IDEAS home Printed from https://ideas.repec.org/p/rza/wpaper/843.html
   My bibliography  Save this paper

Measuring energy poverty in South Africa based on household required energy consumption

Author

Listed:
  • Steven F. Koch
  • Yuxiang Yeú

Abstract

Energy poverty is a major concern in most of developing countries while its measurement has not been fully addressed due to the complexity of energy basic needs estimation. This study contributes to the literature by measuring energy poverty with focus on household required energy consumption using widely available household budget survey data. We apply the […]

Suggested Citation

  • Steven F. Koch & Yuxiang Yeú, 2020. "Measuring energy poverty in South Africa based on household required energy consumption," Working Papers 843, Economic Research Southern Africa.
    • Handle: RePEc:rza:wpaper:843
    as

    Download full text from publisher

    File URL: https://econrsa.org/wp-content/uploads/2022/06/working_paper_843.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Simshauser, Paul, 2021. "Vulnerable households and fuel poverty: Measuring the efficiency of policy targeting in Queensland," Energy Economics, Elsevier, vol. 101(C).
    2. Bohlmann, J.A. & Inglesi-Lotz, R., 2021. "Examining the determinants of electricity demand by South African households per income level," Energy Policy, Elsevier, vol. 148(PA).
    3. Susanna B. Berkouwer, 2020. "Electric Heating and the Effects of Temperature on Household Electricity Consumption in South Africa," The Energy Journal, International Association for Energy Economics, vol. 0(Number 4), pages 209-230.
    4. Arndt, Channing & McKay, Andy & Tarp, Finn (ed.), 2016. "Growth and Poverty in Sub-Saharan Africa," OUP Catalogue, Oxford University Press, number 9780198744795.
    5. Mendoza, Celedonio B. & Cayonte, Dwane Darcy D. & Leabres, Michael S. & Manaligod, Lana Rose A., 2019. "Understanding multidimensional energy poverty in the Philippines," Energy Policy, Elsevier, vol. 133(C).
    6. Foster, James & Greer, Joel & Thorbecke, Erik, 1984. "A Class of Decomposable Poverty Measures," Econometrica, Econometric Society, vol. 52(3), pages 761-766, May.
    7. Alkire, Sabina & Foster, James, 2011. "Counting and multidimensional poverty measurement," Journal of Public Economics, Elsevier, vol. 95(7), pages 476-487.
    8. Peter Heindl, 2015. "Measuring Fuel Poverty: General Considerations and Application to German Household Data," FinanzArchiv: Public Finance Analysis, Mohr Siebeck, Tübingen, vol. 71(2), pages 178-215, June.
    9. Dominic J. Bednar & Tony G. Reames, 2020. "Recognition of and response to energy poverty in the United States," Nature Energy, Nature, vol. 5(6), pages 432-439, June.
    10. Dorothée Charlier & Berangère Legendre & Anna Risch, 2019. "Fuel poverty in residential housing: providing financial support versus combatting substandard housing," Applied Economics, Taylor & Francis Journals, vol. 51(49), pages 5369-5387, October.
    11. Ye, Yuxiang & Koch, Steven F. & Zhang, Jiangfeng, 2018. "Determinants of household electricity consumption in South Africa," Energy Economics, Elsevier, vol. 75(C), pages 120-133.
    12. Essex, Stephen & de Groot, Jiska, 2019. "Understanding energy transitions: The changing versions of the modern infrastructure ideal and the ‘energy underclass’ in South Africa, 1860–2019," Energy Policy, Elsevier, vol. 133(C).
    13. James Foster & Joel Greer & Erik Thorbecke, 2010. "The Foster–Greer–Thorbecke (FGT) poverty measures: 25 years later," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 8(4), pages 491-524, December.
    14. James E. Foster & Joel Greer & Erik Thorbecke, 2010. "The Foster-Greer-Thorbecke (FGT) Poverty Measures: Twenty-Five Years Later," Working Papers 2010-14, The George Washington University, Institute for International Economic Policy.
    15. Legendre, Bérangère & Ricci, Olivia, 2015. "Measuring fuel poverty in France: Which households are the most fuel vulnerable?," Energy Economics, Elsevier, vol. 49(C), pages 620-628.
    16. Bohlmann, Jessika & Bohlmann, Heinrich & Inglesi-Lotz, Roula & van Heerden, Jan, 2016. "An economy-wide evaluation of new power generation in South Africa: The case of Medupi and Kusile," Energy Policy, Elsevier, vol. 97(C), pages 450-460.
