Understanding the variability of residential energy poverty in India

Abstract

Residential energy poverty is the lack of accessible, reliable, clean energy services. Researchers have not reached a consensus about defining and measuring energy poverty, leading to ineffective energy-related policy formulation. Existing approaches simplify energy poverty to a "yes-no" approach, neglecting its multidimensional nature. The subjective parameters and thresholds used further introduce uncertainty and bias. We addressed this gap by formulating a comprehensive Residential Energy Poverty Index (REPI) for Indian states by adopting a multidimensional approach, including clean and green energy, energy efficiency, accessibility and reliability, and appliances. The current approach focuses on energy availability beyond basic needs and should look at the broader dimensions of quality of life, socioeconomic well-being, education, and environmental sustainability. The work is based on the Indian residential energy survey conducted by CEEW, which included 14,850 households across 21 Indian states. REPI was constructed by assigning weightage to different variables across four dimensions using Principal Component Analysis. Multiple Linear Regression was utilized to identify the socioeconomic factors impacting REPI.

Findings reveal that enhancing energy efficiency and decentralized solar power, particularly in states like Chhattisgarh and Jharkhand, can significantly improve energy access and reliability. Factors such as primary education and female-headed households correlate with lower energy poverty, while poor housing, rural areas, marginal groups, and primary economic activities like agriculture correlate with higher energy poverty. The findings highlight the importance of tailored state-specific policies like decentralized renewable energy, energy cleanliness and awareness campaigns to address residential energy poverty in India.