Household Energy Consumption in Nigeria: A Review on the Applicability of the Energy Ladder Model

Abstract

Household energy consumption dynamics in developing countries is often conceptualized through the Energy ladder model and assumes that with increasing income, householders will have a preference to cleaner energy. This paper reviewed various energy sources for household consumption and examines the implications of their dependence on traditional energy sources as well as the energy ladder model as a concept widely used by scholars in describing the role of income in determining energy use and choices. It further explains the consumption behaviour of households in relation to the major assumptions of the model. The paper posits that the dependence on energy sources at the lowest rung of the energy ladder by most households in Nigeria is accentuated by rising poverty level consistent with the energy ladder hypothesis but disagrees with the notion of complete fuel substitution given that most households tend to have a mix of energy sources for their activities It recommends that government and other stakeholders should formulate policies that will foster the use of modern energy sources with a view to mitigating the environmental and health externalities of traditional energy use as well as improving the quality of human lives.
 Keywords: Households, energy consumption, energy ladder model, income

Situation analysis of energy use and consumption in Cambodia: household access to energy

“…We can note that progress with energy ladders is not linear, but rather it is a complex process, where also regression back to previous steps of the ladder is possible. This finding is also supported by Daioglou et al (2012) and Adamu et al (2020) with results showing the fine balance of costs in relation to the selected energy source, and always with a mix of energy sources rather than a complete fuel substitution. Examining how different wealth groups use various energy sources tested the validity of these theories.…”

“…Instead of changing energy sources, old ones are complemented with new, thus energy options accumulate in households as they get wealthier; a concept known as the energy stacking model (Fig. 2) (Adamu et al 2020;Kowsari & Zerriffi, 2011). Kowsari and Zerriffi (2011) list multiple reasons why households do not give up traditional fuels; for example, they provide security when modern energy supplies fail (ESMAP 1999) and when prices fluctuate (Leach, 1992).…”

“…Often, households might rely on traditional fuels but use modern sources in small amounts for specific purposes (Victor, 2002). It is also common to switch back to use traditional fuels after adopting new energy sources (Adamu et al 2020;Kroon et al 2013;World Bank, 2018). For example, Wickramasinghe (2011) found that in Sri Lanka many have reverted to firewood after the price of LPG increased, and Ekholm et al (2010) have found in India that the rural population relies mainly on traditional fuels even with increased incomes.…”

“…These are, for example, the size of the household, cultural habits, attitudes, preferences, the age of the household head, education and of course the income (e.g. Ekholm et al 2010, Pachauri, 2004, Kowsari and Zerrifi 2011, Kroon et al 2013, Luukkanen, 1991, Adamu 2020, Phoumin et al 2020. There are also differences within the same income groups depending on whether the income is regular or not, whereby households with regular wages are more likely to use LPG (Heltberg, 2005, according to Kroon et al 2013.…”

Evidence of Climate and Environmental Change in Nigeria: Synthesis from the Driving Force, Pressure, State, Impact and Response (DPSIR) Framework

“…South west zone has the least (37.2%) consumption of fuelwood which may be attributed to more availability of hydro-carbon fuel in the zone because of its proximity to the seaport where it is imported. while about 40% of the households used fuelwood (Adamu et al, 2020).…”