Labandeira Villot, XavierLabeaga Azcona, José MaríaTeixidó-Figueras, Jordi2018-12-142018-12-142018https://hdl.handle.net/2445/126953The global energy mix is being redefined, and with it the power industry’s cost structure. In many countries, electricity-pricing systems are being revamped so as to guarantee fixed-cost recovery, often by raising the fixed charge of two-part tariff (TPT) schemes. However, consumer misperception of TPTs threatens to undermine the policy’s outcome and puts the sector’s much-needed transformation in jeopardy. We conduct a quasi-experiment with data from a major electricity price reform recently implemented in Spain and find robust evidence that consumers are failing to distinguish between fixed and marginal costs. As a result, the policy goal of cost recovery is not being achieved38 p.application/pdfengcc-by-nc-nd, (c) Labandeira Villot et al., 2018http://creativecommons.org/licenses/by-nc-nd/3.0/es/Política energèticaPolítica de preusEnergia elèctricaEnergy policyPrices policyElectric powerinfo:eu-repo/semantics/workingPaperinfo:eu-repo/semantics/openAccess