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Assessing Fossil Fuels and Renewables’ Impact on Energy Poverty Conditions in Europe

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  • George Halkos

    (Department of Economics, University of Thessaly, 38333 Volos, Greece)

  • Eleni-Christina Gkampoura

    (Department of Economics, University of Thessaly, 38333 Volos, Greece)

Abstract

The disadvantages of fossil fuels and their impact on the environment have made the transition to renewable energy sources essential to cover our energy needs. However, different energy resources have a different impact on energy poverty conditions in the world, an issue that is important to examine and properly address. This study examines the impact that fossil fuels final energy consumption in households per capita and renewables and biofuels final energy consumption in households per capita have on energy poverty conditions in Europe, using panel data from 28 European countries for the time period 2004–2019 and static and dynamic regression models, while also performing various econometric tests. The findings indicate that GDP per capita and fossil fuels are linked to an inverse relationship to energy poverty conditions. Renewables and biofuels are also linked to an inverse relationship to the inability to keep homes adequately warm and the presence of leaks, damp, or rot in the dwelling, but they could be considered a driver of arrears on utility bills. In addition, a comparative analysis between Sweden, Germany, and Greece and their conditions on energy poverty and energy transition was conducted, highlighting the differences existing between the three European countries. The findings of the research can be useful for governments and policy makers to develop strategies that promote energy transition while protecting energy consumers.

Suggested Citation

  • George Halkos & Eleni-Christina Gkampoura, 2023. "Assessing Fossil Fuels and Renewables’ Impact on Energy Poverty Conditions in Europe," Energies, MDPI, vol. 16(1), pages 1-16, January.
    • Handle: RePEc:gam:jeners:v:16:y:2023:i:1:p:560-:d:1024084
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