Energy Transition and Household Well-being: Fuel Stacking, Power Reliability, and Solar Adoption Dynamics

Abstract

This thesis explores the dynamics of home energy transition in South Africa, emphasizing three interconnected aspects: fuel stacking practices, their influence on power reliability, and patterns of solar adoption. Through a comprehensive empirical analysis of nationally representative data, this study provides valuable insights for promoting equitable access to clean energy and improving household well-being. Preliminary analysis reveals unexpected correlations between fuel selection and health outcomes. Contrary to common beliefs, households employing fuel stacking (using clean and unclean fuels) experience worse health outcomes than those relying solely on clean or unclean fuel. This discovery underscores the significance of housing quality in mitigating health impacts, as inadequate ventilation and substandard construction materials exacerbate the detrimental consequences of mixed fuel use. This thesis highlights that older people and women are particularly susceptible to these adverse health effects, emphasizing the necessity for focused interventions. Chapter two measures the impact of power outages on subjective well-being, revealing that frequent interruptions reduce self-reported happiness by approximately 10%. The effect varies significantly by region: urban areas show a 4.6% decrease, whereas nonmetropolitan areas exhibit a 2.9% reduction. The principal mechanism affecting this association is the disturbance of vital daily routines, including cooking habits and meal intake patterns. These findings underscore the need for reliable electricity access to sustain the quality of life. Chapter three investigates household adoption of solar photovoltaic systems, noting that prolonged power disruptions elevate the likelihood of solar adoption by 1.9%. Female-headed households exhibit a greater tendency to adopt solar energy, indicating gender disparities in energy decision-making. Nevertheless, the study reveals that approximately one-third of solar users ultimately switch to non-renewable energy sources, primarily owing to financial constraints. This pattern underscores the need for continued economic assistance to facilitate the transition to renewable energy. These significant implications for policy development support the implementation of comprehensive strategies that simultaneously address housing quality and energy accessibility, provide targeted assistance to vulnerable groups, and offer financial incentives for renewable iv energy adoption. This study emphasizes the importance of gender-sensitive energy planning and the necessity to consider regional disparities in policy implementation. This thesis enhances the literature on energy transition by providing substantial empirical information about the socioeconomic and behavioral dimensions of household energy decisions. It analyzes the intricate relationships among fuel selection, power reliability, and renewable energy adoption. In addition, this thesis provides practical recommendations for policymakers to enhance sustainable and equitable energy access in emerging regions. The findings provide a basis for subsequent investigations into energy justice and household welfare in the Global South.