Reducing energy poverty: Characteristics of household electricity use in Vietnam

Son, Hyung Bin; Yoon, Semee

doi:10.1016/j.esd.2020.08.007

Cited by 45 publications

(14 citation statements)

References 27 publications

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“…(3) Inequalities in electricity consumption among Vietnamese households decreased during the 2008-2018 period. Inequalities in electricity consumption are not greater than inequalities in income, contrary to Son & Yoon's (2020) findings for the 1993-2004 period. (4) Electricity is affordable in Vietnam.…”

Section: Electricity Poverty Reduction In Vietnamcontrasting

confidence: 57%

“…We examine residential demand from a different perspective-energy poverty-using different data: the Vietnam Households Living Standard Surveys (VHLSS) from 2008 to 2018. Son & Yoon (2020) examined the determinants of inequality in Vietnamese households' electricity consumption, using VHLSS data from 1993 to 2004. Inequality can be defined, at the population level, by how much the statistical distribution of consumption deviates from the uniform distribution.…”

Section: Introductionmentioning

confidence: 99%

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Subjective satisfaction and objective electricity poverty reduction in Vietnam, 2008–2018

Ha‐Duong

Nguyen

2021

FREP

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PurposeThe authors estimate the reduction of electricity poverty in Vietnam. The essential argument is that human development is about subjective feeling as much as technology and income.Design/methodology/approachThe authors use a self-reported satisfaction indicator as complementary to objective indicators based on national household surveys from 2008 to 2018.FindingsIn 2010, the fraction of households with access to electricity was over 96%. However, over 24% declared their electricity use did not meet their needs. Since 2014, the satisfaction rate is around 97%, even if 25% of the households used less than 50 kWh/month. Today there is electricity for all in Vietnam, but electricity bills weigh more and more in the budget of households.Practical implicationsThe subjective energy poverty measure allows better international statistics: unlike poverty or needs-based criteria, self-assessed satisfaction of needs compares across income levels and climates.Social implicationsInequalities in electricity use among Vietnamese households decreased during the 2008–2018 period, but are not greater than inequalities in income, contrary to the findings of Son and Yoon (2020).Originality/valueEngineering and econometric objectivist approaches dominate the literature on sustainability monitoring. Out of 232 sustainable development goal (SDG) indicators, only two are subjective. Yet the findings show that subjective indicators tell a different part of the story. Access is not grid building, but the meaningful provision of electricity to satisfy the needs.

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Section: Electricity Poverty Reduction In Vietnamcontrasting

confidence: 57%

Section: Introductionmentioning

confidence: 99%

Subjective satisfaction and objective electricity poverty reduction in Vietnam, 2008–2018

Ha‐Duong

Nguyen

2021

FREP

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“…While households spend only 6% of their income on electricity bills, this rate has grown faster than income, which puts a great burden on poor households Nguyen et al, 2019). As a result, the inequality in electricity expenditure is more severe than income inequality (Son and Yoon, 2020). To address this matter, authorities support poor households through two channels: cash transfer and quantity-based subsidy.…”

Section: Introductionmentioning

confidence: 99%

“…Early studies on electricity in Vietnam mainly focused on the effect of rural electrification on households' characteristics, such as income or children's education (Asian Development Bank, 2011;Khandker et al, 2009). More recently, the focus has shifted to energy security, energy poverty and electricity inequality, as analyzed by Baulch et al (2018), Dapice et al (2022), Le et al (2023), Nguyen et al (2019) and Son and Yoon (2020). The performance of the electricity sector and consumer satisfaction have also been intensively studied Nguyen, 2017, 2021).…”

Section: Introductionmentioning

confidence: 99%

On the welfare effect of retail electricity subsidy in Vietnam

Le²

2023

JED

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PurposeThis research investigates how subsidy programs in Vietnam's residential electricity market affect consumers' well-being.Design/methodology/approachTwo perspectives are employed: cash transfer and quantity-based subsidy. The effectiveness of cash transfer is measured in three ways: benefit incidence, beneficiary incidence and materiality. The quantity-based subsidy is established under the increasing block rate pricing, with the first two block rates being lower than the marginal cost. To improve the quantity-based subsidy, the research examines the consumer surplus under four proposals.FindingsThe results show that both types of subsidies are ineffective in supporting the poor.Research limitations/implicationsIn order to achieve a more equal distribution among households, the subsidy program should remove all subsidized blocks and reflect the full marginal cost. Changes should be made to the price structure regarding both marginal price and intervals.Practical implicationsTo mitigate the impact of the quantity-based subsidy, the government should improve the cash transfer by reducing extortion and improving targeting efficiency, especially for poor households living in rented houses.Originality/valueThis paper is the first to discuss the welfare effect of the electricity subsidy in Vietnam. First, it comprehensively evaluates the cash transfer subsidy in Vietnam. Second, it suggests a modification in the residential electricity tariff.

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“…4 The association between housing energy efficiency and energy poverty has been increasingly analyzed in recent literature. Son and Yoon (2020) indicated that household size and the type of housing (quality) are essential factors that influence electricity consumption and, thus, the energy bill burden. When housing quality is high, reducing energy bills does not necessarily imply a cold environment, and higher efficiency would guarantee lower energy costs and an adequate temperature.…”

Section: Introductionmentioning

confidence: 99%

Sources of Energy Poverty: A Factor Analysis Approach for Spain

Paz

Tárrega

et al. 2022

Front. Energy Res.

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This study estimates housing quality and features explaining energy poverty in Spain and its regions. By using the EU-SILC dataset for 2008–2019, it calculates the hidden links between energy poverty indicators and housing features, controlled by other variables such as type of household, poverty, and housing tenancy. Confirmatory factor analysis is used to identify the role of different dimensions in explaining energy poverty at the household level. The empirical evidence finds three hidden factors associating energy poverty with poverty, poor housing quality, and housing size and outskirts location. These three factors enable classifying households accordingly, revealing their distribution across Spain and three of its 17 Spanish regions: Madrid, Cataluña, and Valencian Community. Findings indicate how the impact of energy poverty differs by region, rejecting the general hypothesis that all households in poverty live in poor housing because they cannot afford the maintenance costs, thus causing energy poverty. Results suggest that energy poverty due to poor housing quality and location affects many households that are not necessarily poor, with different impacts depending on location. The association between energy poverty and larger houses located on the outskirts represents new evidence in the literature and is one of the contributions of this study, together with the methodology for classification. Results suggest that retrofitting investment would be crucial in reducing energy poverty problems in Spain.

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Reducing energy poverty: Characteristics of household electricity use in Vietnam

Cited by 45 publications

References 27 publications

Subjective satisfaction and objective electricity poverty reduction in Vietnam, 2008–2018

Subjective satisfaction and objective electricity poverty reduction in Vietnam, 2008–2018

On the welfare effect of retail electricity subsidy in Vietnam

Sources of Energy Poverty: A Factor Analysis Approach for Spain

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