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Impact of Rural and Urban Electricity Access on Economic Growth in Zimbabwe

Author

Listed:
  • Simbarashe Mhaka

    (Department of Economics and Economic History, Nelson Mandela University, Port Elizabeth, South Africa)

  • Raynold Runganga

    (Port Elizabeth, South Africa, Department of Economics, University of Zimbabwe, Harare, Zimbabwe)

  • David T. Nyagweta

    (Department of Economics and Economic History, Nelson Mandela University, Port Elizabeth, South Africa)

  • Nyasha Kaseke

    (Department of Business Studies, University of Zimbabwe, Harare, Zimbabwe)

  • Syden Mishi

    (Department of Economics and Economic History, Nelson Mandela University, Port Elizabeth, South Africa)

Abstract

Lack of access to reliable electricity to both rural and urban Zimbabweans is negatively affecting the quality of people s life. The country has been experiencing extended hours of load shedding which result in the population having more hours without electricity per day than with electricity. Access to electricity complimented by droughts, natural disasters has impacted on production activities for the people hence causing poverty to many. The study used time series data for the period 1992-2018. The Dynamic Ordinary Least Squares (DOLS) was used as the main model of assess electricity access on economic growth. The results reveals that electricity access to urban population and electricity access to population (EAP) have positive significant impact on economic growth. However, electricity access to rural population was found to be statistically insignificant reflecting that electricity is not always available when it is needed in the rural areas. The study recommends that there is need to improve electricity access for both urban and rural population through on-grid and off-grid systems and expanded electricity generation to meet demand. This will improve socio-economic activities people would be able to carry out productive activities such as irrigation, processing and manufacturing or value addition of certain agriculture out.

Suggested Citation

  • Simbarashe Mhaka & Raynold Runganga & David T. Nyagweta & Nyasha Kaseke & Syden Mishi, 2020. "Impact of Rural and Urban Electricity Access on Economic Growth in Zimbabwe," International Journal of Energy Economics and Policy, Econjournals, vol. 10(6), pages 427-434.
    • Handle: RePEc:eco:journ2:2020-06-56
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    References listed on IDEAS

    as
    1. Adeola Adenikinju, 2005. "Analysis of the cost of infrastructure failures in a developing economy: The case of the electricity sector in Nigeria," Working Papers 148, African Economic Research Consortium, Research Department.
    2. Akinlo, A.E., 2008. "Energy consumption and economic growth: Evidence from 11 Sub-Sahara African countries," Energy Economics, Elsevier, vol. 30(5), pages 2391-2400, September.
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    Cited by:

    1. Nyiko Worship Hlongwane & Mpho Lenoke & Olebogeng David Daw, 2023. "An Analysis of Electricity Generation, Supply, and Economic Growth in Selected SADC Countries," International Journal of Energy Economics and Policy, Econjournals, vol. 13(6), pages 482-493, November.

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    More about this item

    Keywords

    Urban electricity access; rural electricity access; Economic Growth.;
    All these keywords.

    JEL classification:

    • C32 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes; State Space Models
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity

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