Analysis of energy as a precondition for improvement of living conditions and poverty reduction in sub-Saharan Africa

Abstract

This paper examines the link between availability of energy and improvement of living condition and poverty reduction in sub-Saharan Africa. It argued that modern sources of energy are required for the improvement of living standards; may be by helping to create jobs and by boosting productivity. For energy exporters, particularly oil producers, they provide revenues that may bring about sustainable poverty reduction. And the supply of energy improve living conditions by providing better lighting of homes, cleaner fuels for cooking and heating. The study found that, essential aspects of human welfare (leading long and productive life, enjoy good health, have access to knowledge and education opportunities, have the potential to earn sufficient income to supply themselves with ample nutrition, shelter and other material and aesthetic needs) may improve only if modern energy becomes available for all; yet there are nearly 2 billion people still without electricity in developing countries. The study also found that, energy can have major favorable effects in remote rural areas and renewable energy technologies offer a key prospect in areas where the grid cannot reach. Reliance of the poor on their natural surroundings indicates that any step towards poverty alleviation should incorporate environmental and economic sustainability as a priority for sustainable livelihoods. This paper is a contribution in a process towards the use of energy to be one of the instruments to reduce poverty in developing countries especially in Africa.

The Moderating Role of Per Capita Income in Energy Consumption-Poverty Nexus: Empirical Evidence from Pakistan

“…The empirical results reveal that energy consumption and per capita are significant and negatively associated with poverty in both short-and long-run as illustrated in the models A and B. These outcomes are similar to the findings of Hussein and Filho (2012), Kunofiwa (2021), Nkomo (2017), Ogbeide and Evelyn (2020) and Sakanko and David (2018) in the literature. Moreover, the significant and inverse relationship between income and poverty are also congruent with the previous studies (Ali and Sharif, 2020;Janjua and Kamal, 2011;Satti et al, 2015;Tombolotutu et al, 2018).…”

“…The unaffordability and insufficient access to modern and clean energy sources by the population is the fundamental picture of poverty which further worsens if subsidies to energy use are reduced. Hussein and Filho (2012) supported the notion that to augment demand-supply side policies, there is a need to provide huge investments toward energy access and to make it affordable for poor population.…”

“…Poor people are unable to switch from traditional energy use (unclean/hazardous) to modern energy use (relatively clean/unhazardous) because they are mainly constrained by their purchasing power to afford the clean energy sources (Dubois, 2014;Ogbeide and Evelyn, 2020). Researchers exploring the link between household's poverty level and the type of energy they consume established that low income is one of the reasons that restrict the poor population from consuming energy (Baland et al, 2010;Gertler et al, 2011;Hussein and Filho, 2012). In developing countries like Pakistan, as purchasing power or PCI increases, people opt for relatively cleaner energy sources for satisfying their demand of basic necessities (like cooking, heating, and lighting).…”

Does nanotechnology contribute to energy poverty reduction?

“…, 2010; Bonatz et al. , 2019; Hussein and Leal Filho, 2012). The lack of modern and affordable energy has an impact on agricultural and economic productivity, income generation opportunities and, more broadly, the ability to improve living conditions.…”

“…The Energy Progress Report states that 2.4 billion people still cook with fuels that are harmful to their health and the environment, whereas 733 million people worldwide still lack access to electricity (Ayaburi et al, 2020;International Energy Agency, 2020a, b;Ray and Chakraborty, 2021). This fact highlights the global problem of energy poverty defined as the lack of sufficient, affordable, dependable, high-quality, safe and environmentally responsible energy services to support development (Nnaji et al, 2010;Bonatz et al, 2019;Hussein and Leal Filho, 2012). The lack of modern and affordable energy has an impact on agricultural and economic productivity, income generation opportunities and, more broadly, the ability to improve living conditions.…”