In light of concerns over the environmental impact of Special Economic Zones located
in developing countries, where environmental regulation is weak, we analyse the
electricity intensity of firms in SEZs. We use firm level data from Africa and Asia, and
we find that SEZ firms have higher electricity intensity as opposed to non-SEZ firms.
If they also face higher fiscal, financial or environmental regulations, the electricity
intensity of firms in SEZs increases by a greater rate as opposed to non-SEZ firms. As
such, establishing SEZs may have significant environmental implications.
Sponsorship
European Commission - Seventh Framework Programme (FP7)
Type of Material
Working Paper
Publisher
University College Dublin. School of Economics
Start Page
1
End Page
26
Series
UCD Centre for Economic Research Working Paper Series