Examination of the Electricity Pricing Change and the Development in Lao PDR: The GTAP-E Model Approach

Authors

  • Soukvisan Khinsamone Business School of Hohai, Hohai University, Nanjing, China
  • Yang Zhang Business School of Hohai, Hohai University, Nanjing, China
  • Visansack Khamphengvong
  • Sisabay Chanthasombath Department of Energy Management, Ministry of Energy and Mines, Lao PDR
  • Phongsili Soukchalern

DOI:

https://doi.org/10.52941/jad.v11i1.60

Keywords:

Electricity price, the development, the GTAP-E Model

Abstract

This study examines the impact of electricity price changes on the economic structure of Lao PDR, utilizing a disaggregated sectoral approach based on the GTAP-E model framework. The research aims to contribute insights into how variations in electricity pricing affect the country’s economic development, trade, and welfare. We assess two scenarios: a baseline and a policy simulation, to achieve this. The baseline scenario subjects macroeconomic variables to exogenous shocks projected through 2030 using the Gdyn-E model. We set the policy simulation scenario for 2025 to 2028, which assumes an increase in electricity prices in line with the Lao government's announced policies. These scenarios provide a comprehensive understanding of the anticipated outcomes of electricity price adjustments.

Author Biographies

Visansack Khamphengvong

Department of Economic and Business Management,

National University of Laos, Lao PDR

Phongsili Soukchalern

Department of Economic and Business Management,

National University of Laos, Lao PDR

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Published

2025-01-15

How to Cite

Khinsamone, S. ., Zhang, Y., Khamphengvong, V. ., Chanthasombath, S. ., & Soukchalern, P. . (2025). Examination of the Electricity Pricing Change and the Development in Lao PDR: The GTAP-E Model Approach. Journal of Asian Development, 11(1), 1–17. https://doi.org/10.52941/jad.v11i1.60

Issue

Vol. 11 No. 1 (2025): Journal of Asian Development

Section

Articles

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