Reforming Fossil Fuel Subsidies with Citizens' Approval: The Case of Colombia

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3 April 2026

Charlotte Sophia Bez, Jorge A. Bonilla, Brigitte Castaneda Rodriguez, Jorge H. García, Leonard Missbach, Farah Mohammadzadeh Valencia, Jan Christoph Steckel

Subsidizing fossil fuel consumption is at odds with climate change mitigation and a heavy burden on public budgets. Yet, efforts to reform such subsidies often face strong public opposition. The paper examines whether informing citizens about the effects of fossil fuel subsidy reform (FFSR) and complementary policy measures can increase public acceptance. It studies this question using a novel survey experiment in Colombia, a country currently aiming at reforming existing fossil fuel subsidies. Building on Hoy et al (2026), this experiment exposes respondents to different information treatments, including from an innovative calculation of personal costs, and options for complementary policy measures. Leveraging a representative sample with more than 3,600 respondents, the authors find that information provision alone has limited effects on public support, as citizens rarely update their - at times - incorrect beliefs. In contrast, policy design is crucial. Complementing FFSR with additional measures shifts public opinion from majority opposition to majority support. Informing about the environmental effects of FFSR is most effective and strongly increases support for environmentally oriented complementary policies. Opposition to FFSR without complementary measures remains primarily driven by concerns about impacts on poorer households.

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Publication reference
Bez, Charlotte Sophia and Bonilla, Jorge A. and Castaneda Rodriguez, Brigitte and García, Jorge H. and Missbach, Leonard and Valencia, Farah Mohammadzadeh and Steckel, Jan Christoph, Reforming Fossil Fuel Subsidies with Citizens' Approval: The Case of Colombia (2026). CESifo Working Paper No. 12583, Available at SSRN: https://ssrn.com/abstract=6513101
Publication | 27 May 2026