The Energy Poverty Status of Off-Grid Rural Households: A Case of the Upper Blinkwater Community in the Eastern Cape Province, South Africa

Abstract

This paper analyses the energy poverty status in off-grid rural households and its underlying socioeconomic factors. Employing the Foster–Greer–Thorbecke Technique and Probit regression on data from 53 households, the study uncovers a diverse array of energy sources in use, including firewood, paraffin, LPG, candles, and generators. Despite this energy source diversity, the poverty line threshold, as measured by the per capita energy expenditure line (92.40 ZAR) (1 US Dollar = ZAR 18.20), reveals the prevalence of energy poverty. Approximately 15% of respondents are experiencing severe energy poverty and 22% are facing moderate vulnerability to energy poverty, while over 50% are not energy poor. This indicates that, although they may lack access to electricity, their energy usage and expenditure in other forms might still be sufficient to meet their basic energy needs. This distinction highlights the importance of assessing energy poverty, extending beyond a simplistic assessment of absolute poverty but taking into account the dynamic nature of income levels. Gender, household size, formal education, and social grants emerge as key indicators shaping the energy landscape in the area. The results clearly indicate that male-headed households and larger households are less susceptible to energy poverty, while increasing formal education and social grants increases the risk of households being exposed to energy poverty. These findings suggest that the problem of energy poverty in the area is uniquely linked to social, economic, and cultural issues. Therefore, interventions targeted at addressing energy poverty problems must address the underlying social, economic, and cultural factors.