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Beyond immediate relief: the dynamic effects of targeted poverty alleviation on household electricity consumption

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  • Shi, Han
  • Deng, Nana
  • Wang, Bo

Abstract

Promoting poverty-stricken households' electricity consumption through poverty-alleviation initiatives is a pivotal pathway to concurrently eradicating income poverty and energy poverty. As a revolutionary approach in governance, China's targeted poverty alleviation (TPA) policy has successfully raised household income, yet its energy-specific impacts across different poverty-alleviation stages remain underexplored for poverty-stricken households. This study examines the energy-poverty-alleviation effect of TPA both during and after households' escape from poverty, using real electricity use data and survey data for 9962 poverty-stricken households from western China in 2016–2022. By applying a difference-in-differences (DID) approach, we find that TPA implementation increased household electricity consumption by 15.06% on average while households were still in poverty. Notably, this effect not only persisted but expanded to 20.87% after households were officially lifted out of poverty. Agricultural and crop-planting subsidies emerged as the dominant drivers of these long-term gains. The results highlight that TPA not only closes the immediate energy gap but also embeds durable electrification behaviors.

Suggested Citation

  • Shi, Han & Deng, Nana & Wang, Bo, 2026. "Beyond immediate relief: the dynamic effects of targeted poverty alleviation on household electricity consumption," Applied Energy, Elsevier, vol. 418(C).
  • Handle: RePEc:eee:appene:v:418:y:2026:i:c:s0306261926007117
    DOI: 10.1016/j.apenergy.2026.128059
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