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SDG 7: Affordable and Clean Energy

E-articles

Abstract: Based on the definition of the United Nations Development Programme, energy poverty refers to the lack of access to modern energy services, including electricity and clean cooking facilities, primarily affecting millions in low-income and developing countries. Access to energy is one of the UN Sustainable Development Goals (SDG7), advocating clean energy for all. This study seeks to bridge gaps in understanding the drivers and impacts of energy poverty while presenting strategies to address it. It employs a three-fold methodological framework. First, it conducts a comprehensive assessment of the factors contributing to energy poverty, supported by a review of relevant literature to highlight existing knowledge gaps. Second, it examines the socio-economic impacts of energy poverty across different regions globally, focusing on its prevalence and consequences disparities. Third, the paper analyzes international case studies showcasing pioneering strategies and innovative approaches - defined as novel, scalable, and context-sensitive solutions - to enhance energy access. The findings underscore the widespread and severe socio-economic consequences of energy poverty, particularly in Africa, the most affected region. Despite its significance, energy poverty remains inadequately addressed in policy-making processes. The results from this study may provide a new impulse towards their upscaling and replication of successful approaches documented in the case studies, helping developing countries to address their energy needs and generate income at the local level. By offering a critical review of socio-economic deficiencies and presenting innovative solutions, this paper advances the discourse on energy poverty and supports global efforts towards energy equity.

Abstract: This study aims to examine the combined effects of green energy (Sustainable Development Goal, SDG-7.2), energy efficiency (SDG-7.3), and economic productivity (SDG-8.2) in mitigating energy-driven GHG emissions. The novelty of this study is that it extends the Kaya identity to mathematically explain how the two SDG-7 goals affect energy-driven emissions, and it provides global empirical evidence from 161 countries between1995 and 2019. The study also includes two-way and three-way interactions to better understand the complex interplay between the above SDG goals. Dynamic Common Correlated effects-instrumental variable estimation and Method of Moments-Quantile regression models were employed for the empirical investigation. The main findings confirm that green energy and energy efficiency significantly contribute to reducing energy-related emissions in all regions (except Asia in the case of green energy). The effects of green energy (energy efficiency) tend to slightly decrease (increase) as emissions levels rise. Economic productivity appears to trigger emissions, with the impact being stronger in low-productive regions. We also found a synergistic interplay between the two SDG-7 targets in mitigating energy-related emissions and weakening the emission-triggering effect of SDG-8.2 across different quantiles of emissions. Overall, maximizing the synergy between SDG-7 and 8 can substantially cut energy-driven emissions.

Abstract: Energy poverty is a key barrier to achieving SDG 7, which targets full access to affordable and sustainable energy by 2030. Thus, the study utilized the Complementary Percentage Method to track the energy poverty rate in electricity and clean fuel energy for rural and urban areas in NICs from (2000−2021). Subsequently, the study expanded to examine the impact of business cycles on energy poverty in NIC economies. Christiano-Fitzgerald filter and Hodrick-Prescott filter are used to measure the business cycle phases. The findings show that though most NICs have achieved full electricity access, significant disparities remain, particularly in rural areas where millions still lack access to both electricity and clean cooking fuels. Using System-GMM and IV-GMM, the study finds that business cycles, especially recessions, worsen energy poverty in NICs. Economic expansion cycles positively impact energy access and reduce energy poverty. Innovations and investments in the energy sector emerge as positive influencers in alleviating energy poverty. Also, the business cycle reduced renewable energy consumption. Findings indicate that countries with strong governance, effective regulation, rule of law, and control of corruption measures are more successful in reducing energy poverty. The additional transmission estimators reaffirmed findings; income inequality, energy intensity, unemployment and GDP per capita support the outcomes of business cycles' benchmark model. These findings highlight the need for investment in energy infrastructure and targeted policies to close the rural-urban energy gap, particularly for clean cooking fuels, to meet SDGs7.

Abstract: Dramatic increases in global energy prices in 2022 have sharpened focus on the suffering experienced by people living in energy poverty – a situation where they are unable to afford the energy required to meet their basic needs. In many countries, providing energy advice to householders is part of a wider strategy to assist those who are experiencing such hardship. However, little research scrutinises whether and how energy advice can be useful in reducing vulnerability to energy poverty. It is this research gap we address here. Drawing on an extensive qualitative dataset, we find that efforts to provide tailored, in-person advice can help to partially ameliorate energy poverty, but its impacts are limited by structural factors that are beyond the immediate influence of advisors or individual citizens. Energy advice should be seen as a supplement to, not a replacement for, more ambitious and transformative political action that addresses the structural and institutional drivers of inequality.

