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The full report is available in German: Energiepreise als Standortfaktor für die deutsche Wirtschaft, Deutsches Institut für Wirtschaftsforschung, Sonderhefte, no. 162, Berlin 1997.
The scope for reducing electricity prices for industrial consumers following the change in the system of coal subsidisation is estimated at between 2.2 and 2.4 Pf/kWh.
Overall energy cost shares are rather higher, however, if, in addition to purchases of energy inputs, the costs of industrial energy conversion (e.g. own electricity generation, transformers) are included.
The RCA (Revealed Comparative Advantage) value is defined as the relationship between the export/import ratio of a particular commodity group to the overall export/import ratio of a country. A RCA value of greater than unity means that the commodity group concerned represents a higher proportion of a country's exports than of its imports. The RWA measures the relative share of world trade as the country's share of world exports of a given commodity group with respect to the total exports of the country as a share of total world exports (in this case the OECD countries). A RWA value greater than unity implies that the share of exports by the country in question accounted for by a commodity group is higher than the share of all countries' exports. In theoretical terms it would be expected that in countries with relatively low energy prices the RCA and RWA figures would increase as the energy-intensity of the commodity groups increases.
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Diekmann, J., Horn, M. & Ziesing, HJ. Electricity price disadvantages for German industry decreasing. Economic Bulletin 35, 9–16 (1998). https://doi.org/10.1007/s10160-998-0008-6
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DOI: https://doi.org/10.1007/s10160-998-0008-6