24e6453
relation.isAuthorOfPublication.latestForDiscovery699b9d13-60fe-5a6f-9aa5-ec84e24e6453
relation.isSeriesOfPublication26e071dc-b0bf-409c-b982-df2970295c87
relation.isSeriesOfPublication.latestForDiscovery26e071dc-b0bf-409c-b982-df2970295c87
Files
Original bundle
Now showing 1 - 2 of 2
Thumbnail Image
Name:
WPS8408.pdf
Size:
1.5 MB
Format:
Adobe Portable Document Format
Download
No Thumbnail Available
Name:
WPS8408.txt
Size:
107.01 KB
Format:
Plain Text
Download
License bundle
Now showing 1 - 1 of 1
No Thumbnail Available
Name:
license.txt
Size:
1.71 KB
Format:
Plain Text
Description:
Download
Collections
Policy Research Working Papers