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07 Feb 2013

The relationship between energy and economic and social development

in the southern Mediterranean

Emanuel Bergasse / Wojciech Paczynski / Marek Dabrowski / Luc Dewulf

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This report aims to identify, explain and detail the links and interactions in Southern Mediterranean Countries (SMCs) between energy supply and demand and socio-economic development, as well as the potential role of energy supply and demand policies on both. Another related aim is to identify and analyse, in a quantitative and qualitative way, the changing role of energy (both demand and supply) in southern Mediterranean economies, focusing on its positive and negative impact on socio-economic development.

This report investigates:

The most important channels through which resource wealth can contribute to or hamper economic and social development in the analysed region;
Mechanisms and channels of relations between energy supply and demand policies and economic and social development.

The burdens of energy subsidies and ‘oil syndrome’ are of particular relevance for the region. An integrated socio-economic development and energy policy scenario approach showing the potential benefits and synergies within countries and the region is developed in the final part of the report.

Authors Emmanuel Bergasse, Wojciech Paczynski, Marek Dabrowski and Luc Dewulf are Research Fellows at CASE (CASE – Center for Social and Economic Research) Warsaw, Poland.