Energy poverty measures are gradually becoming less relevant for fast-developing countries, where the energy mix consists of traditional and modern energies. We propose a new approach for measuring energy poverty by modifying the Exact Affine Stone Index (EASI) demand system to include implied disutility of energy use. The disutility arises from the effects of price or income changes and the use of polluting energies. Using data from Vietnam, we found that energy poverty could happen at higher income levels than the level considered in the literature, and higher incomes may not encourage households to climb the energy ladder. However, consuming carbon-intensive fuel does not necessarily mean energy poor.
AbbasK.LiS.XuD.BazK.RakhmetovaA. (2020). “Do socioeconomic factors determine household multidimensional energy poverty? Empirical evidence from South Asia.” Energy Policy 146. ISSN 03014215. https://doi.org/10.1016/J.ENPOL.2020. 111754.
2.
ActionP. (2010). Poor people’s energy outlook2010. Practical Action Publishing. ISBN 1780447736.
3.
BarnesD. F.KhandkerS. R.SamadH. A. (2011). “Energy poverty in rural Bangladesh.” Energy Policy 39(2): 894–904. https://doi.org/10.1016/j.enpol.2010.11.014.
4.
BhideA.MonroyC. R. (2011). “Energy poverty: A special focus on energy poverty in India and renewable energy technologies.” Renewable and Sustainable Energy Reviews 15(2): 1057–1066. https://doi.org/10.1016/j.rser.2010.11.044.
5.
BirolF. (2007). “Energy economics: a place for energy poverty in the agenda?” The Energy Journal 28(3).
6.
BoardmanB. (1991). Fuel poverty: from cold homes to affordable warmth Pinter Pub Limited. ISBN 1852931396.
CharlierD.KahouliS. (2019). “From Residential Energy Demand to Fuel Poverty: Income-induced Non-linearities in the Reactions of Households to Energy Price Fluctuations” The Energy Journal 40(2): 101–137. ISSN 1944-9089. https://doi.org/10.5547/01956574.40.2.DCHA.
9.
CharlierD.LegendreB. (2019). “A Multidimensional Approach to Measuring Fuel Poverty.” The Energy Journal 40(2): 27–53. ISSN 1944-9089. https://doi.org/10.5547/01956574.40.2.BLEG.
10.
DelugasE.BrauR. (2021). “Evaluating the Impact of Energy Poverty in a Multidimensional Setting.” The Energy Journal 42(1). ISSN 1944-9089. https://doi.org/10.5547/01956574.42.1.EDEL.
11.
DesaU. N. (2016). “Transforming our world: The 2030 agenda for sustainable development.”
12.
DietzS.VenmansF. (2019). “Cumulative carbon emissions and economic policy: in search of general principles.” Journal of Environmental Economics and Management96: 108–129.
13.
DoganE.MadalenoM.Inglesi-LotzR.TaskinD. (2022). “Race and energy poverty: Evidence from African-American households.” Energy Economics108: 105908. ISSN 0140-9883. https://doi.org/10.1016/J.ENECO.2022.105908.
14.
DongK.RenX.ZhaoJ. (2021). “How does low-carbon energy transition alleviate energy poverty in China? A nonparametric panel causality analysis.” Energy Economics103: 105620. ISSN 0140-9883. https://doi.org/10.1016/J.ENECO.2021. 105620.
15.
DongK.Taghizadeh-HesaryF.ZhaoJ. (2022). “How inclusive financial development eradicates energy poverty in China? The role of technological innovation.” Energy Economics109: 106007. ISSN 0140-9883. https://doi.org/10.1016/J.ENECO.2022.106007.
16.
EgglestonS.BuendiaL.MiwaK.NgaraT.TanabeK. (2006). 2006 IPCC guidelines for national greenhouse gas inventories. Volume 5. Institute for Global Environmental Strategies Hayama, Japan.
17.
FosterV.TreJ.-P.WodonQ. (2000). “Energy prices, energy efficiency, and fuel poverty.” Latin America and Caribbean Regional Studies Programme. Washington, DC: World Bank.
18.
GoldembergJ.JohanssonT.B.ReddyA.K.N.WilliamsR.H. (1988). Energy for a sustainable world. John Wiley &Sons New York ISBN 0470209836.
19.
GolosovM.HasslerJ.KrusellP.TsyvinskiA. (2014). “Optimal taxes on fossil fuel in general equilibrium.” Econometrica 82(1): 41–88.
20.
HeindlP. (2014). “Measuring fuel poverty: General considerations and application to German household data.” Technical report.
21.
HerreroS.T. (2017). “Energy poverty indicators: A critical review of methods.” Indoor and Built Environment 26(7): 1018–1031.
22.
HillsJ. (2011). “Fuel poverty: the problem and its measurement.” IEA (2002). “Energy and Poverty. In: World Energy Outlook 2002.”
23.
IEA (2010). “Energy poverty: How to make modern energy access universal.” In: World Energy Outlook 2010.
24.
IEA (2020). “World Energy Balances.”
25.
LegrosG.HavetI.BruceN.BonjourS.RijalK.TakadaM.DoraC. (2009). “The energy access situation in developing countries: a review focusing on the least developed countries and Sub-Saharan Africa.” World Health Organization.
26.
LewbelA.PendakurK. (2009). “Tricks with Hicks: The EASI Demand System.” The American Economic Review 99(3): 827–863. https://doi.org/10.1257/aer.99.3.827.
27.
