Measures of Energy Destitution: A New Complemented Methodology

Abstract

Although the multidimensional energy poverty index (MEPI) gauges the extent and depth of energy poverty but overlooks gradations among energy-poor households that also have vital importance, as understanding degrees of energy poverty will lead to their reduction subsequently. This inability to differentiate the poor from the poorest urges to take a step further and design a new deep and complemented methodology, Measures of Energy Destitution: a subset of the MEPI and denoted with a superscript MEPI^D. All the parameters such as dimensions, indicators, and weights have remained unchanged except for deprivation cut-offs and poverty cut off- an intensity approach sets a stringent poverty cut-off, and a depth approach constitutes an extreme deprivation cut-off to discriminate between the energy-poor and the poorest (destitute). With the application of these novel approaches, we can calculate the extent, depth, and degrees of ‘energy destitution’ across the multiple dimensions of energy services. The results showed widespread energy destitution across the 59 selected countries. Consequently, it is helpful to assess the status of energy-destitute households and eradicate severe energy poverty by announcing various additional incentives, allocating resources, and providing special assistance to those who are at the bottom.