    17. Dorothee Charlier and Berangere Legendre, 2019. "A Multidimensional Approach to Measuring Fuel Poverty," The Energy Journal, International Association for Energy Economics, vol. 0(Number 2).
    18. Heindl, Peter & Schuessler, Rudolf, 2015. "Dynamic properties of energy affordability measures," Energy Policy, Elsevier, vol. 86(C), pages 123-132.
    19. Bohlmann, Jessika Andreina & Inglesi-Lotz, Roula, 2018. "Analysing the South African residential sector's energy profile," Renewable and Sustainable Energy Reviews, Elsevier, vol. 96(C), pages 240-252.
    20. Yuxiang Ye & Steven F. Koch & Jiangfeng Zhang, 2020. "Modelling Required Energy Consumption with Equivalence Scales," Working Papers 202014, University of Pretoria, Department of Economics.
    21. Trevor Memmott & Sanya Carley & Michelle Graff & David M. Konisky, 2021. "Sociodemographic disparities in energy insecurity among low-income households before and during the COVID-19 pandemic," Nature Energy, Nature, vol. 6(2), pages 186-193, February.
    22. Dorothée Charlier & Bérangère Legendre & Anna Risch, 2019. "Fuel poverty in residential housing: Providing financial support vs. combatting substandard housing," Post-Print hal-02145950, HAL.
    23. Khandker, Shahidur R. & Barnes, Douglas F. & Samad, Hussain A., 2012. "Are the energy poor also income poor? Evidence from India," Energy Policy, Elsevier, vol. 47(C), pages 1-12.
    24. Romero, José Carlos & Linares, Pedro & López, Xiral, 2018. "The policy implications of energy poverty indicators," Energy Policy, Elsevier, vol. 115(C), pages 98-108.
    25. Jiangfeng Zhang & Steven F. Koch & Yuxiang Ye, 2020. "Modelling required energy consumption with equivalence," Working Papers 809, Economic Research Southern Africa.
    26. Hayfield, Tristen & Racine, Jeffrey S., 2008. "Nonparametric Econometrics: The np Package," Journal of Statistical Software, Foundation for Open Access Statistics, vol. 27(i05).
    27. Nelson, Julie A, 1988. "Household Economies of Scale in Consumption: Theory and Evidence," Econometrica, Econometric Society, vol. 56(6), pages 1301-1314, November.
    28. Hills, John, 2011. "Fuel poverty: the problem and its measurement," LSE Research Online Documents on Economics 39270, London School of Economics and Political Science, LSE Library.
    29. Giannini Pereira, Marcio & Vasconcelos Freitas, Marcos Aurélio & da Silva, Neilton Fidelis, 2011. "The challenge of energy poverty: Brazilian case study," Energy Policy, Elsevier, vol. 39(1), pages 167-175, January.
    30. Margaret Grosh & Paul Glewwe, 2000. "Designing Household Survey Questionnaires for Developing Countries," World Bank Publications - Books, The World Bank Group, number 25338, December.
    31. Winkler, Harald & Simões, André Felipe & Rovere, Emilio Lèbre la & Alam, Mozaharul & Rahman, Atiq & Mwakasonda, Stanford, 2011. "Access and Affordability of Electricity in Developing Countries," World Development, Elsevier, vol. 39(6), pages 1037-1050, June.
    32. Li, Kang & Lloyd, Bob & Liang, Xiao-Jie & Wei, Yi-Ming, 2014. "Energy poor or fuel poor: What are the differences?," Energy Policy, Elsevier, vol. 68(C), pages 476-481.
    33. Madubansi, M. & Shackleton, C.M., 2006. "Changing energy profiles and consumption patterns following electrification in five rural villages, South Africa," Energy Policy, Elsevier, vol. 34(18), pages 4081-4092, December.
    34. Dong, Yingying, 2010. "Endogenous regressor binary choice models without instruments, with an application to migration," Economics Letters, Elsevier, vol. 107(1), pages 33-35, April.
    35. Awaworyi Churchill, Sefa & Smyth, Russell & Farrell, Lisa, 2020. "Fuel poverty and subjective wellbeing," Energy Economics, Elsevier, vol. 86(C).
    36. Parikh, Jyoti K., 1978. "Energy use for subsistence and prospects for development," Energy, Elsevier, vol. 3(5), pages 631-637.
    37. Mohr, Tanga McDaniel, 2018. "Fuel poverty in the US: Evidence using the 2009 Residential Energy Consumption Survey," Energy Economics, Elsevier, vol. 74(C), pages 360-369.
    38. John Hills, 2012. "Final report of the Hills Independent Fuel Poverty Review: Getting the Measure of Fuel Poverty," CASE Reports casereport72, Centre for Analysis of Social Exclusion, LSE.
