Household Fuel Transition and Determinants of Firewood Demand in Nepal

Abstract

There is an emerging challenge of providing cleaner fuel to household to avoid various health risks arising from the use of traditional non-cleaner fuel and to cope with the challenges created by climate change. The energy transition theories explain how societies switch from traditional to more advanced fuels that are cleaner and efficient. The paper examines the state of fuel transition and determinants of firewood dependence in Nepal. This paper uses data collected in 2013 from three different ecological zones through household surveys. The findings revealed that biomass fuel particularly firewood is the dominant form of fuel used for household cooking with 84 percent dependence followed by LPG 9 percent, biogas 6 percent and electricity around 1 percent. The findings revealed that energy security through energy stacking is a dominant phenomenon. Presence of alternative fuel that are cleaner and convenient and ecological factors are major determinants of household firewood demand followed by literacy status, landholding size, household size, presence of large ruminant. Firewood consumption had negative relation with its price but the relation was not economically significant. In contrast to the study hypotheses, household income and remittance were not determining factors. In view of wider coverage of electricity, there is prospect for shifting to renewable fuel sources through appropriate pricing and technological improvement policies.

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“…Moreover, the author also asserted that remittances ensure greater access to clean cooking fuels only for the lower‐middle‐income countries. Conversely, Sharma (2018) also found that international remittances are ineffective in explaining the transition from the use of the traditional firewood to the relatively cleaner sources of fuel in Nepal.…”

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“…A study in Nepal reported a negative relation between firewood consumption and its price. 30 Similar to this, a study conducted in India in 2010 showed that households tend to depend on traditional fuel despite major share of household income being spent on energy fuel owing to the high price of clean fuel. 43 Likewise, a study of sub-Saharan Africa in 2008 reported high cost of fuel discouraging household from switching to clean cooking fuels.…”

“…29 Other forms of household fuel such as LPG, biogas and electricity occupy a small proportion (16%) for cooking. 30 During a typical month, households were likely to use multiple sources of energy and energy switching, mixing or stacking were common depending on several factors such as availability and access to electricity, capacity to pay for the energy source and other socio-economic or cultural factors. 31 Per-capita fuel consumption in winter is double as that of other measured seasons and was attributed to greater prevalence of use and fuel consumption by supplemental stoves, not the main cooking stove.…”

“…The findings also revealed that energy security through energy stacking is a dominant phenomenon. 30 In 2013, An analysis of the patterns of household energy use and associated air pollutant emissions in Nepal based on the LEAP framework for thirteen analytical regions and three end-uses reported that the household sector accounted for most of the energy consumed in the country in the past and this trend is projected to remain the same in next 30 years. With this trend, household energy demand is projected to increase accounting for an increase of 22% or an average growth of 1.1% per year.…”

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“…Complete replacement of TCP with a single MCS is challenging because each of these cooking solutions has unique strengths and weaknesses that drive and restrict their uptake in different geographies. Even in areas where MCS are available and affordable, households frequently own more than one cooking option and 'fuel stack' between them [24]. For example, in the high mountain regions, households often use firewood for the majority of cooking and water heating, whilst LPG is used to prepare tea and snacks [25].…”