Wen, C orcid.org/0000-0003-3546-9813, Lovett, JC orcid.org/0000-0002-5839-3770, Rianawati, E et al. (4 more authors) (2022) Household Willingness to Pay for Improving Electricity Services in Sumba Island, Indonesia: A Choice Experiment Under a Multi-tier Framework. Energy Research and Social Science, 88. 102503. ISSN 2214-6296
Abstract
Global efforts to improve electricity access in developing countries need to go beyond the simple measurement of electrification rates to address the quality of electricity supply. Households' preferences and willingness to pay (WTP) for electricity supply is important information for policy makers, utility companies, and other stakeholders to plan investment in power infrastructure, design business models, and tackle energy-related social equality issues. However, the existing literature is largely focused on consumers' attitudes towards green electricity, while preferences for improving the quality of electricity supply have not been fully researched, especially in the context of deprived areas in developing countries. Based on the World Bank's Multi-Tier Framework (MTF) for measuring energy access, this study conducted a Choice Experiment on the “Iconic Island” of Sumba in Indonesia to investigate households' preferences for four attributes of electricity access: daily supply hours, frequency of unplanned power-cuts, power capacity of using medium/high-power appliances, and monthly electricity fees. The results reveal that reduction of power-cuts, the most studied attribute of power supply in previous studies, is less significant than other attributes in Sumba. Households connected to the main-grid show higher WTP for improving electricity supply than off-grid households. Heterogeneity in households' preferences is significantly associated with gender, age, education level and household income. We discussed policy implications for penetration of renewable energy, prioritising electrification investment and designing service-based electricity tariffs. We also demonstrated the potential for further application of choice experiment results with the MTF of energy access.
Metadata
Item Type: | Article |
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Authors/Creators: |
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Copyright, Publisher and Additional Information: | © 2022 The Authors. Published by Elsevier Ltd. This is an open access article under the CC BY license (http://creativecommons.org/licenses/by/4.0/). |
Keywords: | Rural electrification; Sustainable Development Goal 7; Power quality; Stated preference; Non-market valuation; Southeast Asia |
Dates: |
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Institution: | The University of Leeds |
Academic Units: | The University of Leeds > Faculty of Environment (Leeds) > School of Earth and Environment (Leeds) > Sustainability Research Institute (SRI) (Leeds) The University of Leeds > Faculty of Environment (Leeds) > School of Geography (Leeds) > Ecology & Global Change (Leeds) |
Funding Information: | Funder Grant number EPSRC (Engineering and Physical Sciences Research Council) EP/R030243/1 |
Depositing User: | Symplectic Publications |
Date Deposited: | 11 Jan 2022 14:14 |
Last Modified: | 16 Mar 2023 14:36 |
Status: | Published |
Publisher: | Elsevier |
Identification Number: | 10.1016/j.erss.2022.102503 |
Open Archives Initiative ID (OAI ID): | oai:eprints.whiterose.ac.uk:182388 |