Labandeira Villot, XavierLabeaga Azcona, José MaríaTeixidó-Figueras, Jordi2022-05-232024-05-222022-05-220013-0133https://hdl.handle.net/2445/185932The global energy mix and cost structure of the power industry are experiencing a redefinition. Many countries are revamping electricity-pricing systems to guarantee fixed-cost recovery, often by raising the fixed charge of two-part tariff schemes. However, a key assumption of two-part tariff schemes and associated fixed cost recoveries is that consumers discriminate fixed from marginal costs. We conduct a quasi-experiment with data from a major electricity price reform recently implemented in Spain and find robust evidence indicating that consumers fail to distinguish between fixed and marginal costs. As a result, policymakers are not achieving the goal of cost recovery25 p.application/pdfeng(c) Royal Economic Society, 2022Política energèticaPolítica de preusEnergia elèctricaEnergy policyPrices policyElectric powerinfo:eu-repo/semantics/article7143052022-05-23info:eu-repo/semantics/openAccess