    39. Deller, David, 2018. "Energy affordability in the EU: The risks of metric driven policies," Energy Policy, Elsevier, vol. 119(C), pages 168-182.
    40. Liddell, Christine & Morris, Chris & McKenzie, S.J.P. & Rae, Gordon, 2012. "Measuring and monitoring fuel poverty in the UK: National and regional perspectives," Energy Policy, Elsevier, vol. 49(C), pages 27-32.
    41. Moore, Richard, 2012. "Definitions of fuel poverty: Implications for policy," Energy Policy, Elsevier, vol. 49(C), pages 19-26.
    42. Zhang, Dayong & Li, Jiajia & Han, Phoumin, 2019. "A multidimensional measure of energy poverty in China and its impacts on health: An empirical study based on the China family panel studies," Energy Policy, Elsevier, vol. 131(C), pages 72-81.
    43. Barnes, Douglas F. & Khandker, Shahidur R. & Samad, Hussain A., 2011. "Energy poverty in rural Bangladesh," Energy Policy, Elsevier, vol. 39(2), pages 894-904, February.
    44. Sen, Amartya K, 1976. "Poverty: An Ordinal Approach to Measurement," Econometrica, Econometric Society, vol. 44(2), pages 219-231, March.
    45. Greer, Joel & Thorbecke, Erik, 1986. "A methodology for measuring food poverty applied to Kenya," Journal of Development Economics, Elsevier, vol. 24(1), pages 59-74, November.
    46. Bekker, Bernard & Eberhard, Anton & Gaunt, Trevor & Marquard, Andrew, 2008. "South Africa's rapid electrification programme: Policy, institutional, planning, financing and technical innovations," Energy Policy, Elsevier, vol. 36(8), pages 3115-3127, August.
    47. Lazear, Edward P & Michael, Robert T, 1980. "Family Size and the Distribution of Real Per Capita Income," American Economic Review, American Economic Association, vol. 70(1), pages 91-107, March.
    48. Okushima, Shinichiro, 2017. "Gauging energy poverty: A multidimensional approach," Energy, Elsevier, vol. 137(C), pages 1159-1166.
    49. Guild, J. & Shackleton, C.M., 2018. "Informal urban fuelwood markets in South Africa in the context of socio-economic change," Energy Policy, Elsevier, vol. 117(C), pages 136-141.
    50. Yatchew, Adonis & Sun, Yiguo & Deri, Catherine, 2003. "Efficient Estimation of Semiparametric Equivalence Scales with Evidence from South Africa," Journal of Business & Economic Statistics, American Statistical Association, vol. 21(2), pages 247-257, April.
    51. Jiang, Lu & Yu, Lu & Xue, Bing & Chen, Xingpeng & Mi, Zhifu, 2020. "Who is energy poor? Evidence from the least developed regions in China," Energy Policy, Elsevier, vol. 137(C).
    52. Awaworyi Churchill, Sefa & Smyth, Russell, 2020. "Ethnic diversity, energy poverty and the mediating role of trust: Evidence from household panel data for Australia11We thank two referees for constructive comments. This article uses unit record data ," Energy Economics, Elsevier, vol. 86(C).
    53. Heinz Welsch & Philipp Biermann, 2017. "Energy Affordability and Subjective Well-Being: Evidence for European Countries," The Energy Journal, International Association for Energy Economics, vol. 0(Number 3).
    54. Jonathan Haughton & Shahidur R. Khandker, 2009. "Handbook on Poverty and Inequality," World Bank Publications - Books, The World Bank Group, number 11985, December.
    55. Pachauri, S. & Mueller, A. & Kemmler, A. & Spreng, D., 2004. "On Measuring Energy Poverty in Indian Households," World Development, Elsevier, vol. 32(12), pages 2083-2104, December.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Wang, Ying & Wang, Yong & Shahbaz, Muhammad, 2023. "How does digital economy affect energy poverty? Analysis from the global perspective," Energy, Elsevier, vol. 282(C).
    2. Bezerra, Paula & Cruz, Talita & Mazzone, Antonella & Lucena, André F.P. & De Cian, Enrica & Schaeffer, Roberto, 2022. "The multidimensionality of energy poverty in Brazil: A historical analysis," Energy Policy, Elsevier, vol. 171(C).
    3. Liu, Zhaoyi & Tu, Yongqian, 2023. "Nexus among financial innovation, natural resources and economic recovery: A fresh empirical insight from China," Resources Policy, Elsevier, vol. 84(C).
    4. Okorie, David Iheke & Lin, Boqiang, 2022. "Association of energy poverty and catastrophic health expenditure," Energy, Elsevier, vol. 253(C).
