ABSTRACT
The differential impact of high and rising energy prices–”equity”–is a major issue in the energy debate within the United States. It received much attention during the plans to decontrol domestic oil and gas prices (see, for example, Congressional Budget Office, 1979). Questions raised are: whether some sectors or groups are particularly hit by rising energy prices, and whether energy (pricing) policies can deal with the phenomena in order to follow the basic principles of equity, fairness and welfare. This paper examines whether the preoccupation with the “equity issue” is a peculiarly U.S. concern or if Europe and Japan are equally concerned. Four countries have been selected representing Europe, in two of which the energy market may be said to be relatively free: United Kingdom and West Germany, and two which have some form of price control: France and Italy (at least for major products). Japan would be included in the first group.
