Household and non-household factors influencing multidimensional energy poverty in Bangladesh: Demographics, urbanization and regional differentiation via a multilevel modeling approach

Abstract

This study offers the first national investigation quantifying the socioeconomic factors affecting household multidimensional energy poverty, a comparatively new challenge facing policymakers in Bangladesh. Using two rounds of the latest household income and expenditure survey as well as population and housing censuses, we employ a multilevel logistic regression modeling approach that incorporates regional-level variables in addition to the traditional focus on a set of household characteristics. The conclusion is robust to a linear probability model and a suite of other sensitivity checks. The results suggest that household characteristics, such as income, age, married household head, living space area, household literacy rate, primary and secondary school completion of the household head, and living in an urban area reduce the likelihood of household multidimensional energy poverty, whereas male-headed household enhances such likelihood. Moreover, regional characteristics like border district, distance from divisional headquarters, and social safety net ratio increase the chance of household multidimensional energy poverty, whereas urbanization rate has the opposite effect. Hence, this research calls for designing suitable policies, such as direct financing for clean cooking equipment under a particular scheme or providing cooking fuels at a concessional price to marginalized groups to address critical issues, including energy deprivation and energy inequality, that arise as a consequence of multidimensional energy poverty.