Poverty reduction in developing countries translates into lower energy consumption and hence a positive impact on the environment as it leads to a reduction in emissions, the latest study published in Environmental Research Letters has shown.
Analyzing three different developing countries, Nepal, Vietnam, and Zambia, the authors of the research found out that income is strongly linked to energy consumption and that the higher people’s income, the lower amount of energy they use. The explanation for this is that those with a higher income can afford to buy better quality fuel which is also more energy-efficient.
In all three countries, wealthier households have a much lower level of domestic energy consumption compared to poorer ones as they use modern fuels such as gas and electricity whereas the poorer use biomass-based fuels. The researchers found that households with a higher income were able to achieve as much as a 60%-80% lower energy footprint in terms of the energy used for residential purposes. Households with access to clean fuels, safe water, basic education, and sufficient food use about half of the energy of their country’s average.
Vietnam has a Human Development Index of 0.66 while in Nepal and Zambia this is 0.53. Vietnam also generated higher GDP per capita than Zambia and Nepal according to 2019 data from the World Bank (US$8,397 compared to US$3624 and US$3568 respectively). Moreover, in Zambia and Nepal only, high-income households are able to source energy from modern fuels.
The problem of the low usage of modern energy sources occurs in all three countries investigated. In Zambia, for instance, only 8% of the population uses these while in Vietnam they are used by 42% of the population and in Nepal by 15%. In general, 90% of households with a higher income rely on modern fuels while for those with lower incomes this does not exceed two-thirds.
“Load shedding is undoubtedly one of the primary drivers of increased demand for charcoal among urban households in recent times in Zambia,” said Kaala Moombe, a senior researcher at the Center for International Forestry Research (CIFOR) in Lusaka. “Families can buy a little bag of charcoal every day and ration their consumption. With electricity, you can’t know how much you are spending until the bill arrives at the end of the month, but charcoal is so expensive these days that without knowing, many people are spending more than they would for gas or electricity,” he added.
The study also found that in all three countries, energy footprints arose mostly from fuels burnt for residential purposes. Inequalities in energy consumption are also a very important constraint for energy transition. The researchers showed that energy inequalities impacted upon wellbeing more than inequalities caused by income differences.