Assessing the mechanism of energy efficiency and energy poverty alleviation based on environmental regulation policy measures

Wu, Baijun; Liu, Shaochen; Wang, Jingwei; Tahir, Shaharuddin; Patwary, Ataul Karim

Assessing the mechanism of energy efficiency and energy poverty alleviation based on environmental regulation policy measures

2021

Wu, Baijun | Liu, Shaochen | Wang, Jingwei | Tahir, Shaharuddin | Patwary, Ataul Karim

This work aims to assess multidimensional energy poverty and energy efficiency for environmental policy measures using data envelopment analysis (DEA), a DEA-Like mathematical composite indicator applied on a dataset based on multiple sets of variables from South Asian economies. The multidimensional energy poverty index (MEPI) is computed to analyze the combining effects and energy poverty in these countries. Simultaneously, South Asia’s metropolitan areas’ population rose by 130 million between 2001 and 2011 and is projected to expand by approximately 250 million by 2030. The findings reveal that endogenous increasing population shocks account for about 72% of energy use. In contrast, the long-term effects of remittance revenue, economic growth, and urbanization on energy use are approximately 20%, 8.25%, and 0.03%, respectively. This work advocates more coordinated and innovative policies to eliminate energy poverty. It can act as a base for policymakers and government officials to make efficient policies and enforce them properly in the regional power sector. Policies should be designed around a smarter use of biomass for cooking, alternate sources for domestic energy production, increased programs for biomass-based cookstoves, and periodic regional-level energy database development.

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