LewisP. (1982). Fuel poverty can be stopped. National Right to Fuel Campaign.
28.
LiK.LloydB.LiangX.-J.WeiY.-M. (2014). “Energy poor or fuel poor: What are the differences?” Energy Policy 68: 476–481. https://doi.org/10.1016/j.enpol.2013.11.012.
29.
MayerI.NimalE.NogueP.SevenetM. (2014). “The two faces of energy poverty: a case study of households’ energy burden in the residential and mobility sectors at the city level.” Transportation Research Procedia4: 228–240.
30.
McCaigB.PavcnikN. (2015). “Informal employment in a growing and globalizing low-income country.” American Economic Review 105(5): 545–550.
31.
McCaigB.PavcnikN. (2018). “Export markets and labor allocation in a low-income country.” American Economic Review 108(7): 1899–1941.
32.
MirzaB.SzirmaiA. (2010). “Towards a New Measurement of Energy Poverty: A Cross-Community Analysis of Rural Pakistan.” UNU-MERIT Working Paper Series 024, United Nations University. Maastricht Economic and social Research and Training Centre on Innovation and Technology.
33.
MooreR. (2012). “Definitions of fuel poverty: Implications for policy.” Energy Policy49: 19–26. https://doi.org/10.1016/j.enpol.2012.01.057.
34.
MunyanyiM.E.ChurchillS.A. (2022). “Foreign aid and energy poverty: Sub-national evidence from Senegal.” Energy Economics108: 105899. ISSN 0140-9883. https://doi.org/10.1016/J.ENECO.2022.105899.
35.
NguyenT.T.NguyenT.-T.HoangV.-N.WilsonC.ManagiS. (2019). “Energy transition, poverty and inequality in Vietnam.” Energy Policy132: 536–548. https://doi.org/10.1016/j.enpol.2019.06.001.
36.
NussbaumerP.BazilianM.ModiV. (2012). “Measuring energy poverty: Focusing on what matters.” Renewable and Sustainable Energy Reviews 16(1): 231–243. https://doi.org/10.1016/j.rser.2011.07.150.
37.
PachauriS.MuellerA.KemmlerA.SprengD. (2004). “On measuring energy poverty in Indian households.” World Development 32(12): 2083–2104.
38.
PendakurK. (2009). “EASI Made Easier.”
39.
PereiraM.G.FreitasM.A.V.da SilvaN.F. (2011). “The challenge of energy poverty: Brazilian case study.” Energy Policy 39(1): 167–175.
40.
PérezJ.BernalE.Rodríguez-SánchezP. (2021). “Towards Use of Cleaner Fuels in Urban and Rural Households in Colombia: Empirical Evidence from 2010 to 2016.” The Energy Journal 42(5). ISSN 1944-9089. https://doi.org/10.5547/01956574.42.5.JPER.
41.
PhimisterE.Vera-ToscanoE.RobertsD. (2015). “The Dynamics of Energy Poverty: Evidence from Spain.” Economics of Energy &Environmental Policy 4(1): 153–166. ISSN 2160-5890. https://doi.org/10.5547/2160-5890.4.1.EPHI.
42.
RomeroJ.C.LinaresP.LópezX. (2018). “The policy implications of energy poverty indicators.” Energy Policy115: 98–108. https://doi.org/10.1016/j.enpol.2017.12.054.
43.
SagarA.D. (2005). “Alleviating energy poverty for the world’s poor.” Energy Policy 33(11): 1367–1372. https://doi.org/10.1016/j.enpol.2004.01.001.
44.
SchuesslerR. (2014). “Energy Poverty Indicators: Conceptual Issues-Part I: The Ten-Percent-Rule and Double Median/Mean Indicators.” ZEW-Centre for European Economic Research Discussion Paper (14-037).
45.
SesanT. (2012). “Navigating the limitations of energy poverty: Lessons from the promotion of improved cooking technologies in Kenya.” Energy Policy47: 202–210. https://doi.org/10.1016/j.enpol.2012.04.058.
46.
SinghK.Inglesi-LotzR. (2021). “The Role of Energy Poverty on Economic Growth in Sub-Saharan African Countries.” Economics of Energy &Environmental Policy 10(1). ISSN 2160-5890. https://doi.org/10.5547/2160-5890.9.2.KSIN.
47.
Tovar ReañosM.A.WölfingN.M. (2018). “Household energy prices and inequality: Evidence from German microdata based on the EASI demand system.” Energy Economics70: 84–97. https://doi.org/10.1016/j.eneco.2017.12.002.
48.
WelschH.BiermannP. (2017). “Energy Affordability and Subjective Well-Being: Evidence for European Countries.” The Energy Journal 38(3): 159–176. ISSN 1944-9089. https://doi.org/10.5547/01956574.38.3.HWEL.
49.
WorldBank (2019). “World development indicators.” Technical report.
50.
ZhaoJ.JiangQ.DongX.DongK. (2021). “Assessing energy poverty and its effect on CO2 emissions: The case of China.” Energy Economics97: 105191. ISSN 0140-9883. https://doi.org/10.1016/J.ENECO.2021.105191.
Supplementary Material
Please find the following supplemental material available below.
For Open Access articles published under a Creative Commons License, all supplemental material carries the same license as the article it is associated with.
For non-Open Access articles published, all supplemental material carries a non-exclusive license, and permission requests for re-use of supplemental material or any part of supplemental material shall be sent directly to the copyright owner as specified in the copyright notice associated with the article.
