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Analysis of correlation between climate change and energy poverty: A panel data analysis

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  • Kong, Jiangwei
  • Gao, Mengxi
  • Liu, Xiang
  • Haroon, Muhammad

Abstract

This paper evaluates the impact of the worldwide temperature increase on energy poverty. This analysis is undertaken by combining our assessment with climate model projection and analyzing how temperature shocks affect the possibility of energy poverty. To achieve this, we match climate information at the city level across Australia with a selection of household panel data. The results show that each additional cold day, with temperatures below 15 °C, raises the likelihood of energy poverty by 0.01 %–0.03 %. This increase is compared to days with more comfortable temperatures between 20 and 24 °C. Unlike most studies that focus on the negative impacts of climate change on society and the economy, our study highlights a specific benefit for a large nation with a moderate climate.

Suggested Citation

  • Kong, Jiangwei & Gao, Mengxi & Liu, Xiang & Haroon, Muhammad, 2025. "Analysis of correlation between climate change and energy poverty: A panel data analysis," Energy, Elsevier, vol. 322(C).
    • Handle: RePEc:eee:energy:v:322:y:2025:i:c:s0360544225008898
    DOI: 10.1016/j.energy.2025.135247
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