Abstract
This study offers Sustainable Development Measurement using three variables, namely; The Human Development Index (HDI) represents Sustainable Social Economic Development, and the Environmental Quality (EQ) represents Environmental Sustainability, while the Exogenous Variable is Household Electrification (EoH). With Analysis Using Structural Equation Modeling, the results showed; EoH positively and significantly correlated to HDI. EoH is negatively correlated and significant to EQ. HDI significantly negatively correlated with EQ. Electrification of Households causes the occurrence of Sustainable Social Economic Development, and vice versa, the electrification of households causes the occurrence of environmental sustainability, and the relationship of sustainable Social Economic Development causes the occurrence of environmental sustainability. Research Novelty is the Role of Moderation from EoH to the relationship between HDI and EQ so that provinces with low Household Electrification with Provinces with high Household Electrification will differ in environmental damage due to Sustainable Social Economic Development. Reference for Policy Makers to replace fossil fuel power plants that supply the electricity in households with environmentally friendly power plants. Keywords : Sustainable Development, Household Electrification, Structural Equation Modeling JEL Classifications : Q01, L94, C38 DOI: https://doi.org/10.32479/ijeep.10937
Highlights
Access to electricity is an essential driver of economic development
For APC, Average R‐squared (ARS), and Average Adjusted R‐squared (AARS), this P-value computing through a process that involves estimating resampling plus a correction to counteract the standard error compression effect associated with adding a random variable, in a way analogous to Bonferroni corrections
The human development index (HDI) represents sustainable social economic development in Indonesia is still causing a decrease in the value of the environmental quality (EQ) represents Environmental Sustainability
Summary
Access to electricity is an essential driver of economic development. Cheap and easy-to-obtain electricity is crucial for households and development progress. In large part, Indonesia’s major power plants are produced through fossil fuels, which causes a heavy ecological burden. There are areas where 33% of households with electricity, and there are areas where 99% of households with electricity. The conception of three pillars of sustainability (social, economic, environmental) represented by three circles that intersect with overall sustainability at the center of the slice of the three rings is an attempt to reconcile economic growth as a solution to social and ecological problems (Purvis et al, 2019)
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