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The demand for energy of Italian households

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  • Ivan Faiella

    ()
    (Bank of Italy)

Abstract

This paper studies the impact of demographic shifts, energy prices and climate factors on Italian households’ energy budget. The pattern of energy expenditure of Italian households is studied using the Italian Household Budget Survey. The expenditure for heating, private transport and electricity are jointly modelled and the relevant parameters are simulated under different scenarios. According to this exercise, the ageing of the Italian population - coupled with the increase in energy prices and surface temperature - could reduce the share of energy-related expenditure by about 2 percentage points in the next few decades and increase its polarization. Energy policies should take into consideration households’ characteristics and behaviour, and in turn the impact of this heterogeneity on the demand for energy.

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File URL: http://www.bancaditalia.it/pubblicazioni/econo/temidi/td11/td822_11/td822/en_tema_822.pdf
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Bibliographic Info

Paper provided by Bank of Italy, Economic Research and International Relations Area in its series Temi di discussione (Economic working papers) with number 822.

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Date of creation: Sep 2011
Date of revision:
Handle: RePEc:bdi:wptemi:td_822_11

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Postal: Via Nazionale, 91 - 00184 Roma
Web page: http://www.bancaditalia.it
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Related research

Keywords: household energy demand; demographics; climate change;

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References

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  1. Xavier Labandeira & José M. Labeaga & Miguel Rodríguez, . "Microsimulating the Effects of Household Energy Price Changes in Spain," Studies on the Spanish Economy 196, FEDEA.
  2. Kurt Kratena & Ina Meyer & Michael Wüger, 2008. "Modelling the Energy Demand of Households in a Combined Top Down/Bottom Up Approach," WIFO Working Papers 321, WIFO.
  3. James Banks & Richard Blundell & Arthur Lewbel, 1997. "Quadratic Engel Curves And Consumer Demand," The Review of Economics and Statistics, MIT Press, vol. 79(4), pages 527-539, November.
  4. Jean-Marc Burniaux & Jean Chateau & Romain Duval & Stéphanie Jamet, 2008. "The Economics of Climate Change Mitigation: Policies and Options for the Future," OECD Economics Department Working Papers 658, OECD Publishing.
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Cited by:
  1. Garau, Giorgio & Lecca, Patrizio & Mandras, Giovanni, 2013. "The impact of population ageing on energy use: Evidence from Italy," Economic Modelling, Elsevier, vol. 35(C), pages 970-980.
  2. Federico Cingano & Ivan Faiella, 2013. "Green taxation in Italy: an assessment of a carbon tax on transport," Questioni di Economia e Finanza (Occasional Papers) 206, Bank of Italy, Economic Research and International Relations Area.
  3. Bartocci, Anna & Pisani, Massimiliano, 2013. "“Green” fuel tax on private transportation services and subsidies to electric energy. A model-based assessment for the main European countries," Energy Economics, Elsevier, vol. 40(S1), pages S32-S57.

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