Energy consumption inequality decrease with energy consumption increase: Evidence from rural China at micro scale

Abstract

How to achieve no poverty and reduce inequalities are among the core mission of the United Nations sustainable development goals. These goals also play an important role in China's poverty alleviation. In this paper, energy consumption is used as a proxy to measure living standards. Based on the data of 1010 Chinese households in 100 villages, energy consumption status and corresponding inequality at the village level were analyzed. The results showed that the per capita energy consumption of rural areas in China in 2018 was 862.94 kg coal equivalent, among which the main types were biomass and electricity. The regression analysis shows that the latitude and altitude, the distance to county center of the villages, average age, education level, and financial assets of the villagers are the main factors affecting the energy consumption of the villages. With the increase of per capita energy consumption, the Gini coefficient and Theil index both showed a downward trend, meaning energy poverty alleviation and inequality reduction are simultaneously achieved in rural development. The results of this study identify the key factors needed to increase energy consumption and energy efficiency at the village level and provide valuable reference for China's rural energy transformation.