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Energy poverty, or the inability of households to afford adequate access to energy services, is an issue that can have a significant effect on the quality of life and even the state of health of individuals and even the overall development of a nation. Since it was first brought into focus more than two decades ago in the UK, this topic has gradually gained the attention of academics and policy makers all across the EU and beyond. The current paper addresses the topic by providing not only a renewed discussion, but also an improved energy poverty indicator (with clear and relevant results at the EU level): the Compound Energy Poverty Indicator (CEPI). Moreover, knowing that the risk of poverty and social exclusion, efficiency of heating systems, total consumption of energy per household and rising energy prices tend to increase the severity of this problem in some countries, CEPI is then included into an econometric model so as to determine some possible factors that tend to put pressure on an already existing issue of energy poverty. The results of this research are expected to be relevant not only for academics (as it offers insights into the structure and severity of this topic within the European Union), but also for national and EU policymakers who are confronted in the field with the problem of sustainable development.

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Conceptual and methodological divergence in defining the issue of energy poverty (i.e. the inability of households to afford adequate access to energy services) has made it difficult to assess the problem at a European level using a standardized approach. Moreover, existing research raises concerns with regard to socio-economic and environmental differences between European states that may have a significant impact on this phenomenon. The current paper builds upon a set of newly proposed econometric methods for the trans-national measurement of energy poverty and for the study of its determining factors -the Compound Energy Poverty Indicator. The research shows that Southern and Eastern European countries present peculiar socio-economic traits that distort the impact of predicting variables, such as the tenure status of households. The results imply that a cautious approach is needed when attempting to measure and predict energy poverty at a transnational level based on macroeconomic indicators. Regionally specific policy measures and indicators may be needed in order to assess the problem in a truly functional, accurate and more efficient.(2012) provide empirical evidence to show the link between energy price hikes and market liberalization in several countries across the globe. Furthermore, Fiorio and Florio (2013) demonstrate that a clear connection exists between some energy market reforms (such the privatization of state-owned companies) and an increase in prices within the EU. Regardless of the reasons behind this phenomenon, it contributes to an increased prevalence of a socio-economic condition that affects households across the Globe: energy poverty (EP), also known as fuel poverty. The problem refers to instances in which households need to spend a disproportionately higher share of their income on energy services. Because it has received increased attention from researchers, the topic has become an integral part in energy market reforms and policies across the EU (Stefan Bouzarovski, Petrova, & Sarlamanovb, 2012;Liddell, 2012). This issue is not directly related to the concept of "poverty", although studies have shown that a strong correlation exists between material deprivation and energy poverty. The current work does not discuss the topic of 'energy poverty' in developing nations, in which case it would refer to a lack of access to modern electricity services. As part of a previous study, we proposed a new method of measuring EP across the EU. After providing an assessment of EP, we sought to identify potential pressure factors that may lead to a higher level of EP. Some of the proposed variables demonstrated an unexpected relationship with the proposed EP indicator, such as the tenure status being negatively correlated with energy poverty (i.e. countries where people are predominantly home owners suffer from higher EP than countries where the population predominantly rents homes). These results, combined with the specific geo-historical context of Southern and Eastern (SE) European states, encoura...