Dear Tamar and Tamila,

To inform the meeting and if you’d like to share with MOF colleagues.

We looked  at the HIES 2018 data from GEOSTAT we see that the correlation between electricity expenditures and poverty is weak, and it is even weaker in hh with only self-employed. According to preliminary estimates about 860,587 households consuming less than 200 Khw per month, out of which only 161,970 (19%) are in the poorest quintile of the welfare per capital distribution, 156,671 (18%) in the second quintile , 176,494 (21%) in the third quintile, 173,714 (20%) in the fourth quintile and  191,740households (22%) are in the richest quintile. If the policy objective is to compensate poor households, there are large inclusion errors.  For instance, only 76% of households in the poorest quintile spend less than 200 Kwh per month as opposed to 90% of households in the richest quintile. 

Talk to you shortly,

Maddalena