    5. Puig Julian Mariano, 2023. "Pobreza Energética en Argentina," Asociación Argentina de Economía Política: Working Papers 4687, Asociación Argentina de Economía Política.
    6. Lan, Jing & Khan, Sufyan Ullah & Sadiq, Muhammad & Chien, Fengsheng & Baloch, Zulfiqar Ali, 2022. "Evaluating energy poverty and its effects using multi-dimensional based DEA-like mathematical composite indicator approach: Findings from Asia," Energy Policy, Elsevier, vol. 165(C).
    7. Steven F. Koch, 2021. "Equivalence Scales with Endogeneity and Base Independence," Working Papers 202185, University of Pretoria, Department of Economics.
    8. George E. Halkos & Panagiotis-Stavros C. Aslanidis, 2023. "Addressing Multidimensional Energy Poverty Implications on Achieving Sustainable Development," Energies, MDPI, vol. 16(9), pages 1-30, April.
    9. Wencong, Lu & Kasimov, Ikboljon & Saydaliev, Hayot Berk, 2023. "Foreign direct investment and renewable energy: Examining the environmental Kuznets curve in resource-rich transition economies," Renewable Energy, Elsevier, vol. 208(C), pages 301-310.
    10. Ma, Cong & Cheok, Mui Yee, 2022. "The impact of financing role and organizational culture in small and medium enterprises: Developing business strategies for economic recovery," Economic Analysis and Policy, Elsevier, vol. 75(C), pages 26-38.
    11. Michael Adu Okyere & Boqiang Lin, 2023. "Invisible among the vulnerable: a nuanced perspective of energy poverty at the intersection of gender and disability in South Africa," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-14, December.
    12. Marlena Piekut & Kamil Piekut, 2022. "Changes in Patterns of Consumer Spending in European Households," Sustainability, MDPI, vol. 14(19), pages 1-25, October.
    13. Uzziah Mutumbi & Gladman Thondhlana & Sheunesu Ruwanza, 2022. "The Status of Household Electricity Use Behaviour Research in South Africa between 2000 and 2022," Energies, MDPI, vol. 15(23), pages 1-14, November.
    14. Koomson, Isaac & Afoakwah, Clifford & Ampofo, Akwasi, 2022. "How does ethnic diversity affect energy poverty? Insights from South Africa," Energy Economics, Elsevier, vol. 111(C).
    15. Charlie Shackleton & Gisele Sinasson & Opeyemi Adeyemi & Vusumzi Martins, 2022. "Fuelwood in South Africa Revisited: Widespread Use in a Policy Vacuum," Sustainability, MDPI, vol. 14(17), pages 1-14, September.
    16. Steven F. Koch, 2022. "Equivalence scales in a developing country with extensive inequality," South African Journal of Economics, Economic Society of South Africa, vol. 90(4), pages 486-512, December.
    17. Koomson, Isaac & Awaworyi Churchill, Sefa, 2022. "Employment precarity and energy poverty in post-apartheid South Africa: Exploring the racial and ethnic dimensions," Energy Economics, Elsevier, vol. 110(C).
    18. Bekithemba Qeqe & Forget Kapingura & Bahle Mgxekwa, 2022. "The Relationship between Electricity Prices and Household Welfare in South Africa," Energies, MDPI, vol. 15(20), pages 1-15, October.
    19. Lin, Boqiang & Okyere, Michael Adu, 2023. "Race and energy poverty: The moderating role of subsidies in South Africa," Energy Economics, Elsevier, vol. 117(C).
    20. Aweke, Abinet Tilahun & Navrud, Ståle, 2022. "Valuing energy poverty costs: Household welfare loss from electricity blackouts in developing countries," Energy Economics, Elsevier, vol. 109(C).
    21. Dalia Streimikiene & Grigorios L. Kyriakopoulos, 2023. "Energy Poverty and Low Carbon Energy Transition," Energies, MDPI, vol. 16(2), pages 1-15, January.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Awan, Ashar & Bilgili, Faik & Rahut, Dil Bahadur, 2022. "Energy poverty trends and determinants in Pakistan: Empirical evidence from eight waves of HIES 1998–2019," Renewable and Sustainable Energy Reviews, Elsevier, vol. 158(C).
    2. Yuxiang Ye & Steven F. Koch & Jiangfeng Zhang, 2020. "Modelling Required Energy Consumption with Equivalence Scales," Working Papers 202014, University of Pretoria, Department of Economics.
    3. Recep Ulucak & Ramazan Sari & Seyfettin Erdogan & Rui Alexandre Castanho, 2021. "Bibliometric Literature Analysis of a Multi-Dimensional Sustainable Development Issue: Energy Poverty," Sustainability, MDPI, vol. 13(17), pages 1-21, August.