Abstract: This paper systematically examines how workplace automation impacts energy poverty from a demand-side perspective, revealing a new challenge for Sustainable Development Goal 7 (SDG 7) in the context of technological revolution. Our research demonstrates that workplace automation significantly increases household energy poverty. This finding is robust when using the instrumental variable approach to tackle endogeneity, as well as employing different automation and energy poverty measures, placebo tests, and machine learning methods for robustness checks. Automation's impact mechanism is that it reduces people's income and work-related social capital, thus exposing households to higher risks of energy poverty. Moreover, its consequences are more prominent for rural households, less educated people, non-migrants, those without labor contracts, non trade-union members, and out-of-system workers. Thus enhancing human capital, promoting free movement of workers, and providing better labor protection contribute to weakening the adverse impact of the technological shock. Meanwhile, we find that improving the price reasonability, stability, security and accessibility of energy supply can also mitigate the negative effects of workplace automation on household energy consumption. In the dual context of the fourth technological revolution promoting industrial automation as well as the increasing urgency to achieve SDG 7, findings of this paper have important policy implications.

Abstract: Empowering women is acknowledged as a crucial factor for sustainable development and has significant potential in advancing health, education, economic opportunities, and other development sectors. Although previous research has explored the effects of women's empowerment in various fields, there remains a notable gap in studies addressing energy poverty and inequality in developing countries. This study examines the role of women's empowerment in mitigating energy poverty and inequality, for 94 developing nations from 2001 to 2020. The panel regression models and mediation analysis are used to assess the direct and indirect effects of women's empowerment on energy outcomes through financial development and human development. The research findings indicate that while women's empowerment significantly reduces energy poverty and inequality across different income groups and regions, its impact varies within these groups and regions. For instance, enhancing women's employment and education is effective in low-income countries and certain regions of Sub-Saharan Africa and Asia. Moreover, the mediation analysis highlights the critical role of financial development and human development in mediating the relationship between women's empowerment and energy outcomes. Policies aimed at promoting gender equality, enhancing financial access, and improving educational opportunities for women emerge as crucial strategies for achieving universal energy access and fostering sustainable development. A framework linking women's empowerment with energy poverty and energy inequality.

Abstract: Energy poverty (EPT) has emerged as a major policy concern in developed, transition, and developing economies. In China, energy has been a key enabler of economic and social development in recent decades. However, EPT can reduce the positive effects of this development. This paper studies the relationship between the key social-economic-geographic factors and EPT and further discusses the heterogeneity of various aspects and the mechanism roles of income inequality and gender educational inequality by using panel data of 30 Chinese provinces from 2002 to 2021. The main findings are: (1) An increase in per capita education reduces EPT; (2) the negative effect of education on EPT is stronger in the midwestern provinces; (3) the contribution of female education in alleviating urban EPT is substantially greater than that of male education; (4) in towns and villages, the impact of male education on EPT is greater than that of female education; and (5) income inequality and gender educational inequality are valid mechanisms in the education-EPT nexus. We put forward policy recommendations for improving the education level, narrowing education and gender inequality, and decreasing income gaps to alleviate EPT.

Abstract: Energy poverty has become a notable concern within the European Union (EU), with adverse implications for the well-being and social inclusion of susceptible populations, particularly women. Despite an increasing focus on gender perspectives in the context of the energy transition in recent years, the assessment of the geographical distribution of energy vulnerability remains gender-blind. This paper introduces a simplified method for mapping gendered energy-vulnerable areas through a gender-responsive index. The proposed method enlightens the potential use of open-access data for evaluating energy vulnerability from a gender perspective. Additionally, the methodology cross-references previous energy poverty assessments to identify matching cases of gendered energy vulnerability, resulting in the Gendered Energy Vulnerability Index (GEVI). The GEVI enables the classification of areas based on their risk of experiencing gendered energy vulnerability. To illustrate the method, it is applied to the evaluation of a case study of Madrid, Spain. Findings estimate that 42 neighborhoods, representing 32 % of the total in the city, might be at risk of facing gendered energy vulnerability, with a pronounced impact on elderly women, single-parent households led by women, and women engaged in part-time employment or elementary occupations. The study also identifies specific spatial patterns and correlations within the city.

