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Identifying chronic and transient energy poverty: A duration-independent decomposition approach

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  • Chen, Yongwei
  • Zhang, Jie
  • Fu, Dahai
  • Shi, Xunpeng

Abstract

Energy poverty poses a big challenge to sustainable development. Accurately identifying energy poverty and understanding its underlying causes are essential steps toward its effective alleviation. This study adapts the Foster-Greer-Thorbecke poverty index to develop a novel method for decomposing energy poverty into chronic and transient components. The proposed approach is robust to variations in poverty duration and provides a rigorous economic framework for analyzing energy poverty dynamics. Applying this decomposition to data from the China Family Panel Studies spanning 2012 to 2020, our empirical analysis reveals a declining trend in overall energy poverty in China, while it remains chronically impoverished. This decomposition method offers a flexible and comprehensive tool for examining energy poverty trends in other developing economies.

Suggested Citation

  • Chen, Yongwei & Zhang, Jie & Fu, Dahai & Shi, Xunpeng, 2026. "Identifying chronic and transient energy poverty: A duration-independent decomposition approach," Energy Economics, Elsevier, vol. 158(C).
    • Handle: RePEc:eee:eneeco:v:158:y:2026:i:c:s0140988326002185
    DOI: 10.1016/j.eneco.2026.109339
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