    4. Villalobos, Carlos & Chávez, Carlos & Uribe, Adolfo, 2021. "Energy poverty measures and the identification of the energy poor: A comparison between the utilitarian and capability-based approaches in Chile," Energy Policy, Elsevier, vol. 152(C).
    5. Charlier, Dorothée & Legendre, Bérangère, 2021. "Fuel poverty in industrialized countries: Definition, measures and policy implications a review," Energy, Elsevier, vol. 236(C).
    6. Kahouli, Sondès & Okushima, Shinichiro, 2021. "Regional energy poverty reevaluated: A direct measurement approach applied to France and Japan," Energy Economics, Elsevier, vol. 102(C).
    7. Drescher, Katharina & Janzen, Benedikt, 2021. "Determinants, persistence, and dynamics of energy poverty: An empirical assessment using German household survey data," Energy Economics, Elsevier, vol. 102(C).
    8. George E. Halkos & Panagiotis-Stavros C. Aslanidis, 2023. "Addressing Multidimensional Energy Poverty Implications on Achieving Sustainable Development," Energies, MDPI, vol. 16(9), pages 1-30, April.
    9. Bagnoli, Lisa & Bertoméu-Sánchez, Salvador, 2022. "How effective has the electricity social rate been in reducing energy poverty in Spain?," Energy Economics, Elsevier, vol. 106(C).
    10. Wang, Yao & Lin, Boqiang, 2022. "Can energy poverty be alleviated by targeting the low income? Constructing a multidimensional energy poverty index in China," Applied Energy, Elsevier, vol. 321(C).
    11. Nguyen, Canh Phuc & Nasir, Muhammad Ali, 2021. "An inquiry into the nexus between energy poverty and income inequality in the light of global evidence," Energy Economics, Elsevier, vol. 99(C).
    12. Chesser, Michael & Hanly, Jim & Cassells, Damien & Berrill, Jenny, 2022. "Fuel poverty measurements in residential America. Who are the most vulnerable?," Finance Research Letters, Elsevier, vol. 50(C).
    13. Carlos Villalobos Barría & Carlos Chávez & Adolfo Uribe, 2019. "Energy poverty measures and the identification of the energy poor: A comparison between the utilitarian and multidimensional approaches in Chile," Ibero America Institute for Econ. Research (IAI) Discussion Papers 243, Ibero-America Institute for Economic Research.
    14. Igawa, Moegi & Managi, Shunsuke, 2022. "Energy poverty and income inequality: An economic analysis of 37 countries," Applied Energy, Elsevier, vol. 306(PB).
    15. Lin, Boqiang & Wang, Yao, 2020. "Does energy poverty really exist in China? From the perspective of residential electricity consumption," Energy Policy, Elsevier, vol. 143(C).
    16. Nie, Peng & Li, Qiaoge & Sousa-Poza, Alfonso, 2021. "Energy poverty and subjective well-being in China: New evidence from the China Family Panel Studies," Energy Economics, Elsevier, vol. 103(C).
    17. Omar, Md Abdullah & Hasanujzaman, Muhammad, 2021. "Multidimensional energy poverty in Bangladesh and its effect on health and education: A multilevel analysis based on household survey data," Energy Policy, Elsevier, vol. 158(C).
    18. Okushima, Shinichiro, 2017. "Gauging energy poverty: A multidimensional approach," Energy, Elsevier, vol. 137(C), pages 1159-1166.
    19. Wang, Hanjie & Maruejols, Lucie & Yu, Xiaohua, 2021. "Predicting energy poverty with combinations of remote-sensing and socioeconomic survey data in India: Evidence from machine learning," Energy Economics, Elsevier, vol. 102(C).
    20. Rodriguez-Alvarez, Ana & Llorca, Manuel & Jamasb, Tooraj, 2021. "Alleviating energy poverty in Europe: Front-runners and laggards," Energy Economics, Elsevier, vol. 103(C).

    More about this item

    Keywords

    Development Economics; econometric modelling; Machine learning; Quantitative Methods; Social welfare;
    All these keywords.

    JEL classification:

    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation
    • H53 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Welfare Programs
    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:rza:wpaper:843. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Maggi Sigg (email available below). General contact details of provider: https://edirc.repec.org/data/ersacza.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.