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An Empirical Analysis of Energy Demand in Namibia

Author

Listed:
  • Glauco De Vita

    (Oxford Brookes University Business School)

  • Klaus Endresen

    (Independent Energy Consultant, Namibia)

  • Lester C Hunt

    (Surrey Energy Economics Centre (SEEC), Department of Economics, University of Surrey)

Abstract

Using a unique database of end-user local energy data and the recently developed Autoregressive Distributed Lag (ARDL) bounds testing approach to cointegration, we estimate the long-run elasticities of the Namibian energy demand function at both aggregated level and by type of energy (electricity, petrol and diesel) for the period 1980 to 2002. Our main results show that energy consumption responds positively to changes in GDP and negatively to changes in energy price and air temperature. The differences in price elasticities across fuels uncovered by this study have significant implications for energy taxation by Namibian policy makers. We do not find any significant cross-price elasticities between different fuel types.

Suggested Citation

  • Glauco De Vita & Klaus Endresen & Lester C Hunt, 2005. "An Empirical Analysis of Energy Demand in Namibia," Surrey Energy Economics Centre (SEEC), School of Economics Discussion Papers (SEEDS) 110, Surrey Energy Economics Centre (SEEC), School of Economics, University of Surrey.
    • Handle: RePEc:sur:seedps:110
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    References listed on IDEAS

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    More about this item

    Keywords

    Energy demand; ARDL; Cointegration;
    All these keywords.

    JEL classification:

    • Q41 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Demand and Supply; Prices
    • Q42 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Alternative Energy Sources
    • Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy

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