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A new measure of households� energy poverty

Author

Listed:
  • Ivan Faiella

    (Bank of Italy)

  • Luciano Lavecchia

    (Bank of Italy and Ministero dello sviluppo economico)

  • Marco Borgarello

    (Ricerca sul sistema energetico)

Abstract

We calculate the demand for heating at the household level by integrating the technological data on the heating needs of different types of buildings with the information available in Istat�s Household Budget Survey. This new dataset is used to estimate a measure of energy poverty (EP) that is not conditioned by household preferences. The new measure identifies households suffering from EP as those that become �poor� � according to Istat�s relative poverty measure � after purchasing a minimum basket of energy services. Given the high granularity of the information used, the proposed threshold could be used as part of Istat�s revised absolute poverty measure. This also contributes to the monitoring and implementation of the policies that each EU member state should set up against EP as required under the Energy Union.

Suggested Citation

  • Ivan Faiella & Luciano Lavecchia & Marco Borgarello, 2017. "A new measure of households� energy poverty," Questioni di Economia e Finanza (Occasional Papers) 404, Bank of Italy, Economic Research and International Relations Area.
    • Handle: RePEc:bdi:opques:qef_404_17
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    File URL: https://www.bancaditalia.it/pubblicazioni/qef/2017-0404/QEF_404.pdf
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    Cited by:

    1. Giorgio Besagni & Marco Borgarello, 2019. "Measuring Fuel Poverty in Italy: A Comparison between Different Indicators," Sustainability, MDPI, vol. 11(10), pages 1-15, May.
    2. Michele Loberto & Alessandro Mistretta & Matteo Spuri, 2023. "The capitalization of energy labels into house prices. Evidence from Italy," Questioni di Economia e Finanza (Occasional Papers) 818, Bank of Italy, Economic Research and International Relations Area.

    More about this item

    Keywords

    energy poverty; energy demand; inequality;
    All these keywords.

    JEL classification:

    • D10 - Microeconomics - - Household Behavior - - - General
    • Q41 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Demand and Supply; Prices
    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty

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