Abstract: Mini-grids have emerged as a promising solution for rural electrification in developing countries, but their implementation faces numerous challenges. This study conducted a comprehensive bibliometric analysis of mini-grids for rural electrification from 2003 to 2023 to identify trends, gaps, and future directions. Using the Scopus database and biblioshiny software, 267 relevant publications were analysed. The results reveal a significant increase in research output over the past decade. Italy, the United Kingdom, the United States, Japan, and India are the top five countries leading in mini-grid for rural electrification research. The study identified key themes, including hybrid systems, renewable energy integration, business models, and policy frameworks. The analysis highlights a growing focus on Africa and South Asia as critical regions for mini-grid deployment. Technical aspects like demand forecasting and system optimisation are prominent, alongside increasing attention to socioeconomic impacts and community engagement. The study identifies gaps in research from some developing countries most affected by energy poverty. The study findings highlight the multidisciplinary nature of mini-grid research, emphasising the need for integrated approaches combining technical, economic, and social perspectives. This comprehensive overview of the field provides significant insights for researchers, policymakers, and practitioners working towards sustainable rural electrification. It highlights the need for context-specific solutions, improved business models, and supportive policy frameworks to accelerate mini-grid adoption and contribute to universal energy access goals.

Abstract: Access to affordable sustainable energy is a significant challenge for many low-income countries experiencing energy poverty. The United Nations (UN) Sustainable Development Goal (SDG) 7 aims to “ensure access to affordable, reliable, sustainable and modern energy for all.” Simultaneously, the European Union (EU) seeks to reduce emissions by 55% by 2030. Decarbonization policies must be carefully considered to avoid adverse effects on vulnerable groups experiencing energy poverty. Solar technology offers a viable solution to decarbonize the building sector, reduce energy dependence on fossil fuels, and provide financial benefits to the public. Mapping solar potential is crucial to determine where investment in solar photovoltaic (PV) technology is most advantageous to the populations who stand to benefit the most. We combine a solar potential mapping approach incorporating socio-economic indicators indicative of energy poverty, using off-the-shelf Geographic Information Systems (GIS) tools that are easily replicated across cities facing energy poverty. Utilizing lowest common denominator data and analysis approaches, we offer creative and innovative mapping solutions. The socio-economic factors help to contextualise the benefits of distributed PV systems and highlight the need for mapping solar potential, in combination with energy poverty indicators for sustainable planning and policymaking. Our results for a case study in the city of Plovdiv, Bulgaria, demonstrate high solar energy potential that could meet 29% of the city's electricity needs, save citizens about M€43.84 annually, and pinpoint where to invest first for the highest gains. Finally, we offer suggestions on how to use these results to inform decarbonization policies to benefit low-income populations that are often missed in existing energy policies.

Abstract: While there is a consensus on the importance of energy transitions for achieving a zero-carbon economy, concerns about unfavorable social impacts on most vulnerable groups have often been raised. This study examines the complex links between energy transitions, economic growth, income inequality, and energy poverty in 27 EU countries, based on panel data from 2011 to 2020. The study introduces a new energy poverty measure incorporating six indicators using principal components analysis (PCA). Our method of moments quantile regression (MMQR) model captures asymmetries in the data collected from Eurostat and the World Bank without compromising accuracy. The results reveal the significant impact of income inequality measured by the Gini coefficient and economic wealth measured by GDP per capita on the energy poverty rate. The predicament is exacerbated by long-term unemployment in countries experiencing high levels of energy poverty. GDP growth remains unexplained by the model suggesting the weak connection between households’ vulnerability and macroeconomic cycles. Ultimately, energy transitions exhibit an ambiguous influence on energy poverty. In the countries heavily impacted by energy poverty, energy transitions have a mitigating role. We recommend focusing on income inequality and long-term unemployment when targeting energy poverty.

Abstract: Climate change, characterized by fluctuations in temperature and precipitation, presents significant challenges to household welfare. This study offers novel insights into how climate change influences household energy poverty. Leveraging data from the 2015 and 2018 China General Social Survey, we apply clustering analysis and a pseudo-panel data model to investigate the effects of temperature and precipitation variations on both the incidence and intensity of household energy poverty, as well as the mechanisms driving these outcomes. Our findings reveal that climate change, manifested in widening temperature deviations and increasing precipitation, significantly heightens both the incidence and intensity of household energy poverty. Specifically, urban households and those in southern regions demonstrate greater vulnerability to amplifying temperature fluctuations, whereas rural households, northern residents, and low- to middle-income groups are more susceptible to the impacts of precipitation changes. Rising temperature deviations exacerbate energy poverty by driving up energy demand, while increased precipitation intensifies it by augmenting off-farm labor transfers. However, temperature and precipitation changes can also mitigate poverty by boosting crop yields. This study is the first to incorporate precipitation changes into the energy poverty discourse. The findings underscore the critical need to account for climate change when devising policies aimed at addressing household welfare loss and alleviating energy poverty.

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