Assessing Multidimensional Energy Poverty and Its Economic Impact on N11 Countries: Mediating Role of Energy Efficiency

Abstract

This study seeks to estimate energy poverty using a multidimensional and wide-ranging category of indicators via the GRA-SRA approach. The study entails a case study analysis of the N-11 nations utilizing data from 2000 to 2017. Thus, a formulation of multidimensional energy poverty indexes of multidimensional indicators crosswise three dimensions is carried out. Energy availability, energy affordability, and energy cleanability, with regard to the N11 nations, are taken into account. The findings reveal that total energy poverty has progressed. We discover that Bangladesh (0.65) and Pakistan (0.47) are at risk concerning energy poverty, whereas the Philippines (0.36), Indonesia (0.33), and Vietnam (0.28) are less exposed to energy poverty. The relative changes in energy poverty are discovered among the N11 nations, where South Korea witnessed a consistent advancement in energy poverty, whereas Iran displayed a reduced trajectory and a vacillating trend. The findings indicate that the energy sources utilized for warming homes are essential within the scenario of energy poverty and inequality. Contrary to traditional steps, we assess the multidimensional energy poverty at the national level instead of the depths of gravity of energy poverty specifically for the energy-poor as against the whole population.

Energy Inequality Indicators: A Comprehensive Review for Exploring Ways to Reduce Inequality

“…Energy inequality has become a significant research topic due to its social, economic, and environmental implications. Researchers from a wide range of disciplines, including social sciences, economics, public policy, and even engineering, are now exploring different aspects of energy inequality, such as the factors that contribute to energy inequality, the economic and social impacts of energy inequality [8][9][10][11][12][13][14][15], the impact on health [13,[16][17][18][19][20][21][22][23], the impact on vulnerable members of the society [24][25][26][27][28][29], the impact on environmental quality [30][31][32][33][34][35][36], and the policies and strategies that can help to promote energy access and equity. Recent advancements in data collection and analysis have also enabled researchers to better understand the magnitude and distribution of energy inequality across different regions and populations.…”

“…This systematic literature review has identified that various terms are used to address similar aspects of energy inequality (see Figure 1) [17], including energy poverty [9,14,18,20,21,26,32,37], energy insecurity [17,38], fuel poverty [39][40][41][42][43], environmental inequality [34], carbon inequality [44], and environmental degradation [13,31,36]. To achieve the objective of this study, which is to identify energy inequality dimensions and their indicators and explore ways to reduce them, it is crucial to establish a common understanding and terminology.…”

“…Energy security, from a generic perspective, refers to an economy's ability sure a sustainable and continuous energy supply, as well as stable energy prices th port the normal functioning of the economic system [10]. This concept encompas interplay between energy and various economic factors, including environmenta It is important to highlight that energy poverty is described using closely related language and energy poverty is conceptualized as follows: a condition in which a household is unable to secure a socially and materially needed level of energy services in the home [45]; a constraint in access and affordability of modern forms of energy, especially electricity [29]; a situation where a household is unable to meet the socially and materially necessary level of energy services within their home [37]; the inability of families to have enough and affordable high-quality energy to survive and satisfy their development needs [14]; a situation of inability to realize the essential capabilities due to insufficient choice in accessing affordable, reliable, adequate, quality, and safe energy services in a reasonable manner [28]; inadequate alternative energy types and inappropriate circumstances for accessing energy adequately, affordably, in constant supply, in an uninterrupted manner, and through environmentally sustainable new energy services that contribute to attaining economic and human advancement [9].…”

“…Social and economic impact. Energy inequality has significant socio-economic consequences, which include a decline in social cohesiveness due to limited social engagement and increased isolation [9]. It also leads to a reduction in social interaction and exclusion [14].…”

“…In response to today's context and the need for a transformation towards a climateneutral society, some authors emphasize the importance of considering not only the availability and affordability dimensions but also the cleanability of energy [9,14]. Cleanability refers to the cleanliness of the energy sources and technologies used.…”