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A micro‐level data analysis of household energy demand in Khyber Pakhtunkhwa, Pakistan: An application of linear approximate almost ideal demand system
Growth and Change ( IF 2.704 ) Pub Date : 2020-12-04 , DOI: 10.1111/grow.12450
Sajjad 1 , Zia Ur Rahman 2
Affiliation  

This study examines energy choice, consumption pattern and household energy expenditure in Khyber Pakhtunkhwa (KPK) using the Linear Approximate Almost Ideal Demand System (LA‐AIDS). The study used micro‐level data to estimate the price and expenditure elasticities by employing (SUR) methodology. Empirical findings showed that energy choice, consumption patterns, and demand are different for urban‐rural households in the province. Each household living in KPK spent 1838.81 Rupees (9.92%) on energy purchases out of its total average monthly expenditure of Rs. 18,542.79. Compared to urban households, households living in rural areas spend more on energy consumption in a proportionate manner. The expenditure elasticities estimated for all energy sources are positive and statistically significant. Furthermore, the result showed that expenditure elasticities estimated for urban and rural households are less than one, suggesting that all the sources of energy are necessities. Natural gas and electricity are the main energy sources for urban households, while firewood and electricity are key energy sources for rural households in the province. The study suggested that rural households need to switch from conventional energy sources to modern and renewable energy sources, which would reduce the cost of energy use.

中文翻译:

巴基斯坦开伯尔-普赫图赫瓦省家庭能源需求的微观数据分析:线性近似几乎理想的需求系统的应用

本研究使用线性近似几乎理想需求系统(LA‐AIDS)检验了开伯尔·普赫图赫瓦(KPK)的能源选择,消费模式和家庭能源支出。该研究使用微观数据通过采用(SUR)方法来估计价格和支出弹性。实证结果表明,该省城乡家庭的能源选择,消费方式和需求是不同的。每个KPK住户的平均每月总消费卢比中有1838.81卢比(9.92%)用于能源购买。18,542.79。与城市家庭相比,农村家庭在能源消耗上的支出成比例增加。估计所有能源的支出弹性为正,并具有统计意义。此外,结果表明,估计的城乡家庭支出弹性小于1,这表明所有能源都是必需的。天然气和电力是城市家庭的主要能源,而柴火和电力是该省农村家庭的主要能源。研究表明,农村家庭需要从传统能源转向现代和可再生能源,这将降低能源使用成本。
更新日期:2020-12-04
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