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Improving the Expansion of Electricity Services Considering Affordability Issues: A Case Study in Brazilian Low-Income Households

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  • Juliani Chico Piai Paiva

    (Electrical Engineering Department, Center of Technology and Urbanism, State University of Londrina (UEL), Londrina 86057-970, Brazil
    Postgraduate Program in Energy Systems Planning, Faculty of Mechanical Engineering, State University of Campinas (UNICAMP), Campinas 13083-860, Brazil)

  • Sandra Maria Almeida Cordeiro

    (Social Service Department, Center for Applied Social Studies, State University of Londrina (UEL), Londrina 86057-970, Brazil)

  • Kleverton Clóvis de Oliveira Saath

    (Postgraduate Program in Economics, Socioeconomic Center, Federal University of Santa Catarina (UFSC), Florianopolis 88040-900, Brazil)

  • Gilberto de Martino Jannuzzi

    (Postgraduate Program in Energy Systems Planning, Faculty of Mechanical Engineering, State University of Campinas (UNICAMP), Campinas 13083-860, Brazil)

Abstract

The assurance of universal access to electricity refers to not only physical access to electricity, heating, and/or cooling services but also making them affordable to families. This is the case in Brazil, where physical electricity access reaches more than 99% of the urban population, but a high proportion of households are disconnected due to lack of payment. Affordability is a key factor in planning the expansion and maintenance of the electricity grid. In this paper, therefore, we propose the development of a strategy, called the Payment Capability Indicator ( PCI ), that provides new information about the relationship between energy cost and family income. The classic indicator, the Ten Percent Rule (TPR), was the base, and empirical research was conducted in two low-income neighborhoods in Paraná state, southern Brazil. The results consider variables that add new information to guide local public policies, combining interventions to improve affordability, energy efficiency, alternatives to energy services and consumer behavioral changes.

Suggested Citation

  • Juliani Chico Piai Paiva & Sandra Maria Almeida Cordeiro & Kleverton Clóvis de Oliveira Saath & Gilberto de Martino Jannuzzi, 2024. "Improving the Expansion of Electricity Services Considering Affordability Issues: A Case Study in Brazilian Low-Income Households," Energies, MDPI, vol. 17(17), pages 1-14, August.
    • Handle: RePEc:gam:jeners:v:17:y:2024:i:17:p:4231-:d:1463101
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    References listed on IDEAS

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    1. Heindl, Peter & Schuessler, Rudolf, 2015. "Dynamic properties of energy affordability measures," Energy Policy, Elsevier, vol. 86(C), pages 123-132.
    2. Jamil, Faisal & Ahmad, Eatzaz, 2019. "Policy considerations for limiting electricity theft in the developing countries," Energy Policy, Elsevier, vol. 129(C), pages 452-458.
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