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Price Elasticity of Industrial Electricity Demand in the Free Electricity Transfer Ural Zone

Student: Temerova Tatiana

Supervisor: Sofya Kulikova

Faculty: Faculty of Economics, Management, and Business Informatics

Educational Programme: Economics (Bachelor)

Year of Graduation: 2020

A few number of research has been devoted to study the industrial electricity demand in Russia. The present paper describes a study that examines the impact of electricity prices on the commercial electricity demand in the free electricity transfer Ural zone from April 2012 to December 2019. Using information about the price of electricity, its consumption and air temperature ARDL and SARIMA models were employed. The results show that commercial demand for electricity is price inelastic in all regions of the free electricity transfer Ural zone except for the Kurgan region. For the Sverdlovsk region it was also found that the price in the previous month has an impact on electricity consumption in the current month.

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