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Electricity Consumption and Population Growth in South Africa: A Panel Approach

Author

Listed:
  • Nyiko Worship Hlongwane

    (School of Economics, North-West University, South Africa.)

  • Olebogeng David Daw

    (School of Economics, North-West University, South Africa.)

Abstract

This study investigates the relationship between population growth and electricity consumption in South Africa for the period from 2002 to 2021 collected from StatsSA. The study utilises Seemingly Unrelated Regression model and Dumitrescu and Hurlin (2012) causality tests to analyse the relationship between the variables. Empirical results revealed that there is a negative statistically significant relationship between population growth and electricity consumption in South Africa. The results further reveal one-way causality running from population growth to electricity consumption. The study recommends that the government and policy makers must implement policies aimed at increasing renewable electricity generation to match the gap between electricity demand and growing population thereby reducing constant loadshedding in South Africa.

Suggested Citation

  • Nyiko Worship Hlongwane & Olebogeng David Daw, 2023. "Electricity Consumption and Population Growth in South Africa: A Panel Approach," International Journal of Energy Economics and Policy, Econjournals, vol. 13(3), pages 374-383, May.
    • Handle: RePEc:eco:journ2:2023-03-42
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    References listed on IDEAS

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    More about this item

    Keywords

    Electricity Consumption; Population growth; Seemingly Unrelated Regression Model; Eskom; South Africa;
    All these keywords.

    JEL classification:

    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • H20 - Public Economics - - Taxation, Subsidies, and Revenue - - - General
    • O25 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Industrial Policy

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